Question

In: Accounting

debits credits cash 37,500 accounts receivable 12,410 prepaid insurance 2,400 supplies 7,113 equipment 35,000 accumulated depreciation...

debits credits
cash 37,500
accounts receivable 12,410
prepaid insurance 2,400
supplies 7,113
equipment 35,000
accumulated depreciation 10,000
accounts payable 7,569
unearned revenue 8,500
loan payable 15,000
capital stock 24,000
retained earnings, jan 1. 15,457
revenues 43,995
salary expense 12,098
rent expense 13,000
office expense 2,500
dividends 2,500
124,521 124,521

a)   Asher Corporation's equipment had an original life of 140 months, and the straight-line depreciation method is used. As of January 1, the equipment was 40 months old. The equipment will be worthless at the end of its useful life.

b)   As of the end of the month, Asher Corporation has provided services to customers for which the earnings process is complete. Formal billings are normally sent out on the first day of each month for the prior month's work. January's unbilled work is $25,000.

c)   Utilities used during January, for which bills will soon be forthcoming from providers, are estimated at $1,500.

d)   A review of supplies on hand at the end of the month revealed items costing $3,500.

e)   The $2,400 balance in prepaid insurance was for a 6-month policy running from January 1 to June 30.

f)   The unearned revenue was collected in December of 20X7. Sixty percent of that amount was actually earned in January with the remainder to be earned in February.

g)   The loan accrues interest at 1% per month. No interest was paid in January.

Solutions

Expert Solution

ekkarill92 answered 8 months ago
Next > < Previous

Related Solutions

Rank in order of liquidity: Accounts Receivable Accumulated Depreciation - Equipment Cash Equipment Prepaid Insurance Prepaid...
Rank in order of liquidity: Accounts Receivable Accumulated Depreciation - Equipment Cash Equipment Prepaid Insurance Prepaid Rent Rent Revenue Supplies
Debit Credit Cash 4,400 Accounts Receivable 2,000 Prepaid Insurance 1,600 Equipment 15,000 Accumulated Depreciation - Equipment...
Debit Credit Cash 4,400 Accounts Receivable 2,000 Prepaid Insurance 1,600 Equipment 15,000 Accumulated Depreciation - Equipment 3,000 Accounts Payable 2,400 Note Payable 3,920 Unearned Fees 3,200 Common Stock 5,000 Retained Earnings 2,700 Dividends 2,000 ​ Fees Earned 37,000 Wages Expense 19,000 Depreciation Expense 1,800 Utilities Expense 320 Insurance Expense 700 Maintenance Expense 7,700 Income Tax Expense 2,700    57,220 57,220 Use the Adjusted Trial above to calculate the Net Income (or Net Loss), and the Retained Earnings balance. Format: Enter...
Debit Credit Cash 4,400 Accounts Receivable 2,000 Prepaid Insurance 1,600 Equipment 15,000 Accumulated Depreciation - Equipment...
Debit Credit Cash 4,400 Accounts Receivable 2,000 Prepaid Insurance 1,600 Equipment 15,000 Accumulated Depreciation - Equipment 3,000 Accounts Payable 2,400 Note Payable 3,920 Unearned Fees 3,200 Common Stock 5,000 Retained Earnings 2,700 Dividends 2,000 ​ Fees Earned 37,000 Wages Expense 19,000 Depreciation Expense 1,800 Utilities Expense 320 Insurance Expense 700 Maintenance Expense 7,700 Income Tax Expense 2,700    57,220 57,220 Use the Adjusted Trial above to calculate the Net Income (or Net Loss), and the Retained Earnings balance.
debit credit cash 6900 accounts receivable 4500 prepaid rent 6300 supplies 2250 equipment 18000 accumulated depreciation...
debit credit cash 6900 accounts receivable 4500 prepaid rent 6300 supplies 2250 equipment 18000 accumulated depreciation 900 unearned revenue 1500 notes payable 10 000 contributed capital 8000 retained earnings, 1 april 12200 service revenue 11200 advertising expense 650 depreciation expense 900 interest expense 150 rent expense 2100 salaries expense dividends totals 1700 350 43800 43800 Additional Information: i   Rent expires (is used up) at a rate of $700 per month. ii   Monthly depreciation on equipment is $300. iii   Interest on...
Accounts payable 2,300 Accounts Receivable 1,500 Accumulated depreciation - Equipment 4,000 Cash 2,600 Common Stock 4,800...
Accounts payable 2,300 Accounts Receivable 1,500 Accumulated depreciation - Equipment 4,000 Cash 2,600 Common Stock 4,800 Equipment 7,500 Inventory 400 Land 10,000 Land held as long term investment 8,000 Notes payable (due in 5 Years) 6,000 Patent 2,500 Retained Earnings 1/1 16,000 Short- term investments 1,000 Wages Payable 400 Required: Calculate following amounts. Show all work. Total Current Assets (in order of liquidity) Total property, plant, and equipment Total Assets Total Current liabilities Total Liabilities Total Stockholders equity Prove that...
Accounts Debits Credits cash $41,150 Account Receivable 4,806 Allowance for Doubtful Accounts     58 Inventory 2,670...
Accounts Debits Credits cash $41,150 Account Receivable 4,806 Allowance for Doubtful Accounts     58 Inventory 2,670 Prepaid Insurance 2,200 Land 20,000 Accounts Payable    1,500 Interest Payable 90 Payroll Taxes Payable 113 Wages Payable 817 Mortgage Payable    18,000 Owners investment 50,000 Retained Earnings - Sales 11,680 Repair revenue    20 Cost of goods sold 3,504 Advertising 200 Bad debt expense 58 Bank charges    50 Insurance expense 200 Payroll taxes 603 Rent 2,240 Supplies    150 Wages 4,357 Interest...
Cash $6,500 Accumulated Depreciation—Equipment $1,400 Accounts Receivable 3,800 Accounts Payable 2,900 Inventory 1,700 * Common Stock...
Cash $6,500 Accumulated Depreciation—Equipment $1,400 Accounts Receivable 3,800 Accounts Payable 2,900 Inventory 1,700 * Common Stock 22,000 Equipment 20,200 Retained Earnings 5,900 $32,200 $32,200 *(3,400 x $0.50) The following transactions occurred during December. Dec. 3 Purchased 4,500 units of inventory on account at a cost of $0.70 per unit. 5 Sold 4,900 units of inventory on account for $0.92 per unit. (Blue sold 3,400 of the $0.50 units and 1,500 of the $0.70.) 7 Granted the December 5 customer $276...
Elite RealtyGeneral Ledger ASSETS 11 Cash 12 Accounts Receivable 13 Prepaid Insurance 14 Office Supplies 16...
Elite RealtyGeneral Ledger ASSETS 11 Cash 12 Accounts Receivable 13 Prepaid Insurance 14 Office Supplies 16 Land LIABILITIES 21 Accounts Payable 22 Unearned Rent 23 Notes Payable EQUITY 31 Common Stock 32 Retained Earnings 33 Dividends REVENUE 41 Fees Earned EXPENSES 51 Salary and Commission Expense 52 Rent Expense 53 Advertising Expense 54 Automobile Expense 59 Miscellaneous Expense Elite Realty acts as an agent in buying, selling, renting, and managing real estate. The unadjusted trial balance on March 31, 2018,...
ASSETS 11 Cash 12 Accounts Receivable 13 Prepaid Insurance 14 Office Supplies 16 Land LIABILITIES 21...
ASSETS 11 Cash 12 Accounts Receivable 13 Prepaid Insurance 14 Office Supplies 16 Land LIABILITIES 21 Accounts Payable 22 Unearned Rent 23 Notes Payable EQUITY 31 Common Stock 32 Retained Earnings 33 Dividends REVENUE 41 Fees Earned EXPENSES 51 Salary and Commission Expense 52 Rent Expense 53 Advertising Expense 54 Automobile Expense 59 Miscellaneous Expense Complete a Ledger Account with the requirments stated. Elite Realty acts as an agent in buying, selling, renting, and managing real estate. The unadjusted trial...
Accounts payable $18,500 Accounts receivable 8,000 Accumulated depreciation-equipment 4,800 Bonds payable 18,000 Cash 24,000 Common stock...
Accounts payable $18,500 Accounts receivable 8,000 Accumulated depreciation-equipment 4,800 Bonds payable 18,000 Cash 24,000 Common stock 25,000 Cost of goods sold 27,000 Depreciation expense 4,800 Dividends 5,300 Equipment 44,000 Interest expense 2,500 Patents 7,500 Retained earnings, January 1 16,000 Salaries and wages expense 5,200 Sales revenue 50,500 Supplies 4,500 Determine the profitability ratio that tells us for every dollars of sales revenue how much operating profit the firm has generated.And solve for the ratio.
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT