Services at December 31, 2011 are listed below:
|
Accounts Payable
|
$12,000
|
J. Trendsetter, Capital 1/1/11
|
$10,000
|
|
Accounts Receivable
|
6,000
|
Supplies
|
1,000
|
|
Cash
|
18,000
|
Taxes Expense
|
1,300
|
|
Computer Equipment
|
21,000
|
Utilities Expens
|
8,000
|
|
Fees Earned
|
70,000
|
Wages Expense
|
25,000
|
|
Rent Expense
|
10,000
|
Supplies Expense
|
1,700
|
Prepare an income statement, statement of owner's equity, and a balance sheet as of December 31, 2011.
Jacki Lopez started JVL Consulting on January 1, 2011. The following are the account balances at the end of the first month of business, before adjusting entries were recorded:
|
Accounts Payable
|
$350
|
|
Accounts Receivable
|
750
|
|
Cash
|
4,325
|
|
Consulting Revenue
|
4,925
|
|
Equipment
|
7,000
|
|
Jacki Lopez, Capital
|
15,000
|
|
Jacki Lopez, Drawing
|
1,400
|
|
Prepaid Rent
|
6,000
|
|
Supplies
|
800
|
Adjustment data:
Supplies on hand at the end of the month: $300
Unbilled Consulting Revenue: $850
Rent expense for the month: $2,000
Depreciation on equipment: $150
(a) Prepare the required adjusting entries, adding accounts as needed.
(b) Prepare an Adjusted Trial Balance for JVL Consulting as of January 31, 2011.
The following is the adjusted trial balance for ABC Company.
|
Sandeep Company
|
|
Adjusted Trial Balance
|
|
December 31, 2010
|
|
|
|
|
Cash
|
8,130
|
|
|
Accounts Receivable
|
3,300
|
|
|
Prepaid Expenses
|
2,750
|
|
|
Equipment
|
10,400
|
|
|
Accumulated Depreciation
|
|
2,200
|
|
Accounts Payable
|
|
2,700
|
|
Notes Payable
|
|
1,000
|
|
Rena Sandeep, Capital
|
|
11,200
|
|
Rena Sandeep, Drawing
|
4,870
|
|
|
Fees Earned
|
|
36,600
|
|
Wages Expense
|
12,450
|
|
|
Rent Expense
|
4,900
|
|
|
Utilities Expense
|
3,475
|
|
|
Depreciation Expense
|
2,150
|
|
|
Miscellaneous Expense
|
1,275
|
|
|
Totals
|
53,700
|
53,700
|
Prepare closing entries and the post- closing trial balance.
A copy machine acquired with a cost of $1,410 has an estimated useful life of 4 years. It is also expected to have a useful operating life of 13,350 copies. Assuming that it will have a residual value of $75, determine the depreciation for the first year by the
a. straight-line method
b. double declining-balance method
c. production method (4,500 copies were made the first year)
TThe Torre Company has the following balances in stockholders equity on December 31st.
Common Stock - $5.00 par, 60,000 issued $300,000
Additional paid in capital - common 600,000
Preferred stock - $100 par, 5,000 issued 500,000
Additional paid in capital - preferred 100,000
Retained earnings 200,000
Treasury stock (cost - $12.00 per share) 60,000
Answer the following questions:
1. How many shares of treasury stock are owned?
2. What was the average market price per share at which common stock was issued?
3. What was the average market price per share at which preferred stock was issued?
4. What is the total value of the Paid in Capital portion of stockholders equity?
5. What is the total value of stockholders equity?
6. How many shares of common stock are outstanding?
7. If net income for the year was $75,000 and a preferred stock dividend of $20,000 was paid, what was the beginning value of retained earnings? How much is earnings per share for the year?