Questions
Below is the unadjusted trial balance for Gray Electronic Repair Services; Gray Electronic Repair Services Unadjusted...

Below is the unadjusted trial balance for Gray Electronic Repair Services;
Gray Electronic Repair Services
Unadjusted Trial Balance
December 31, 2019

Account Title Debit Credit

Cash $ 7,480.00
Accounts Receivable 3,400.00
Service Supplies 1,500.00
Furniture and Fixtures 3,000.00
Service Equipment 16,000.00
Accounts Payable $ 9,000.00
Loans Payable 12,000.00
Mr. Gray, Capital 13,200.00
Mr. Gray, Drawing 7,000.00
Service Revenue 9,550.00
Rent Expense 1,500.00
Salaries Expense 3,500.00
Taxes and Licenses 370.00
Totals $ 43,750.00 $ 43,750.00
Assumes the following adjustments data have been done after
December, 2019
1. Supplies on hand $ 600
2. They provide a service for $2300 on account.
3. The company paid for its utility on account $800.
4. The company had accumulated depreciation $720.
5. The company buys new furniture $600.
6. They provide services to a client and receive $1500 cash immediately.
7. The company prepaid $2400 for insurance for 12 months starting from
1/1/2020.
8. The company buys new supplies for $300.
9. The company incurred rent expense for $300.
10. The company receives $800 from the client
You are required to prepare the following in worksheet format.

I. Adjusted Trail balance .
II. Income Statement .
III. Balance sheet (Financial Position) Statement .

In: Accounting

list five mechanisms of Antibody to protect us from pathogens and explain how each mechanism work

list five mechanisms of Antibody to protect us from pathogens and explain how each mechanism work

In: Biology

Do the results from the Stanley Milgram experiment teach us anything about the social responsibility of...

Do the results from the Stanley Milgram experiment teach us anything about the social responsibility of corporations?

In: Economics

what is the full process from start to finish of perparing and issuing Financial statements under...

what is the full process from start to finish of perparing and issuing Financial statements under US GAAP

In: Accounting

How does the US economic system differ from a command economic system, and a traditional economic...

How does the US economic system differ from a command economic system, and a traditional economic system?

In: Economics

How long does it take light to reach us from the Sun, 1.50 ×108km away IN...

How long does it take light to reach us from the Sun, 1.50 ×108km away IN MINUTES?

In: Physics

On January 1, 2020, Sandhill Corp. granted stock options to its chief executive officer. This is...

On January 1, 2020, Sandhill Corp. granted stock options to its chief executive officer. This is the only stock option plan that Sandhill offers and the details are as follows:

Option to purchase: 2,400 common shares
Option price per share: $37.00
Fair value per common share on date of grant: $29.30
Stock option expiration: The earlier of eight years after issuance or the employee’s cessation
of employment with Sandhill for any reason other than retirement
Date when options are first exercisable: The earlier of four years after issuance or the date on which
the employee reaches the retirement age of 65
Fair value of options on date of grant: $7.00


On January 1, 2025, 1,920 of the options were exercised when the fair value of the common shares was $40. The remaining stock options were allowed to expire. The CEO remained with the company throughout the period.

Assume that the entity follows ASPE and has decided not to include an estimate of forfeitures upon initial recognition of the compensation expense. Record the journal entry on January 1, 2020. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date

Account Titles and Explanation

Debit

Credit

January 1, 2020

enter an account title

enter a debit amount

enter a credit amount

enter an account title

enter a debit amount

enter a credit amount

eTextbook and Media

List of Accounts

  

  

Assume that the entity follows ASPE and has decided not to include an estimate of forfeitures upon initial recognition of the compensation expense. Record the journal entry on December 31, 2020, the fiscal year end of Sandhill Corp. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date

Account Titles and Explanation

Debit

Credit

December 31, 2020

enter an account title

enter a debit amount

enter a credit amount

enter an account title

enter a debit amount

enter a credit amount

eTextbook and Media

List of Accounts

  

  

Assume that the entity follows ASPE and has decided not to include an estimate of forfeitures upon initial recognition of the compensation expense. Record the journal entry on January 1, 2025, the exercise date. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)

Date

Account Titles and Explanation

Debit

Credit

January 1, 2025

enter an account title

enter a debit amount

enter a credit amount

enter an account title

enter a debit amount

enter a credit amount

enter an account title

enter a debit amount

enter a credit amount

eTextbook and Media

List of Accounts

  

  

Assume that the entity follows ASPE and has decided not to include an estimate of forfeitures upon initial recognition of the compensation expense. Record the journal entry on December 31, 2027, the expiry date of the options. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date

Account Titles and Explanation

Debit

Credit

December 31, 2027

enter an account title

enter a debit amount

enter a credit amount

enter an account title

enter a debit amount

enter a credit amount

In: Accounting

Which of the following can be excluded from Ellen's gross income? 1. The value of a...

Which of the following can be excluded from Ellen's gross income?

1. The value of a diamond ring that Ellen received as a gift from David.

2. The value of a mansion that Ellen inherited from her parents.

3. The value of concert tickets that Ellen won in a radio contest.

4. The value of a scholarship for room and board that Ellen received to her state university.

Group of answer choices

c. 1, 2, and 3

a. 1 only

d. 2, 3, and 4.

b. 1 and 2

In: Accounting

Tamarisk Dairy leases its milking equipment from Vaughn Finance Company under the following lease terms. 1.The...

Tamarisk Dairy leases its milking equipment from Vaughn Finance Company under the following lease terms.

1.The lease term is 10 years, noncancelable, and requires equal rental payments of $27,900 due at the beginning of each year starting January 1, 2020.

2.The equipment has a fair value at the commencement of the lease (January 1, 2020) of $211,081 and a cost of $263,000 on Vaughn Finance's books. It also has an estimated economic life of 15 years and an expected residual value of $12,700, though Tamarisk Dairy has guaranteed a residual value of $19,200 to Vaughn Finance.

3.The lease contains no renewal options, and the equipment reverts to Vaughn Finance upon termination of the lease. The equipment is not of a specialized use.

4.Tamarisk Dairy's incremental borrowing rate is 8% per year. The implicit rate is also 8%.

5.Tamarisk Dairy depreciates similar equipment that it owns on a straight-line basis.

6.Collectibility of the payments is probable.

Prepare the journal entries for the lessee and lessor at January 1, 2020, and December 31, 2020 (the lessee's and lessor's year-end). Assume no reversing entries.

What would have been the amount of the initial lease liability recorded by the lessee upon the commencement of the lease if:

The residual value of $19,200 had been guaranteed by a third party, not the lessee?

The residual value of $19,200 had not been guaranteed at all?

On the lessor's books, what would be the amount recorded as the lease receivable at the commencement of the lease, assuming:

The residual value of $19,200 had been guaranteed by a third party?

The residual value of $19,200 had not been guaranteed at all?

In: Accounting

Natalie Gold is the owner of the marketing agency Vivid Voice. The company focuses on online...

Natalie Gold is the owner of the marketing agency Vivid Voice. The company focuses on online consulting services, such as online marketing campaigns and blog services. The June transactions for Vivid Voice resulted in totals at June 30, 2020, as shown in the following accounting equation format:

Assets = Liabilities + Equity
Cash + Accounts Receivable + Supplies + Equipment = Accounts Payable + Natalie Gold,Capital Explanation of Equity Transaction
$8,000 + $3,200 + $3,900 + $8,500 = $6,000 + $17,600

During July, the following occurred:

Collected $1,000 from a credit customer.
Paid $3,500 for equipment purchased on account in June.
Did work for a client and collected cash; $3,100.
Paid a part-time consultant’s wages; $1,150.
Paid the July rent; $3,200.
Paid the July utilities; $1,600.
Performed services for a customer on credit; $2,600.
Called an information technology consultant to fix the agency’s photo editing software in August; it will cost $550.

1. Show the effects of the activities listed in (a) through (h). For each transaction that affects equity, select the appropriate description beside it (owner investment, owner withdrawal, revenue, expenses provided in the dropdown). (Enter all amounts as positive values. If the transaction/event does not affect equity or do not require a journal entry, select "No Affect on Equity" in the 'Explanation of equity transaction' field.)



2. Prepare an income statement for July 2020.



3. Prepare an statement of changes in equity for July 2020.



4. Prepare an balance sheet for July 2020.



Analysis Component:
Review Gold’s balance sheet. How much of the assets are financed by Gold? How much of the assets are financed by debt? (Do not round intermediate calculations.)

In: Accounting