Bobcat Coffee had sales of goods totaling $200,000, receiving $150,000 in cash and $50,000 on account The cost of the goods sold were $60,000 Bobcat Coffee purchased $80,000 of inventory All purchases were on account Bobcat Coffee paid salaries of $50,000 This was payment for salaries of $35,000 and $15,000 that was payable from last year Bobcat Coffee purchased $7,000 of supplies All of these purchases were on account Bobcat Coffee received $40,000 cash from customers who had been granted credit The entire amount collected relates to sales from last year Bobcat Coffee paid utilities for the current month of $5,000 Bobcat Coffee paid $45,000 to its suppliers related to previous purchases on account Bobcat Coffee paid $12,000 in rent for the year Bobcat Coffee incurred depreciation expense for the year on old equipment $2,000 After counting its supplies on hand, Bobcat Coffee determined that they had $6,000 in supplies on hand Hint What is the amount of supplies that has been used in the month What journal entry needs to be prepared $9,000 of prepaid insurance expired Bobcat Coffee paid $300 of interest on its long term debt Bobcat Coffee incurred $17,000 of salaries expense in December, but will pay this amount next month (January) Bobcat Coffee declared and paid $4,000 in cash dividends Bobcat Coffee bought a new piece of equipment for $50,000 Bobcat coffee financed the equipment with a note from the bank The equipment purchased has a 10 year useful life and no expected salvage value Depreciation is calculated on a straight line basis Bobcat Coffee pre sold $3,000 of coffee in December 20x4 to a customer for a week long conference scheduled for January 20X5 The customer paid upfront for the large order a month ahead of time (December) to secure the order The coffee was then delivered as planned for the conference in January REQUIRED Balance Sheet Beginning Balance Sheet Bobcat Coffee Balance Sheet December 31, 20X3 Assets Current Assets Cash $ 12,000 Accounts Receivable 8,000 Prepaid Insurance 10,000 Supplies 2,000 Inventory 30,000 Total Current Assets $ 62,000 Property Plant Equipment Land $ 81,500 Equipment 100,000 Accumulated Depreciation (30,000) Total PPE $ 138,000 Total Assets $ 213,500 Liabilities Stockholders Equity Current Liabilities Accounts Payable $ 5,000 Salaries Payable 15,000 Total Current Liabilities $ 20,000 Long Term Debt $ 100,000 Stockholders Equity Retained Earnings $ 38,500 Common Stock 55,000 Total Stockholders Equity $ 93,500 Total Liabilities Stockholders Equity $ 213,500

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Posted on Jul 17, 2024

Bobcat Coffee had sales of goods totaling $200,000, receiving $150,000 in cash and $50,000 on account. The cost of the goods sold were $60,000. Bobcat

Bobcat Coffee had sales of goods totaling $200,000, receiving $150,000 in cash and $50,000 on account. The cost of the goods sold were $60,000.
Bobcat Coffee purchased $80,000 of inventory. All purchases were on account.
Bobcat Coffee paid salaries of $50,000. This was payment for salaries of $35,000 and $15,000 that was payable from last year.
Bobcat Coffee purchased $7,000 of supplies. All of these purchases were on account.
Bobcat Coffee received $40,000 cash from customers who had been granted credit. The entire amount collected relates to sales from last year.
Bobcat Coffee paid utilities for the current month of $5,000.
Bobcat Coffee paid $45,000 to its suppliers related to previous purchases on account.
Bobcat Coffee paid $12,000 in rent for the year.
Bobcat Coffee incurred depreciation expense for the year on old equipment $2,000.
After counting its supplies on hand, Bobcat Coffee determined that they had $6,000 in supplies on-hand. [Hint: What is the amount of supplies that has been used in the month? What journal entry needs to be prepared?]
$9,000 of prepaid insurance expired.
Bobcat Coffee paid $300 of interest on its long-term debt.
Bobcat Coffee incurred $17,000 of salaries expense in December, but will pay this amount next month (January).
Bobcat Coffee declared and paid $4,000 in cash dividends.
Bobcat Coffee bought a new piece of equipment for $50,000. Bobcat coffee financed the equipment with a note from the bank.
The equipment purchased has a 10 year useful life and no expected salvage value. Depreciation is calculated on a straight-line basis.
Bobcat Coffee pre sold $3,000 of coffee in December 20x4 to a customer for a week-long conference scheduled for January 20X5. The customer paid upfront for the large order a month ahead of time (December) to secure the order. The coffee was then delivered as planned for the conference in January.