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1. The company's bank statement shows a cash balance of $10,000. Comparing the company's cash records with the monthly bank statement reveals several additional cash
1. The company's bank statement shows a cash balance of $10,000. Comparing the company's cash records with the monthly bank statement reveals several additional cash transactions such as checks outstanding of $6,200, deposits outstanding of $5,000, NSF check of $1,200, and service fee of $30 and a $2,200 note receivable collected by the bank. Calculate the correct balance of cash: $____ 2. At December 31, the company had account balances in Accounts Receivable of $30,000 and in Allowance for Uncollectible Accounts (AUA) of $600 (credit) before any adjustments. An analysis of the company's December 31 accounts receivable suggests that the allowance for uncollectible accounts should be 9% of accounts receivable. After the adjusting entry, what is the balance in the AUA account? $ 3. The company had $36,000 of inventory on December 31, Year 2. During the year they purchased $425,000 and cost of goods was $416,000. What was the company's beginning inventory for Year 2? $ 4. Use the following to calculate operating income: $_ Interest revenue $6,000 Sales revenue Income tax expense 12,000 Cost of goods sold Selling expenses 42,000 Salaries expense Utilities expense 3,600 Rent expense $500,000 310,000 95,000 11,000 5. The company purchased new equipment at the beginning of year 1 for $200,000. Management estimated they would use the equipment for 5 years and when they were done using it they estimated the residual value would be $10,000. What is the equipment's book value at the end of year 3 assuming the company uses straight-line deprecation
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