FINANCIAL+MANAGERIAL-W/ACCESS
14th Edition
ISBN: 9781337760041
Author: WARREN
Publisher: CENGAGE L
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Chapter 5, Problem 5.32EX
Closing entries
On July 31, the close of the fiscal year, the balances of the accounts appearing in the ledger of Serbian Interiors Company, a fumiture wholesaler, are as follows:
| Accumulated Depr.—Building | $365,000 | Inventory | $ 115,000 |
| Administrative Expenses | 440,000 | Notes Payable | 100,000 |
| Building | 810,000 | 455,000 | |
| Cash | 78,000 | Sales | 1,437,000 |
| Common Stock | 75,000 | Sales Tax Payable | 4,500 |
| Cost of Goods Sold | 775,000 | Selling Expenses | 160,000 |
| Dividends | 15,000 | Store Supplies | 16,000 |
| Interest Expense | 6,000 | Store Supplies Expense | 21,500 |
Prepare the July 31 closing entries for Serbian Interiors Company.
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On December 31 of last year, the balance sheet of Union Company had accounts receivable of $74,5000 and a credit balance in Allowance for Uncollectible Accounts of $5,075. During the current year, Union's financial records included the following selected activities:
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3%
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The following transactions were included in the recorded transactions during the
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the buyer on December 31, 2022, this invoice was recorded in the book at
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2. Invoice dated and recorded on November 30, 2022 was erroneously priced at
P32 per unit. There were 11,000 units of goods delivered which were received
on December 10, 2022. The agreed price should be at P22 per unit only.
AA's policy is to provide 5% of the outstanding balance of accounts receivable as
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Chapter 5 Solutions
FINANCIAL+MANAGERIAL-W/ACCESS
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