Question

The Fashion Rack has a monthly accounting period. The firm’s chart of accounts is shown below. The journals used to record transactions are the sales journal, purchases journal, cash receipts journal, cash payments journal, and general journal. Postings are made from the journals to the accounts receivable ledger, accounts payable ledger, and general ledger. The employees are paid at the end of the month. A computerized payroll service prepares all payroll records and checks.

INSTRUCTIONS

Open the general ledger accounts and enter the balances for October 1, 2019. Obtain the necessary figures from the postclosing trial balance prepared on September 30, 2019, which is shown below.

Post-Closing Trial Balance:

ACCOUNT NAME	DEBIT	CREDIT
CASH	59,800.00
ACCOUNTS RECEIVABLE	6,210.00
ALLOWANCE FOR DOUBTFUL ACCOUNTS		420.00
MERCHANDISE INVENTORY	88,996.00
SUPPLIES	4,100.00
PREPAID INSURANCE	8,400.00
EQUIPMENT	83,000.00
ACCUMULATED DEPRECIATION		7,050.00
ACCOUNTS PAYABLE		18,300.00
SOCIAL SECURITY TAX PAYABLE		702.00
MEDICARE TAX PAYABLE		162.00
EMPLOYEE INCOME TAX PAYABLE		1,020.00
FEDERAL UNEMPLOYMENT TAX PAYABLE		512.00
STATE UNEMPLOYMENT TAX PAYABLE		1,268.00
SALES TAX PAYABLE		17,820.00
TERESA LOVEJOY, CAPITAL		203,252.00
TOTALS	$250,506.00	$250,506.00

Answer 1

Solution.

Please find below the General LEdger Accounts as on 1st Oct 2019

General Ledger Accounts as on 1st Oct 2019
Dr	Cash A/c	Cr
Date	Particulars	Amount	Date	Particulars	Amount
1-Oct-19	Balance B/f	59,800	1-Oct-19	Closing Bal	59,800
Dr	Accounts Recievable	Cr
Date	Particulars	Amount	Date	Particulars	Amount
1-Oct-19	Balance B/f	6,210	1-Oct-19	Closing Bal	6,210
Dr	Allowance for Doubtful debts	Cr
Date	Particulars	Amount	Date	Particulars	Amount
1-Oct-19	Closing Bal	420	1-Oct-19	Balance B/f	420
Dr	Merchandise Inventory	Cr
Date	Particulars	Amount	Date	Particulars	Amount
1-Oct-19	Balance B/f	88,996	1-Oct-19	Closing Bal	88,996
Dr	Supplies	Cr
Date	Particulars	Amount	Date	Particulars	Amount
1-Oct-19	Balance B/f	4,100	1-Oct-19	Closing Bal	4,100
Dr	Prepaid Insurance	Cr
Date	Particulars	Amount	Date	Particulars	Amount
1-Oct-19	Balance B/f	8,400	1-Oct-19	Closing Bal	8,400
Dr	Equipment	Cr
Date	Particulars	Amount	Date	Particulars	Amount
1-Oct-19	Balance B/f	83,000	1-Oct-19	Closing Bal	83,000
Dr	Accumulated Depreciation	Cr
Date	Particulars	Amount	Date	Particulars	Amount
1-Oct-19	Closing Bal	7,050	1-Oct-19	Balance B/f	7,050
Dr	Accounts Payable	Cr
Date	Particulars	Amount	Date	Particulars	Amount
1-Oct-19	Closing Bal	18,300	1-Oct-19	Balance B/f	18,300
Dr	Social Security Tax payable	Cr
Date	Particulars	Amount	Date	Particulars	Amount
1-Oct-19	Closing Bal	702	1-Oct-19	Balance B/f	702
Dr	Medicare Tax Payable	Cr
Date	Particulars	Amount	Date	Particulars	Amount
1-Oct-19	Closing Bal	162	1-Oct-19	Balance B/f	162
Dr	Employee Income Tax payable	Cr
Date	Particulars	Amount	Date	Particulars	Amount
1-Oct-19	Closing Bal	1,020	1-Oct-19	Balance B/f	1,020
Dr	Federal Unemployement Tax Payable	Cr
Date	Particulars	Amount	Date	Particulars	Amount
1-Oct-19	Closing Bal	512	1-Oct-19	Balance B/f	512
Dr	State Unemployment Tax Payable	Cr
Date	Particulars	Amount	Date	Particulars	Amount
1-Oct-19< ekkarill92 Next > < Previous Related Solutions Problem 7-4A Selected accounts from the chart of accounts of Mercer Company are shown below. 101... Problem 7-4A Selected accounts from the chart of accounts of Mercer Company are shown below. 101 Cash 401 Sales Revenue 112 Accounts Receivable 412 Sales Returns and Allowances 120 Inventory 414 Sales Discounts 126 Supplies 505 Cost of Goods Sold 157 Equipment 726 Salaries and Wages Expense 201 Accounts Payable The cost of all merchandise sold was 60% of the sales price. During January, Mercer completed the following transactions. Jan. 3 Purchased merchandise on account from Gallagher Co. $10,200. 4... Based on the interim results below for Cabben Fashion Limited, it has shown a favourable receivables... Based on the interim results below for Cabben Fashion Limited, it has shown a favourable receivables turnover ratio. Discuss 4 possible strategies that Cabben Fashion Limited may have implemented to achieve an improved receivable turnover from 135 days to 91 days.               Cabbeen Fashion Limited (incorporated in the Cayman Islands with limited liability) Cabbeen announces 2018 interim results Profit for the period increased by 24.1% to RMB109.1 million *** *** (1 August 2018, Hong Kong) Cabbeen Fashion Limited... The average collection period ratio is defined as shown below: Accounts Receivable / (sales/ 365) It... The average collection period ratio is defined as shown below: Accounts Receivable / (sales/ 365) It shows how many days, on average, it takes to collect your receivables. If your average collection period was 30 days last year and it is now 45 days, what does that imply? What is happening to your cash position?   What are some things you might do to reduce your average collection period? A firm’s labour demand and labour supply equations are shown below. A firm’s labour demand and labour supply equations are shown below.          Labour demand equation: Ld = 40 – 2(w)          Labour supply equation: Ls = −20 + 3(w),where w is the wage per hour worked.Instructions: Round your answers to the nearest whole number.a. The equilibrium wage is $___ , and the equilibrium quantity of labour employed is ___ people.b. The workers, thinking that their wages are too low, decide to strike. After tense negotiations, the firm decides to raise... Assignment 2 Accounting Information Systems Selected accounts from the chart of accounts of Salah Company are... Assignment 2 Accounting Information Systems Selected accounts from the chart of accounts of Salah Company are shown below. 112 Accounts Receivable 201 Accounts Payable 120 Merchandise Inventory 401 Sales Revenue 157 Equipment 505 Cost of Goods Sold Salah Company uses special journals and a general journal. The following transaction occurred during September 2017. Sept. 2 Sold merchandise on account to Ali, invoice no. 101, $620, terms n/30. The cost of the merchandise sold was $420. 10 Purchased merchandise on account... which of the following accounts is not closed at the end of the accounting period a.... which of the following accounts is not closed at the end of the accounting period a. depreciation expense b. deferred service revenue c. sales d. cost of good sold Consider monthly demand for the ABC Corporation as shown below. Forecast the monthly demand for Year... Consider monthly demand for the ABC Corporation as shown below. Forecast the monthly demand for Year 6 using the 3-period moving average and 4-period moving average. Evaluate the bias, TS, MAD, MAPE and MSE. Evaluate the quality of the forecast Sales Year 1 Year 2 Year 3 Year 4 Year 5 JAN 2000 3000 2000 5000 5000 FEB 3000 4000 5000 4000 2000 MAR 3000 3000 5000 4000 3000 APR 3000 5000 3000 2000 2000 MAY 4000 5000 4000 5000... Ferry's Furniture Outlet has an accounts receivable period of 51.06 days and an accounts payable period... Ferry's Furniture Outlet has an accounts receivable period of 51.06 days and an accounts payable period of 43.07 days. The company turns over its inventory 5.69 times per year. What is the length of the company's operating cycle? Assume 365 days per year. 94.13 days 72.14 days 21.08 days 115.21 days 107.22 days Cost Accounting Question. The profit shown in the financial accounts is Shs. 18,592 and for the... Cost Accounting Question. The profit shown in the financial accounts is Shs. 18,592 and for the same period, the cost accounts showed a profit of 20,496. Comparison of the two sets of accounts revealed the following: Stock Valuations: Cost Accounts Financial Accounts Raw Materials Shs Shs Opening Stock 6,841 7,269 Closing Stock 5,493 5,148 Finished Goods Opening stock 13,281 12,915 Closing stock 11,410 11,141 Dividends and interest received of Shs.572 and a loss of 1,950 on the sale of a... I am supposed to provide verbiage (shown below) and a chart to support the verbiage. I... I am supposed to provide verbiage (shown below) and a chart to support the verbiage. I need your help in making a chart that I can paste into my word document from the current ratios from PepsiCo and Coca-Cola provided below. I know very little about excel or charts and hope you can assist me in learning this process. It will definitely be worth a 5-star rating for you. Thank you for your time and support. The current ratio is... ADVERTISEMENT Subjects Accounting Advanced Math Anatomy and Physiology Biology Chemistry Civil Engineering Computer Science Economics Electrical Engineering Finance History Math Mechanical Engineering Operations Management Physics Psychology Statistics and Probability Nursing Other ADVERTISEMENT Latest Questions There are a large number of tasks involved in information technology and programming, and many of... Using one quantitative and one qualitative health policy research method described in this chapter, design a... What is the Rawls' solution to the age-old question of social         (economic / distributive) justice?... St. Johns River Shipyards' welding machine is 15 years old, fully depreciated, and has no salvage... The following information is available for Robstown Corporation for 20Y8: Inventories January 1 December 31 Materials... /* Complete the TO DO comments below */ window.onload = function() { /* TODO add a... Trevor Price bought 10-year bonds issued by Harvest Foods five years ago for $4,532.35. The bonds... ADVERTISEMENT About @ 2020 WizEdu