In: Accounting
The following information was taken from the accounting records of CJTR Company as of December 31, 2020: Accounts Payable .......... ? Accounts Receivable ....... $43,000 Building .................. $68,000 Cash ...................... $17,000 Common Stock .............. $62,000 Cost of Goods Sold ........ $41,000 Dividends ................. ? Equipment ................. $79,000 Interest Revenue .......... $46,000 Inventory ................. $63,000 Land ...................... $82,000 Notes Payable ............. $65,000 Rent Expense .............. $17,000 Retained Earnings ......... ? Salaries Expense .......... $52,000 Salaries Payable .......... $29,000 Sales Revenue ............. $94,000 Supplies .................. $28,000 Trademark ................. $18,000Additional information: 1) At January 1, 2020, CJTR Company reported total assets of $223,000; total liabilities of $121,000; and common stock of $40,000. 2) 20% of CJTR’s 2020 net income was paid to stockholders as dividends. Calculate the balance in the accounts payable account at December 31, 2020.
CJTR Company | |
Statement of Opening retained earnings | |
Particulars | Amount $ |
Opening Assets | 223,000.00 |
Less: | |
Opening liabilities | 121,000.00 |
Opening common stock | 40,000.00 |
Opening retained earnings | 62,000.00 |
Income Statement | |
Particulars | Amount $ |
Sales revenue | 94,000.00 |
Interest revenue | 46,000.00 |
Total revenue | 140,000.00 |
Less: Expenses | |
Cost of Goods Sold | 41,000.00 |
Rent | 17,000.00 |
Salaries expense | 52,000.00 |
Total Expenses | 110,000.00 |
Net Income | 30,000.00 |
Dividend at 20% | 6,000.00 |
Statement of Closing retained earnings | |
Particulars | Amount $ |
Opening retained earnings | 62,000.00 |
Add: Net Income | 30,000.00 |
Less: Dividend | 6,000.00 |
Retained earnings at December 31, 2020 | 86,000.00 |
Balance in the accounts payable account at December 31, 2020. | Amount $ |
Accounts Receivable | 43,000.00 |
Building | 68,000.00 |
Cash | 17,000.00 |
Equipment | 79,000.00 |
Inventory | 63,000.00 |
Land | 82,000.00 |
Supplies | 28,000.00 |
Trademark | 18,000.00 |
Total Assets | 398,000.00 |
Less: | |
Common Stock | 62,000.00 |
Notes Payable | 65,000.00 |
Salaries Payable | 29,000.00 |
Retained earnings at December 31, 2020 | 86,000.00 |
Balance in the accounts payable account at December 31, 2020 | 156,000.00 |