ACC26Assignment on Chapter 3 and 4 Assignment Due Date: Wednesday October 21 by 11:58 pm SABRINA CORPORATION UNADJUSTED TRIAL BALANCE DECEMBER 31, 2019 DEST CREDIT 36 30.300 2015 2.450 30 000 900.000 210.000 0 000 ACCOUNTS CASH FV- Short Term INVESTMENTS ACCOUNTS RECEIVABLE ALLOWANCE FOR DOUBTFUL ACCOUNTS INVENTORY NOTES RECEIVIBLE OFFICE BULDING ACCUMULATED DEPRECATION OFFICE BUILDING OFFICE EQUIPMENT ACCUMULATED DEPRECIATION OFFICE EQUIPMENT) ACCOUNTS PAYABLE DIVIDENDS PAYABLE NOTES PAYABLE PREFERRED STOCK 30.000 OUTSTANDING ON DECEMBER 31.2019 COMMON STOCK 100,000 OUTSTANDING ON DEC 1 2018 RETAINED EARRINGS SALES REVENUE SALES DISCOUNTS SALES RETURNS AND ALLOWANCES PURCHASES PURCHASES DISCOUNTS TRANSPORTATION IN SALARIES EXPENSE RENT EXPENSE INSURANCE EXPENSE SUFFLES EXPENSE GAIN ON SALE OF ASSETS OF DISCONTINUED DIVISION ADVERTISING EXPENSE OPERATING LOSS ON DISCONTINUED DIVISION UTILITIES EXPENSE CASH DIVIDENDS DECLARED Prulurred Dividends CASH DIVIDENDS DECLARED-Common Didunia TOTAL 200,258 7.120 80.000 100.000 180.000 2023 3.50.524 20 571 5135 2.800194 35.678 25235 320 523 40 305 16:456 25673 13 18160 2198 2050 29.732 4766461 4.451 NOTE: All revenue, expense gain and loss figures above and beforetak This companyes Perfodie Inventory system ADDITIONAL INFORMATION 1.There was a contratos gone bankruptin 2010 and will not pay he count. This has not been recorded yet Also Sabrina Comes the slowance method to record Bad Det bed on an estimate of ens ofending Accounts Recebe 2. The Olorulding relatarame of cost per year The Ofice Equipment is deprecated straight line and has a residue of $5.000. It was purchased on March 1, 2019 and it is strated the feel your 3. A one year 6% not payable of $60.000 was signed on October 2018 On December 1, 2018, comida robe 20.000 a 90 day 5. FV. Ni Short for investments have a far more value of $12.00 on December 31.2018 Investments need to be recorded as far raket akal year end and any sin recente recome Samment 6. The incepere includes: Poky Ace of $12.700 min dance on April 1, 2013 AND Poly B. cost of $3,758. Two year armsaid in anne 1. 2018 1. The company performed a year end physical court of a netoys December 31.2018 The amount of entry on hand December 31, 2018 01.200 Inventory is maintained on a PERIODIC basis. Therefore the year and inventorystment is required REQUIRED Prepare the Adjusting Journal Entries required for the 2013 face your December 31, 2018 b. Prepare a detailed multi-step Income statement including detailed EPS presentation for the year ended December 31, 2018 Assignment Due Date: Wednesday October 21 by 9:58 pm NOTE: Ansune offre de rate was A 2019 common stock was issued as 20.000 evrons or Aland 3.000 condong The amount of way 200.000 ACC 26 Assignment on Chapter 3 and 4 Assignment Due Date: Wednesday October 21 by 1:50 pm SABRINA CORPORATION UNADJUSTED TRIAL BALANCE DECEMBER 31, 2019 DEBIT CREDIT 366 30 300 429 2.450 402012 30.000 900.000 280,000 120000 ACCOUNTS CASH FV- Short Term INVESTMENTS ACCOUNTS RECEIVABLE ALLOWANCE FOR DOUBTFUL ACCOUNTS INVENTORY NOTES RECEIVABLE OFFICE BULDING ACCUMULATED DEPRECATION OFFICE BUILDING OFFICE EQUIPMENT ACCUMULATED DEPRECIATION OFFICE EQUIPMENT) ACCOUNTS PAYABLE DIVENDS PAYABLE NOTES PAYABLE PREFERRED STOCK 30.000 OUTSTANDING ON DECEMBER 31.2019 COMMON STOCK 100,000 OUTSTANDING ON DEC 1 2018 RETAINED EARRINGS SALES REVENUE SALES DISCOUNTS SALES RETURNS AND ALLOWANCES PURCHASES PURCHASES DISCOUNTS TRANSPORTATION IN SALARIES EXPENSE RENT EXPENSE INSURANCE EXPENSE SUPPLIES EXPENSE GAIN ON SALE OF ASSETS OF DISCONTINUED DIVISION ADVERTISING EXPENSE OPERATING LOSS ON DISCONTINUED DIVISION UTUTIES EXPENSE CASH DIVIDENDS DECLARED Prulurred Dividends CASH DIVIDENDS DECLARED-Common Druiden TOTAL 206,258 7,320 80.000 100.000 180.000 2003 350.94 20 571 5135 15,678 25235 320 523 40 105 13 18.00 21:19 20540 4766461 4481 NOTE: All revenue, expense gain and loss figures above are before sex This company see Perfodie Inventory system ADDITIONAL INFORMATION 1.There was a comer that he gone bankruptin 2018 and will representacount. This has not been recorded yet Also Sabrina Comes the slowance method to record Bad Det bed on an estimate of eso ending Accounts Recette 2. The orice Building deprecated at ofcopory The Ofice Equipment is deprecated straight line and has a residue of $5.000. It was purchased on March 1, 2019 ind it has started the feel your 3.A one year 6% note payable of $60.000 was signed on October 2012 4. Os December 3, 2018, comida robe 20.000 a 90 days 5. FV. Ni Short for investments have a far more value of $12.00 on December 31.2018 Investments need to De recorded a far pake a year and and any in ordercome Sument 6. The incepe includes: Poky Act of 12700 min dance on April 1, 2013 AND Poly cost of $3,756. we year armsaid in anne 1. 2018 1. The company performed a year end physical court of fasinertoys December 31.2018 The amount of entry on hand December 21, 2018 01.200 Inventory is maintained on a PERIODIC basis. Therefore the year and inventory ment is required REQUIRED Prepare the Adjusting Journal Entries required for the 2013 face your December 31, 2018 b. Prepare a detailed muls-step Income statement including detailed EPS presentation for the year ended December 31, 2018 Assignment Due Date: Wednesday October by 1:18 pm NOTE: Ansune oferte wat 20 A 2019 common stock was issued as 20.000 Crossovered Aland 3.000 concordon August Document2 Home Insert Draw Design Layout References Mailings Review View Tell me Calibri (Bo. 12 - A A X x ADA EE Paste 8 I U Abedie Aanced AaBbCcDc Aloed AaB Heading Heading 2 Thia ACCOUNTS DEBIT CREDIT 36,868 30,300 425,756 8,400 402,912 30,000 500,000 280,000 120,000 CASH FV-NI Short Term INVESTMENTS ACCOUNTS RECEIVABLE ALLOWANCE FOR DOUBTFUL ACCOUNTS INVENTORY NOTES RECEIVABLE OFFICE BUILDING ACCUMULATED DEPRECIATION (OFFICE BUILDING) OFFICE EQUIPMENT ACCUMULATED DEPRECIATION (OFFICE EQUIPMENT) ACCOUNTS PAYABLE DIVIDENDS PAYABLE NOTES PAYABLE PREFERRED STOCK, 30,000 OUTSTANDING ON DECEMBER 31, 2019 COMMON STOCK, 100,000 OUTSTANDING ON DEC 31, 2019 RETAINED EARNINGS SALES REVENUE SALES DISCOUNTS SALES RETURNS AND ALLOWANCES PURCHASES PURCHASES DISCOUNTS TRANSPORTATION - IN SALARIES EXPENSE RENT EXPENSE INSURANCE EXPENSE SUPPLIES EXPENSE GAIN ON SALE OF ASSETS OF DISCONTINUED DIVISION ADVERTISING EXPENSE OPERATING LOSS ON DISCONTINUED DIVISION UTILITIES EXPENSE CASH DIVIDENDS DECLARED -Preferred Dividends CASH DIVIDENDS DECLARED-Common Dividends TOTAL 0 205,258 7,328 60,000 100,000 185,000 280.623 3,590,524 20,571 51,259 2.600,824 35,678 25.235 320,523 40,956 16,456 25,673 13,650 18,860 21,998 28,540 29,732 20.000 4,766,461 4,766,461 NOTE: All revenue, expense, gain and loss figures above are before tax. This company uses a Periodic Inventory system. NOTE: All revenue, expense, gain and loss figures above are before tax. This company uses a Periodic Inventory system. ADDITIONAL INFORMATION 1. There was a customer that has gone bankrupt in 2019 and will not pay his $4480 account. This has not been recorded yet. Also, Sabrina Corp. uses the allowance method to record Bad Debts based on an estimate of 4% of ending Accounts Receivable. 2. The Office Building is depreciated at a rate of 5% of cost per year. The Office Equipment is depreciated straight line and has a residual value of $5,000. It was purchased on March 1, 2019 and it is estimated to have a useful life of 6 years. 3. A one year 6% note payable of $60,000 was signed on October 1, 2019. 4. On December 1, 2019, a customer signed a 5% note receivable for $30,000 due in 90 days. 5. FV-NI Short term investments have a fair market value of $32,300 on December 31, 2019. Investments need to be recorded at fair market value at year end and any gain or loss is recorded on the Income Statement. 6. The insurance expense Includes : Policy A, cost of $12,700, three year term, paid in advance on April 1, 2019 AND Policy B, cost of $3,756, two year term paid in advance on June 1, 2019. 7. The company performed a year end physical count of its inventory as at December 31, 2019. The amount of inventory on hand at December 31, 2019 amounted to $421,200 Inventory is maintained on a PERIODIC basis. Therefore the year end inventory adjustment is required. REQUIRED: a. Prepare the Adjusting Journal Entries required for the 2019 fiscal year at December 31, 2019. b. Prepare a detailed multi-step income statement (including detailed EPS presentation) for the year ended December 31, 2019. Assignment Due Date: Wednesday October 21 by 11:59 pm NOTE: Assume that the tax rate was 30% Also, in 2019 common stock was issued as follows: 20,000 commons shares were issued on April 1 and 30,000 commons shares were issued on August 1 The amount of common stock outstanding at the beginning of the year (January 1, 2019) was 50,000 shares. Autosave Document2 Home Insert Draw Design Layout References Mailings Review View Tell me Calibri (Bo... 12 Paste AA ADELE 21 ADA Abccdee B Abd AaBbCcDc Aabet AaBb No Spacing hermal ACCOUNTS DEBIT CREDIT 36,868 30,300 425,756 CASH FV-NI Short Term INVESTMENTS ACCOUNTS RECEIVABLE ALLOWANCE FOR DOUBTFUL ACCOUNTS INVENTORY NOTES RECEIVABLE OFFICE BUILDING ACCUMULATED DEPRECIATION (OFFICE BUILDING) OFFICE EQUIPMENT 8,400 402,912 30,000 500,000 280,000 120,000 ACCUMULATED DEPRECIATION (OFFICE EQUIPMENT) 0 205,258 7,328 60,000 100,000 185.000 280,623 3,590,524 20.571 51,259 2,600,824 35,678 ACCOUNTS PAYABLE DIVIDENDS PAYABLE NOTES PAYABLE PREFERRED STOCK, 30,000 OUTSTANDING ON DECEMBER 31, 2019 COMMON STOCK, 100,000 OUTSTANDING ON DEC 31, 2019 RETAINED EARNINGS SALES REVENUE SALES DISCOUNTS SALES RETURNS AND ALLOWANCES PURCHASES PURCHASES DISCOUNTS TRANSPORTATION - IN SALARIES EXPENSE RENT EXPENSE INSURANCE EXPENSE SUPPLIES EXPENSE GAIN ON SALE OF ASSETS OF DISCONTINUED DIVISION ADVERTISING EXPENSE OPERATING LOSS ON DISCONTINUED DIVISION UTILITIES EXPENSE CASH DIVIDENDS DECLARED -Preferred Dividends CASH DIVIDENDS DECLARED-Common Dividends TOTAL 25.235 320,523 40,955 16.456 25,673 13,650 18,860 21.998 28,540 29,732 20.000 4,766,461 4,766,461 NOTE: A 20 gain and loss figures above are before tax. Home Mailings Review View Tell me Insert Draw Design Layout References Calibri (Bo.. 12 - A Aar A. LL b x x ADA 24 ANGE Aa Abcode Pasta AaBbCcDc ABCD A Normal ho sparing NOTE: All revenue, expense gain and loss figures above are before tax. This company uses a Periodic Inventory system. ADDITIONAL INFORMATION 1. There was a customer that has gone bankrupt in 2019 and will not pay his $4480 account. This has not been recorded yet. Also, Sabrina Corp. uses the allowance method to record Bed Debts based on an estimate of 4% of ending Accounts Receivable. 2. The Office Building is depreciated at a rate of 5% of cost per year. The Office Equipment is depreciated straight line and has a residual value of $5,000. It was purchased on March 1, 2019 and it is estimated to have a useful life of 6 years. 3. A one year 6% note payable of $60,000 was signed on October 1, 2019 4. On December 1, 2019, a customer signed a 5% nate receivable for $30,000 due in 90 days. 5. Fy- Ni Short term investments have a fair market value of $32,300 on December 31, 2019. Investments need to be recorded at fair market value at year end and any gain or loss is recorded on the Income Statement 6. The insurance expense includes : Policy A, cost of $12,700, three year term paid in advance on April 1, 2019 AND Policy B, cost of $3,756, two year term paid in advance on June 1, 2019 7. The company performed a year end physical count of its inventory as at December 31, 2019. The amount of inventory on hand at December 31, 2019 amounted to $421,200 Inventory is maintained on a PERIODIC basis. Therefore the year end inventory adjustment is required. REQUIRED: a. Prepare the Adjusting Journal Entries required for the 2019 fiscal year at December 31, 2019. b. Prepare a detailed multi-step income statement (including detailed EPS presentation) for the year ended December 31, 2019 Assignment Due Date: Wednesday October 21 by 11:50 pm NOTE: Assume that the tax rate was 30% Also, in 2019 common stock was issued as follows: 20,000 common shares were issued on April 1 and 30,000 common shares were issued on August 1 The amount of common stock outstanding at the beginning of the year (January 1, 2019) was 50.000 shares ACCOUNTS CASH FYN Sharm INVESTMENTS MOCOUNTS RECEIVABLE ALLOWANCE FOR DOUTUL MCCOUNTS NVENTORY MOTES RICHIVE OFFICE BUILDING ACCUMULATED DEPRECIATION OFFICE BUILDING) OFFICE EQUIPMENT NOCUMULATED DEPRECIATION OFFICE EQUIPMENT) MOUNTS PAYABLE DIVIDENIS PAYABLE NOTES PAYABLE PREFERRED STOCK. OUTSTANDING ON DECEMBER I. SO COMMON STOCK,100.00 OUTSTANDING ON DEC 1.2009 RETAINED EARNINGS SALES RIVER SALESISCOUNTS SALES RETURNS AND ALLOWANCES PURCHASES PURCHASES DISCOUNTS TRANSPORTATION IN SALARIES EXPENSE RENT EXPENSE INSURANCE EXPENSE SUPPLIES EXPENSE KIAIN ON SALE OF ASSETS OF DESCONTINUED DIVISION ADVERTISING EXPENSE OPERATING LOSS ON DESCONTINUED DIVISION UTILITIES EXPENSE CASH DIVIDENDS DECLARID-Plamond Dividende CASH DIVIDENDS DECLARED.Com vidende TOTAL NOTE: All Overloor het This company was a Priede Inventory syston NOTE: Al revenue, expense gain and loss figures above are before tax This company uses a Periodic inventory tem ADDITIONAL INFORMATION There was a customer that has gone bankrupt in 2019 and will not pay his $4480 account. This has not been recorded yet so, Sabrina Corp. uses the allowance method to record Bad Debts based on an estimate of exofending Accounts Receivable 2. The Office Building is deprecated at a rate of of cost per year The Office Equipment is deprecated in and as a residual value of $5.000. It was purchased on March 1, 2019 and is estimated to have a useful life of years. 3. A one year 6% note payable of 350,000 was signed on October 1, 2019. 1. On December 1, 2019, a customer signed as not receivable for $30,000 due in 90 days. PV- Nl Short term investments have a fair market value of 532,300 on December 31, 2013. nements need be recorded at fair market value at year end and any gain or loss is recorded on the income Statement The insurance expense includes Policy A cost of $12.700, three year term paid in advance on April 2019 AND Policy, cost of $3,756, two year term paid in advance on June 2010 The company performed a year and physical count of its inventory as at December 31, 2018 The amount of inventory on hand at December 31, 2015 amounted to 5471,200. Inventory is maintained on a PERIODIC basis. Therefore the year and invertory adjustment is required REQUIRED Prepare the Adjusting Journal Entries required for the 2019 fiscal year at December 31, 2018 Prepare a detailed multi-step income statement including detailed EPS presentation for the year ended December 31, 2019 Assignment Due Date: Wednesday October 21 by 11:00 pm NOTE. Assume that the tax rate was 30% Also, in 2019 common stock was issued as follows: 20,000 common shares were issued on April 1 and 30,000 common shares were issued on August ACC26Assignment on Chapter 3 and 4 Assignment Due Date: Wednesday October 21 by 11:58 pm SABRINA CORPORATION UNADJUSTED TRIAL BALANCE DECEMBER 31, 2019 DEST CREDIT 36 30.300 2015 2.450 30 000 900.000 210.000 0 000 ACCOUNTS CASH FV- Short Term INVESTMENTS ACCOUNTS RECEIVABLE ALLOWANCE FOR DOUBTFUL ACCOUNTS INVENTORY NOTES RECEIVIBLE OFFICE BULDING ACCUMULATED DEPRECATION OFFICE BUILDING OFFICE EQUIPMENT ACCUMULATED DEPRECIATION OFFICE EQUIPMENT) ACCOUNTS PAYABLE DIVIDENDS PAYABLE NOTES PAYABLE PREFERRED STOCK 30.000 OUTSTANDING ON DECEMBER 31.2019 COMMON STOCK 100,000 OUTSTANDING ON DEC 1 2018 RETAINED EARRINGS SALES REVENUE SALES DISCOUNTS SALES RETURNS AND ALLOWANCES PURCHASES PURCHASES DISCOUNTS TRANSPORTATION IN SALARIES EXPENSE RENT EXPENSE INSURANCE EXPENSE SUFFLES EXPENSE GAIN ON SALE OF ASSETS OF DISCONTINUED DIVISION ADVERTISING EXPENSE OPERATING LOSS ON DISCONTINUED DIVISION UTILITIES EXPENSE CASH DIVIDENDS DECLARED Prulurred Dividends CASH DIVIDENDS DECLARED-Common Didunia TOTAL 200,258 7.120 80.000 100.000 180.000 2023 3.50.524 20 571 5135 2.800194 35.678 25235 320 523 40 305 16:456 25673 13 18160 2198 2050 29.732 4766461 4.451 NOTE: All revenue, expense gain and loss figures above and beforetak This companyes Perfodie Inventory system ADDITIONAL INFORMATION 1.There was a contratos gone bankruptin 2010 and will not pay he count. This has not been recorded yet Also Sabrina Comes the slowance method to record Bad Det bed on an estimate of ens ofending Accounts Recebe 2. The Olorulding relatarame of cost per year The Ofice Equipment is deprecated straight line and has a residue of $5.000. It was purchased on March 1, 2019 and it is strated the feel your 3. A one year 6% not payable of $60.000 was signed on October 2018 On December 1, 2018, comida robe 20.000 a 90 day 5. FV. Ni Short for investments have a far more value of $12.00 on December 31.2018 Investments need to be recorded as far raket akal year end and any sin recente recome Samment 6. The incepere includes: Poky Ace of $12.700 min dance on April 1, 2013 AND Poly B. cost of $3,758. Two year armsaid in anne 1. 2018 1. The company performed a year end physical court of a netoys December 31.2018 The amount of entry on hand December 31, 2018 01.200 Inventory is maintained on a PERIODIC basis. Therefore the year and inventorystment is required REQUIRED Prepare the Adjusting Journal Entries required for the 2013 face your December 31, 2018 b. Prepare a detailed multi-step Income statement including detailed EPS presentation for the year ended December 31, 2018 Assignment Due Date: Wednesday October 21 by 9:58 pm NOTE: Ansune offre de rate was A 2019 common stock was issued as 20.000 evrons or Aland 3.000 condong The amount of way 200.000 ACC 26 Assignment on Chapter 3 and 4 Assignment Due Date: Wednesday October 21 by 1:50 pm SABRINA CORPORATION UNADJUSTED TRIAL BALANCE DECEMBER 31, 2019 DEBIT CREDIT 366 30 300 429 2.450 402012 30.000 900.000 280,000 120000 ACCOUNTS CASH FV- Short Term INVESTMENTS ACCOUNTS RECEIVABLE ALLOWANCE FOR DOUBTFUL ACCOUNTS INVENTORY NOTES RECEIVABLE OFFICE BULDING ACCUMULATED DEPRECATION OFFICE BUILDING OFFICE EQUIPMENT ACCUMULATED DEPRECIATION OFFICE EQUIPMENT) ACCOUNTS PAYABLE DIVENDS PAYABLE NOTES PAYABLE PREFERRED STOCK 30.000 OUTSTANDING ON DECEMBER 31.2019 COMMON STOCK 100,000 OUTSTANDING ON DEC 1 2018 RETAINED EARRINGS SALES REVENUE SALES DISCOUNTS SALES RETURNS AND ALLOWANCES PURCHASES PURCHASES DISCOUNTS TRANSPORTATION IN SALARIES EXPENSE RENT EXPENSE INSURANCE EXPENSE SUPPLIES EXPENSE GAIN ON SALE OF ASSETS OF DISCONTINUED DIVISION ADVERTISING EXPENSE OPERATING LOSS ON DISCONTINUED DIVISION UTUTIES EXPENSE CASH DIVIDENDS DECLARED Prulurred Dividends CASH DIVIDENDS DECLARED-Common Druiden TOTAL 206,258 7,320 80.000 100.000 180.000 2003 350.94 20 571 5135 15,678 25235 320 523 40 105 13 18.00 21:19 20540 4766461 4481 NOTE: All revenue, expense gain and loss figures above are before sex This company see Perfodie Inventory system ADDITIONAL INFORMATION 1.There was a comer that he gone bankruptin 2018 and will representacount. This has not been recorded yet Also Sabrina Comes the slowance method to record Bad Det bed on an estimate of eso ending Accounts Recette 2. The orice Building deprecated at ofcopory The Ofice Equipment is deprecated straight line and has a residue of $5.000. It was purchased on March 1, 2019 ind it has started the feel your 3.A one year 6% note payable of $60.000 was signed on October 2012 4. Os December 3, 2018, comida robe 20.000 a 90 days 5. FV. Ni Short for investments have a far more value of $12.00 on December 31.2018 Investments need to De recorded a far pake a year and and any in ordercome Sument 6. The incepe includes: Poky Act of 12700 min dance on April 1, 2013 AND Poly cost of $3,756. we year armsaid in anne 1. 2018 1. The company performed a year end physical court of fasinertoys December 31.2018 The amount of entry on hand December 21, 2018 01.200 Inventory is maintained on a PERIODIC basis. Therefore the year and inventory ment is required REQUIRED Prepare the Adjusting Journal Entries required for the 2013 face your December 31, 2018 b. Prepare a detailed muls-step Income statement including detailed EPS presentation for the year ended December 31, 2018 Assignment Due Date: Wednesday October by 1:18 pm NOTE: Ansune oferte wat 20 A 2019 common stock was issued as 20.000 Crossovered Aland 3.000 concordon August Document2 Home Insert Draw Design Layout References Mailings Review View Tell me Calibri (Bo. 12 - A A X x ADA EE Paste 8 I U Abedie Aanced AaBbCcDc Aloed AaB Heading Heading 2 Thia ACCOUNTS DEBIT CREDIT 36,868 30,300 425,756 8,400 402,912 30,000 500,000 280,000 120,000 CASH FV-NI Short Term INVESTMENTS ACCOUNTS RECEIVABLE ALLOWANCE FOR DOUBTFUL ACCOUNTS INVENTORY NOTES RECEIVABLE OFFICE BUILDING ACCUMULATED DEPRECIATION (OFFICE BUILDING) OFFICE EQUIPMENT ACCUMULATED DEPRECIATION (OFFICE EQUIPMENT) ACCOUNTS PAYABLE DIVIDENDS PAYABLE NOTES PAYABLE PREFERRED STOCK, 30,000 OUTSTANDING ON DECEMBER 31, 2019 COMMON STOCK, 100,000 OUTSTANDING ON DEC 31, 2019 RETAINED EARNINGS SALES REVENUE SALES DISCOUNTS SALES RETURNS AND ALLOWANCES PURCHASES PURCHASES DISCOUNTS TRANSPORTATION - IN SALARIES EXPENSE RENT EXPENSE INSURANCE EXPENSE SUPPLIES EXPENSE GAIN ON SALE OF ASSETS OF DISCONTINUED DIVISION ADVERTISING EXPENSE OPERATING LOSS ON DISCONTINUED DIVISION UTILITIES EXPENSE CASH DIVIDENDS DECLARED -Preferred Dividends CASH DIVIDENDS DECLARED-Common Dividends TOTAL 0 205,258 7,328 60,000 100,000 185,000 280.623 3,590,524 20,571 51,259 2.600,824 35,678 25.235 320,523 40,956 16,456 25,673 13,650 18,860 21,998 28,540 29,732 20.000 4,766,461 4,766,461 NOTE: All revenue, expense, gain and loss figures above are before tax. This company uses a Periodic Inventory system. NOTE: All revenue, expense, gain and loss figures above are before tax. This company uses a Periodic Inventory system. ADDITIONAL INFORMATION 1. There was a customer that has gone bankrupt in 2019 and will not pay his $4480 account. This has not been recorded yet. Also, Sabrina Corp. uses the allowance method to record Bad Debts based on an estimate of 4% of ending Accounts Receivable. 2. The Office Building is depreciated at a rate of 5% of cost per year. The Office Equipment is depreciated straight line and has a residual value of $5,000. It was purchased on March 1, 2019 and it is estimated to have a useful life of 6 years. 3. A one year 6% note payable of $60,000 was signed on October 1, 2019. 4. On December 1, 2019, a customer signed a 5% note receivable for $30,000 due in 90 days. 5. FV-NI Short term investments have a fair market value of $32,300 on December 31, 2019. Investments need to be recorded at fair market value at year end and any gain or loss is recorded on the Income Statement. 6. The insurance expense Includes : Policy A, cost of $12,700, three year term, paid in advance on April 1, 2019 AND Policy B, cost of $3,756, two year term paid in advance on June 1, 2019. 7. The company performed a year end physical count of its inventory as at December 31, 2019. The amount of inventory on hand at December 31, 2019 amounted to $421,200 Inventory is maintained on a PERIODIC basis. Therefore the year end inventory adjustment is required. REQUIRED: a. Prepare the Adjusting Journal Entries required for the 2019 fiscal year at December 31, 2019. b. Prepare a detailed multi-step income statement (including detailed EPS presentation) for the year ended December 31, 2019. Assignment Due Date: Wednesday October 21 by 11:59 pm NOTE: Assume that the tax rate was 30% Also, in 2019 common stock was issued as follows: 20,000 commons shares were issued on April 1 and 30,000 commons shares were issued on August 1 The amount of common stock outstanding at the beginning of the year (January 1, 2019) was 50,000 shares. Autosave Document2 Home Insert Draw Design Layout References Mailings Review View Tell me Calibri (Bo... 12 Paste AA ADELE 21 ADA Abccdee B Abd AaBbCcDc Aabet AaBb No Spacing hermal ACCOUNTS DEBIT CREDIT 36,868 30,300 425,756 CASH FV-NI Short Term INVESTMENTS ACCOUNTS RECEIVABLE ALLOWANCE FOR DOUBTFUL ACCOUNTS INVENTORY NOTES RECEIVABLE OFFICE BUILDING ACCUMULATED DEPRECIATION (OFFICE BUILDING) OFFICE EQUIPMENT 8,400 402,912 30,000 500,000 280,000 120,000 ACCUMULATED DEPRECIATION (OFFICE EQUIPMENT) 0 205,258 7,328 60,000 100,000 185.000 280,623 3,590,524 20.571 51,259 2,600,824 35,678 ACCOUNTS PAYABLE DIVIDENDS PAYABLE NOTES PAYABLE PREFERRED STOCK, 30,000 OUTSTANDING ON DECEMBER 31, 2019 COMMON STOCK, 100,000 OUTSTANDING ON DEC 31, 2019 RETAINED EARNINGS SALES REVENUE SALES DISCOUNTS SALES RETURNS AND ALLOWANCES PURCHASES PURCHASES DISCOUNTS TRANSPORTATION - IN SALARIES EXPENSE RENT EXPENSE INSURANCE EXPENSE SUPPLIES EXPENSE GAIN ON SALE OF ASSETS OF DISCONTINUED DIVISION ADVERTISING EXPENSE OPERATING LOSS ON DISCONTINUED DIVISION UTILITIES EXPENSE CASH DIVIDENDS DECLARED -Preferred Dividends CASH DIVIDENDS DECLARED-Common Dividends TOTAL 25.235 320,523 40,955 16.456 25,673 13,650 18,860 21.998 28,540 29,732 20.000 4,766,461 4,766,461 NOTE: A 20 gain and loss figures above are before tax. Home Mailings Review View Tell me Insert Draw Design Layout References Calibri (Bo.. 12 - A Aar A. LL b x x ADA 24 ANGE Aa Abcode Pasta AaBbCcDc ABCD A Normal ho sparing NOTE: All revenue, expense gain and loss figures above are before tax. This company uses a Periodic Inventory system. ADDITIONAL INFORMATION 1. There was a customer that has gone bankrupt in 2019 and will not pay his $4480 account. This has not been recorded yet. Also, Sabrina Corp. uses the allowance method to record Bed Debts based on an estimate of 4% of ending Accounts Receivable. 2. The Office Building is depreciated at a rate of 5% of cost per year. The Office Equipment is depreciated straight line and has a residual value of $5,000. It was purchased on March 1, 2019 and it is estimated to have a useful life of 6 years. 3. A one year 6% note payable of $60,000 was signed on October 1, 2019 4. On December 1, 2019, a customer signed a 5% nate receivable for $30,000 due in 90 days. 5. Fy- Ni Short term investments have a fair market value of $32,300 on December 31, 2019. Investments need to be recorded at fair market value at year end and any gain or loss is recorded on the Income Statement 6. The insurance expense includes : Policy A, cost of $12,700, three year term paid in advance on April 1, 2019 AND Policy B, cost of $3,756, two year term paid in advance on June 1, 2019 7. The company performed a year end physical count of its inventory as at December 31, 2019. The amount of inventory on hand at December 31, 2019 amounted to $421,200 Inventory is maintained on a PERIODIC basis. Therefore the year end inventory adjustment is required. REQUIRED: a. Prepare the Adjusting Journal Entries required for the 2019 fiscal year at December 31, 2019. b. Prepare a detailed multi-step income statement (including detailed EPS presentation) for the year ended December 31, 2019 Assignment Due Date: Wednesday October 21 by 11:50 pm NOTE: Assume that the tax rate was 30% Also, in 2019 common stock was issued as follows: 20,000 common shares were issued on April 1 and 30,000 common shares were issued on August 1 The amount of common stock outstanding at the beginning of the year (January 1, 2019) was 50.000 shares ACCOUNTS CASH FYN Sharm INVESTMENTS MOCOUNTS RECEIVABLE ALLOWANCE FOR DOUTUL MCCOUNTS NVENTORY MOTES RICHIVE OFFICE BUILDING ACCUMULATED DEPRECIATION OFFICE BUILDING) OFFICE EQUIPMENT NOCUMULATED DEPRECIATION OFFICE EQUIPMENT) MOUNTS PAYABLE DIVIDENIS PAYABLE NOTES PAYABLE PREFERRED STOCK. OUTSTANDING ON DECEMBER I. SO COMMON STOCK,100.00 OUTSTANDING ON DEC 1.2009 RETAINED EARNINGS SALES RIVER SALESISCOUNTS SALES RETURNS AND ALLOWANCES PURCHASES PURCHASES DISCOUNTS TRANSPORTATION IN SALARIES EXPENSE RENT EXPENSE INSURANCE EXPENSE SUPPLIES EXPENSE KIAIN ON SALE OF ASSETS OF DESCONTINUED DIVISION ADVERTISING EXPENSE OPERATING LOSS ON DESCONTINUED DIVISION UTILITIES EXPENSE CASH DIVIDENDS DECLARID-Plamond Dividende CASH DIVIDENDS DECLARED.Com vidende TOTAL NOTE: All Overloor het This company was a Priede Inventory syston NOTE: Al revenue, expense gain and loss figures above are before tax This company uses a Periodic inventory tem ADDITIONAL INFORMATION There was a customer that has gone bankrupt in 2019 and will not pay his $4480 account. This has not been recorded yet so, Sabrina Corp. uses the allowance method to record Bad Debts based on an estimate of exofending Accounts Receivable 2. The Office Building is deprecated at a rate of of cost per year The Office Equipment is deprecated in and as a residual value of $5.000. It was purchased on March 1, 2019 and is estimated to have a useful life of years. 3. A one year 6% note payable of 350,000 was signed on October 1, 2019. 1. On December 1, 2019, a customer signed as not receivable for $30,000 due in 90 days. PV- Nl Short term investments have a fair market value of 532,300 on December 31, 2013. nements need be recorded at fair market value at year end and any gain or loss is recorded on the income Statement The insurance expense includes Policy A cost of $12.700, three year term paid in advance on April 2019 AND Policy, cost of $3,756, two year term paid in advance on June 2010 The company performed a year and physical count of its inventory as at December 31, 2018 The amount of inventory on hand at December 31, 2015 amounted to 5471,200. Inventory is maintained on a PERIODIC basis. Therefore the year and invertory adjustment is required REQUIRED Prepare the Adjusting Journal Entries required for the 2019 fiscal year at December 31, 2018 Prepare a detailed multi-step income statement including detailed EPS presentation for the year ended December 31, 2019 Assignment Due Date: Wednesday October 21 by 11:00 pm NOTE. Assume that the tax rate was 30% Also, in 2019 common stock was issued as follows: 20,000 common shares were issued on April 1 and 30,000 common shares were issued on August
