Wally’s Widget Company (WWC) incorporated near the end of 2011.
Operations began in January of 2012....
Wally’s Widget Company (WWC) incorporated near the end of 2011.
Operations began in January of 2012. WWC prepares adjusting entries
and financial statements at the end of each month. Balances in the
accounts at the end of January are as follows:
Cash
$
21,020
Unearned
Revenue (35 units)
$
5,150
Accounts
Receivable
$
12,050
Accounts Payable (Jan Rent)
$
2,900
Allowance for Doubtful
Accounts
$
(1,700)
Notes Payable
$
14,000
Inventory (40
units)
$
3,400
Contributed Capital...
Will’s Widget Company (WWC) incorporated near the end of 2017.
Operations began in January of 2018....
Will’s Widget Company (WWC) incorporated near the end of 2017.
Operations began in January of 2018. WWC prepares adjusting entries
and financial statements at the end of each month. Balances in the
accounts at the end of January are as follows:
Account Title
Dr
Cr
Cash
21,170
Accounts Receivable
12,200
Allowance for Doubtful Accounts
1,750
Inventory (45 units)
3,825
Unearned Revenue (40 units)
5,200
Accounts Payable
3,000
Notes Payable
14,500
Contributed Capital
6,700
Retained Earnings - Feb 1, 2018
6,045...
Cash
$
21,020
Unearned Revenue (35 units)
$
5,150
Accounts Receivable
$
12,050
Accounts Payable...
Cash
$
21,020
Unearned Revenue (35 units)
$
5,150
Accounts Receivable
$
12,050
Accounts Payable
(Jan Rent)
$
2,900
Allowance for Doubtful Accounts
$
(1,700)
Notes Payable
$
14,000
Inventory (40 units)
$
3,400
Contributed
Capital
$
6,600
Retained
Earnings – Feb 1, 2012
$
6,120
•
WWC
establishes a policy that it will sell inventory at $150 per
unit.
•
In
January, WWC received a $5,150 advance for 35 units, as reflected
in Unearned...
The Panama Pajama
Company began operations on January 1, 2015, and is now in its
third...
The Panama Pajama
Company began operations on January 1, 2015, and is now in its
third year of operations.
The adjusted trial balance as
of December 31, 2018 appears below, along with prior year balance
sheet data and some additional transaction data for 2018.
THE PANAMA PAJAMA COMPANY
Adjusted Trial Balance
12/31/18
2018
2017
Account Title
Adjusted Trial Balance
Balance Sheet Info
Debit
Credit
Debit
Credit
Cash
$ 137,100
$ 35,700
Accounts Receivable
12,000
11,000
Inventory
4,400...
On January 1, 2023, Honey Corp. had Accounts Receivable of
$54,300 and Allowance for Doubtful Accounts...
On January 1, 2023, Honey Corp. had Accounts Receivable of
$54,300 and Allowance for Doubtful Accounts of $3,700. Honey Corp.
prepares financial statements annually. During the year, the
following selected transactions occurred:
Jan. 5
Sold $3,600 of merchandise to Ree Company, terms n/30.
Feb. 2
Accepted a $3,600, 4-month, 9% promissory note from Ree Company
for balance due.
12
Sold $10,800 of merchandise to Cat-o Company and accepted
Cat-o’s $10,800, 2-month, 10% note for the balance due.
26
Sold $5,400 of merchandise...
Parry Corporation acquired a 100% interest in Sent Company on
January 1, 2011, paying $139,100. Financial...
Parry Corporation acquired a 100% interest in Sent Company on
January 1, 2011, paying $139,100. Financial statement data for the
two companies for the year ended December 31, 2011 follow:
Income Statement
Parry
Sent
Sales
$478,800
$153,700
Cost of goods sold
285,700
120,600
Other expense
45,600
29,500
Dividend income
3,400
—0—
Retained Earnings
Statement
Balance, 1/1
75,400
19,300
Net income
150,900
3,600
Dividends declared
17,500
3,400
Balance Sheet
Cash
84,400
29,300
Accounts receivable
76,200
56,300
Inventory
49,900
36,400
Investment in...
At the end of January 2005 (its first month of
operations in the dry cleaning business),...
At the end of January 2005 (its first month of
operations in the dry cleaning business), Botkin Corporation was
low on cash and needed a loan. The bank requested a balance sheet
as of January 31, 2005. The following information was
available:
Accounts
Payable
$ 9,000
Account Receivable
50,000
Buildings
170,000
Land
45,000
Stockholders’ Equity (Owner’s
Equity)
180,000
Salaries
Payable
5,000
Equipment
39,000
Notes
Payable
130,000
Cash
?
Required: Prepare a...
On January 1, 2017, Bonita Industries had Accounts Receivable of
$53,100 and Allowance for Doubtful Accounts...
On January 1, 2017, Bonita Industries had Accounts Receivable of
$53,100 and Allowance for Doubtful Accounts of $3,600. Bonita
Industries prepares financial statements annually. During the year,
the following selected transactions occurred:
Jan. 5 Sold $4,500 of merchandise to Rian Company, terms
n/30.
Feb. 2 Accepted a $4,500, 4-month, 8% promissory note from Rian
Company for balance due.
Feb 12 Sold $11,520 of merchandise to Cato Company and accepted
Cato’s $11,520, 2-month, 10% note for the balance due.
Feb 26...
Wicks Corporation began operations on January 1, 2019. At the
end of 2019, Wicks reported pretax...
Wicks Corporation began operations on January 1, 2019. At the
end of 2019, Wicks reported pretax financial income of $59,200 and
taxable income of $59,230, due to two temporary differences. The
income tax rate is 25% for 2019 through 2021, but Congress has
enacted a tax rate of 35% for 2022 and beyond. To determine its
deferred taxes, Wicks prepared the following schedule of expected
future taxable and deductible amounts for the two temporary
differences:
2020
2021
2022
2023
Future...
Rios Financial Co. is a regional insurance company that began
operations on January 1, Year 1....
Rios Financial Co. is a regional insurance company that began
operations on January 1, Year 1. The following transactions relate
to trading securities acquired by Rios Financial Co., which has a
fiscal year ending on December 31:
Record these transactions on page 10:
Year 1
Feb. 1. Purchased 4,700 shares of Caldwell Inc. as a trading
security at $36 per share plus a brokerage commission of
$470.
May 1. Purchased 1,800 shares of Holland Inc. as a trading
security at...