7

-A 5.9 18.p. Op Topup-to-where and the recor fe 9400 tele A B D E F G 1 3 4 5 7 It would be unusual for a company to have an asset impairment in Year 1, but for the sake of this example, ABC realized that their intangible asset might be impaired on December 31, 20X1. Record the impairment if any. The expected future net cash flows for this intangible asset totals $30,000, and the fair value of the asset is $27.500, 5 7 B 3 8 On 7/1/X1, ABC purchased 7,000 shares of its own stock from existing stockholders as treasury stock. The cost of the treasury stock was $7 per share, or $49,000 in total. The effects of this transaction are alrcady shown in the unadjusted trial balance. On 12/31/XI, ABC reissued these 7,000 shares of treasury stock at $10 per share. Record the journal entry required for the reissuance of the treasury stock 1 2 3 9 On 12/31/X1, ABC issued 5,000 shares of $3 par value common stock at the closing market price of $7 per share. Prepare ABC's journal entry to reflect the issuance of the stock on 12/31/X1. 5 7 11A Ang Journals tucions Whated and Aa W P 13 ( S B / . e O 9 96 3 7 07 > 8 3 4 P D E 167,000 A B 2 Unadjusted Trial Balance 3 December 31, 20X1 4 5 Debit Credit 6 Cash $ 945,282 7 Short term investments 8 Fair value adjustment (Trading) 9 Accounts receivable 190,300 10 Allowance for doubtful accounts 11 Inventory 12 Purchases 350,000 13 Prepaid insurance 24,600 14 LT (Debt) investments (HTM) 177,824 15 Land 75,000 16 Building 150,000 17 Accumulated depreciation building 4,000 18 Equipment 60,000 19 Accumulated depreciation equipment 20,000 20 Patent 37,500 21 Accounts payable 75,240 22 Notes payable 235,000 23 Income taxes payable 63,800 24 Uneamed rent revenue 36,000 25 Bonds Payable 800,000 26 Premium on Bonds Payable 61,771 27 Common stock 86,000 28 PIC In Excess of Per-Common Stock 13,000 29 Retained earnings 30 Treasury stock 49,000 31 Dividends 41,000 32 Sales Revenue 1,162,995 33 Advertising capens 8,400 34 Wages expense 67,600 35 Office expense 21,700 36 Amortization expense 37 Depreciation expense 24,000 38 Ulicies expense 31,000 39 Insurance expense 73.800 40 Income taxes expense 63,800 41 $ 2.557 806 $ 2.557 806 42 43 44 45 Instructions Unadjusted TriaBalance Adjustments