In: Accounting
Berwick Company compiled the following financial information as
of December 31, 2008:
Revenues $140,000
Berwick, Capital (1/1/08) 105,000
Equipment 40,000
Expenses 125,000
Cash 35,000
Berwick, Drawings 10,000
Supplies 5,000
Accounts payable 20,000
Accounts receivable 15,000
10. Berwick’s assets on December 31, 2008 are
a. $235,000.
b. $170,000.
c. $80,000.
d $95,000.
11. Berwick’s owner’s equity on December 31, 2008
is
a. $105,000.
b. $110,000.
c. $80,000.
d. $120,000.
10) | |||||||
Berwick's assets on December 31, 2008 | |||||||
d. | $ 95,000 | ||||||
Working: | |||||||
Equipment | 40,000 | ||||||
Cash | 35,000 | ||||||
Supplies | 5,000 | ||||||
Accounts receivable | 15,000 | ||||||
Total | 95,000 | ||||||
11) | |||||||
b. | 1,10,000 | ||||||
Working: | |||||||
# 1 | Revenues | 1,40,000 | |||||
Expenses | -1,25,000 | ||||||
Net Income | 15,000 | ||||||
# 2 | Berwick, Capital (1/1/08) | 1,05,000 | |||||
Add net income | 15,000 | ||||||
Less , Berwick Drawings | 10,000 | ||||||
Berwick, Capital (12/31/08) | 1,10,000 | ||||||