Question

Fill in the missing amounts in the following schedules.

	April May June Sales* $248,000 $186,000 Cash receipts: From cash sales $139,800 From sales on account† 105,400 Total cash receipts

	Accounts payable, 12/31/x0 €612,000 Purchase of goods and services on account during 20x1 248,000 Payments of accounts payable during 20x1 Accounts payable, 12/31/x1 €816,000

• Fill in the missing amounts in the following schedules.

  	Accounts receivable, 12/31/x0 ¥1,740,000 ‡ Sales on account during 20x1 4,548,000 Collections of accounts receivable during 20x1 (3,932,000) Accounts receivable, 12/31/x1

	Accumulated depreciation, 12/31/x0 $409,000 Depreciation expense during 20x1 77,000 Accumulated depreciation, 12/31/x1

• 	Retained earnings, 12/31/x0 $1,540,300 Net income for 20x1 301,200 Dividends paid in 20x1 0 Retained earnings, 12/31/x1

• *Half of each month’s sales are on account. March sales amounted to $186,000.

  †60% of credit sales is collected in the month of sale; 40% is collected in the following month.

  ‡Yen is the Japanese national currency.

Answer 1

	April	May	June
Sales	248,000	186,000	279,600 (139,800 x 2)
Cash Receipt:
From Cash sales	124,000 (248,000 x 50%)	93,000 (186,000 x 50%)	139,800
From sales on Account	74,400 (60% of 124,000)April	55,800 (60% of 93,000) May	83,880 (60% of 139,800) June
	37,200 (40% of 93,000) March	49,600 (40% of 124,000) April	37,200 (40% of 93,000) May
Total Cash receipt	235,600	198,400	260

Schedule-1

Schedule-2

Account payable, 12/31/x0	612,000
Purchase of Goods and services on account during 20x1	248,000
payment of account payable during 20x1	44,000
account payable, 12/31/x1	816,000
Account payable, 12/31/x0	612,000
Add: Purchase of Goods and services on account during 20x1	248,000
	860,000
less: account payable, 12/31/x1	816,000
payment of account payable during 20x1	44,000

Schedule-3

Accounts receivable, 12/31/x0	1,740,000
Add: Sales on account during 20x1	4,548,000
	6,288,000
less: Collections of accounts receivable during 20x1	3,932,000
Accounts receivable, 12/31/x1	2,356,000

Schedule-4

Accumulated depreciation, 12/31/x0	409,000
Depreciation expense during 20x1	77,000
Accumulated depreciation, 12/31/x1	486,000

Schedule-5

Retained earnings, 12/31/x0	1,540,300
Add: Net income for 20x1	301,200
	1,841,500
Less: Dividends paid in 20x1	0
Retained earnings, 12/31/x1	1,841,500