Set up a horizontal model in the following format:

Required:
a. Enter the beginning (July 28, 2013) and ending (August 3, 2014) account balances for Accounts Receivable, Inventories, and Payable to Suppliers and Others. Find these amounts on the balance sheet for Campbell Soup Company in the appendix.
b. From the income statement for Campbell Soup Company for the year ended August 3, 2014, in the appendix, record the following transactions in the model:
1. Net Sales, assuming that all sales were made on account.
2. Cost of Products Sold, assuming that all costs were transferred from inventories.
3. Marketing, Selling, and Administrative Expenses, assuming all of these expenses were accrued in the Payable to Suppliers and Others liability category as they were incurred.
c. Assuming that the only other transactions affecting these balance sheet accounts were those described next, calculate the amount of each transaction:
1. Purchases of inventories on account.
2. Collections of accounts receivable.
3. Payments to suppliers and others.

Transcribed Image Text:

Assets Liabilities Revenues Expenses Marketing, Cash and Cash Equivalents Accounts Receivable, Net Payable to Suppliers and Net Sales Cost of Selng, and Products Administrative Inventories Others Sold Expenses Beginning balance Net sales Cost of products sold Marketing, selling, and administrative expenses Purchases on account Collections ofaccounts Payments to suppliers and others Ending balance