Question
1 1/2/14 Deposit $45,000 into business checking account to open business 2 1/2/14 Borrow $30,000 from bank against line of credit at 0.085 annual rate
1 | 1/2/14 | Deposit $45,000 into business checking account to open business |
2 | 1/2/14 | Borrow $30,000 from bank against line of credit at 0.085 annual rate accruing monthly over 12 months |
3 | 1/2/14 | Purchase equipment for $125,000 depreciate to $12,000 salvage value over 5 years DDB in exchange for note payable , @ 0.07 annual rate, amortized monthly over 60 months. Contract calls for balloon payment of $30,000 at end of 60th month. |
4 | 1/2/14 | Record cash payment of 12 months rent $12,000 |
5 | 1/3/14 | Purchase $1,500 supplies on account, $600 remain at month end |
6 | 1/4/14 | Purchase inventory on account,, 600units @ $48 |
7 | 1/8/14 | For prompt payment on transaction # 6 above, which included a discount option of 2/10, net 30, settle 18,000 within terms |
8 | 1/10/14 | Sell 275 units $90 per unit on account |
9 | 1/12/14 | Customer, transaction # 8 , sent payment of 14,000 within terms 2/10, net 30 |
10 | 1/14/14 | Customer actually returned 15 units for full credit |
11 | 1/15/14 | Purchased 325 units of inventory @ $55 on account |
12 | 1/15/14 | To record salaries paid on 1-15-14 (salaries paid on 1st and 15th) $5,500 |
13 | 1/17/14 | Sell 360 units of inventory on account @ $100 per unit, using FIFO |
14 | 1/18/14 | Record contract to deliver 200 units of inventory @ 97 per unit secured by a cash deposit of 10,000, 100 units were actually delivered during the month Bookkeeper recorded all 19,400 as revenue |
15 | 1/18/14 | To record freight-out charges paid in cash in the amount of 346.80 |
16 | 1/28/14 | To record utilities expense for January '14 to be paid on 2/10/16 $575 |
17 | 1/30/14 | 17. Management expects 7 additional returns on January sales in the month of February |
18 | 1/30/14 | 18. Management forecasts bad debt expense by aging schedule below: |
19 | 1/30/14 | 19. Managements considers effect of market changes on inventory as shown below: |
20 | 1/30/14 | Pay dividend to leave 7,000 in retained earnings |
21 | 1/30/14 | 21. Record $100,000 construction expense on account, estimated completion costs $500,000, Contract value $750,000 Billings on construction in progress, $85,000 Collected, $70,000 on billings |
Replacement | Selling | Completion | NRV | Normal profit | |
Cost | Cost | Price | Costs | Ceiling | Margin |
55 | 55 | 85 | 48 | 7 |
Aging
Balance in AR | - | % Bad | Bad |
Less than 30 | 0.65 | 0.02 | |
30 -60 | 0.20 | 0.07 | |
60 -90 | 0.10 | 0.15 | |
90+ | 0.05 | 0.35 |
F. Financial Statements: January 2014 | ||
Income Statement | ||
Construction Revenue | ||
Sales | ||
Sales Discounts | ||
Sales Returns, Allowances | ||
Net Sales | ||
C.O.G.S. | ||
Gross Margin | ||
Supplies Expense | ||
Depreciation | ||
Interest Expense | ||
Salaries expense | ||
Rent expense | ||
Utilities expense | ||
Bad debt expense | ||
LCM Adjustment | ||
Freight out | ||
Net Income |
Balance Sheet | ||||||
Cash | Accounts Payable | |||||
Accounts Receivable | Line of credit | |||||
Allowance for Sales Returns | Unearned Revenue | |||||
Allowance for Doubtful Accts | Salaries payable | |||||
Net Receivables | Billings on Construction | |||||
Construction in Progress | Note Payable | |||||
Prepaid rent | Paid -in Capital | |||||
Supplies | Retained Earnings | |||||
Inventory | ||||||
Equipment | ||||||
A.D. | ||||||
Total |
Cash Flows | |
Net | |
Dpr | |
Accts Rec | |
Allowance Sls | |
Allowance bd | |
Constr in Prog | |
Prepaid | |
Supplies | |
Inventory | |
Accts payable | |
Unearned | |
Salaries payable | |
Billings on Const | |
Opr |
We got 24 hours from now
Just Fill the last 3 tables (cash flow, incom statement, balance sheet)
the 1500 is the total cost of supplies it is not the # of units
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