Assignment
Question 1: Apachi Company ended its fiscal year on July 31, 2010. The company's adjusted trial balance as of the end of its fiscal year is as shown below.
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APACHI COMPANY
Adjusted Trial Balance
July 31, 2010
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No.
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Account Titles
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Debits
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Credits
|
|
101
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Cash
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$14,840
|
|
|
112
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Accounts Receivable
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8,780
|
|
|
157
|
Equipment
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15,900
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|
|
167
|
Accumulated Depreciation
|
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$7,400
|
|
201
|
Accounts Payable
|
|
4,220
|
|
208
|
Unearned Rent Revenue
|
|
1,800
|
|
301
|
B. J. Apachi, Capital
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|
45,200
|
|
306
|
B. J. Apachi, Drawing
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16,000
|
|
|
404
|
Commission Revenue
|
|
65,000
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|
429
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Rent Revenue
|
|
6,500
|
|
711
|
Depreciation Expense
|
4,000
|
|
|
720
|
Salaries Expense
|
55,700
|
|
|
732
|
Utilities Expense
|
14,900
|
|
|
|
$130,120
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$130,120
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Instructions
(a) Prepare the closing entries.
Question 2: On September 1, Howe Office Supply had an inventory of 30 pocket calculators at a cost of $18 each. The company uses a perpetual inventory system. During September, the following transactions occurred.
Sept. 6 Purchased 80 calculators at $20 each from De Vito Co. for cash.
9 Paid freight of $80 on calculators purchased from De Vito Co.
10 Returned 2 calculators to De Vito Co. for a $42 credit (including freight) because they did not meet specifications.
12 Sold 26 calculators costing $21 (including freight) for $31 each to Mega Book Store, terms n/30.
14 Granted credit of $31 Mega Book Store for the return of one calculator that was not ordered.
20 Sold 30 calculators costing $21 for $31 each to Barbara's Card Shop, terms n/30.
Instructions
Journalize the September transactions.