Accounting Cycle Review 15 a-e Crane Corporation's trial balance at December 31, 2020, is presented below. All 2020 transactions have been recorded except for the items described below. Debit Credit $25,500 59,000 22,600 65,900 99,300 35,000 $460 31,500 15,800 19,300 -0- -0- 8,400 46,000 26,000 Cash Accounts Receivable Inventory Land Buildings Equipment Allowance for Doubtful Accounts Accumulated Depreciation-Buildings Accumulated Depreciation Equipment Accounts Payable Interest Payable Dividends Payable Unearned Rent Revenue Bonds Payable (10%) Common Stock ($10 par) Paid-in Capital in Excess of Par-Common Stock Preferred Stock ($20 par) Paid-in Capital in Excess of Par-Preferred Stock Retained Earnings Treasury Stock Cash Dividends Sales Revenue Rent Revenue Bad Debt Expense Interest Expense Cost of Goods Sold Depreciation Expense Other Operating Expenses Salaries and Wages Expense Total 5,200 -0- -0- 43,740 -0- -0- 612,000 -0- -0- 401,000 -0- 36,000 64,100 $808,400 $808,400 Unrecorded transactions and adjustments: 1. On January 1, 2020, Crane issued 1,100 shares of $20 par, 6% preferred stock for $25,300. 2. On January 1, 2020, Crane also issued 1,200 shares of common stock for $26,400. 3. Crane reacquired 270 shares of its common stock on July 1, 2020, for $46 per share. 4. On December 31, 2020, Crane declared the annual cash dividend on the preferred stock and a $1.30 per share dividend on the outstanding common stock, all payable on January 15, 2021. 5. Crane estimates that uncollectible accounts receivable at year-end is $5,900. 6. The building is being depreciated using the straight-line method over 30 years. The salvage value is $4,800. 7. The equipment is being depreciated using the straight-line method over 10 years. The salvage value is $3,500. 8. The unearned rent was collected on October 1, 2020. It was receipt of 4 months' rent in advance (October 1, 2020 through January 31, 2021). 9. The 10% bonds payable pay interest every January 1. The interest for the 12 months ended December 31, 2020, has not been paid or recorded. (Ignore income taxes.) Your answer is correct. Prepare journal entries for the transactions and adjustment listed above. (Credit account titles are automatically No. Account Titles and Explanation Debit Credit 1. Cash 25300 Preferred Stock 22000 Paid-in Capital in Excess of Par-Preferred Stock 3300 2. Cash 26400 Common Stock 12000 Paid-in Capital in Excess of Par-Common Stock 14400 3. Treasury Stock 12420 Cash 12420 4. Cash Dividends 5909 Dividends Payable 5909 HUBUHUHUHTEDELELLFIT 5. Bad Debt Expense 5440 Allowance for Doubtful Accounts 5440 6. Depreciation Expense 3150 Accumulated Depreciation-Buildings 3150 7. Depreciation Expense 3150 Accumulated Depreciation-Equipment 3150 8. Unearned Rent Revenue 6300 Rent Revenue 6300 9. Interest Expense 4600 Interest Payable 4600 CRANE CORPORATION Trial Balance December 31, 2020 Debit Credit Cash 64780 Accounts Receivable 59000 Inventory 22600 Land 65900 Buildings 99300 Equipment 35000 M Allowance for Doubtful Accounts 5900 Accumulated Depreciation-Buildings 34650 Accumulated Depreciation Equipment 18950 Accounts Payable 19300 Interest Payable 4600 Dividends Payable 5909 Unearned Rent Revenue 2100 Bonds Payable 46000 Common Stock 38000 Paid-in Capital in Excess of Par-Common Stock 19600 Preferred Stock 22000 Paid-in Capital in Excess of Par-Preferred Stock 3300 Retained Earnings 43740 Treasury Stock 12420 Cash Dividends 5909 Sales Revenue 612000 Rent Revenue 6300 5440 Bad Debt Expense M Interest Expense 4600 Cost of Goods Sold 401000 Cost of Goods Sold 401000 Depreciation Expense 6300 OLII Other Operating Expenses 36000 Salaries and Wages Expense 64100 882349 882349 LINK TO TEXT LINK TO TEXT Your answer is partially correct. Try again. Prepare a multiple-step income statement for the year ending December 31, 2020. (List other revenues CRANE CORPORATION Income Statement For the Year Ended December 31, 2020 Sales Revenue Cost of Goods Sold 000 Gross Profit/ (Loss) Operating Expenses IX Other Operating Expenses