cis Winterschid Company has unrecorded transactions On May 1, 2012, Winterschid purchased equipment for $ 13,200 plus sales taxes of sooo (all paid in cash) 2. On July 1, 2012, Winterschid sold for $ 3,500 equipment which originally cost $ 5,000 Accumulated depreciation on this equipment at January 1, 2012, was $ 1,800; 2012 depreciation prior to the sale of the equipment was $ 450 a. 3. On December 31, 2012, Winterschid sold for $ 9,000 on account inventory that cost $ 6,300 4. The building is being depreciated using the straight-line method over 30 years. The salvage value is $ 30,00o 5. The unpaid salaries and wages at December 31, 2012, total $ 2,200 7. The unearned rent of of $ 6,000 was received on December 1, 2012, for 3 months' rent Both of the short-term and long-term notes are payable are dated January 1, 2012, and carry a 9% interest rate. All interest is payable in the next 12 months. Instructions (a) Prepare journal entries for the transactions listed above (b) Prepare a 2012 income statement and an owner's equity statement. (c) Prepare a December 31, 2012, classified balance sheet.

Exercise I Winterschid Company has unrecorded transactions: I. On May 1, 2012, Winterschid purchased equipment for $13,200 plus sales taxes of S600 (all paid in cash). 2. On July 1, 2012, Winterschid sold for $3,500 equipment which originally cost $5.000. a. Accumulated depreciation on this equipment at January 1,2012, was $1,800; 2012 depreciation prior to the sale of the equipment was $450 3. On December 31, 2012, Winterschid sold for $9,000 on account inventory that cost S6,300. 4. The building is being depreciated using the straight-line method over 30 years. The salvage value is $30,000. 5. The patent was acquired on January 1, 2012, and has a useful life of 10 years from that date. 6. Unpaid salaries and wages at December 31, 2012, total $2,200 7. The unearned rent revenue of $6,000 was received on December 1, 2012, for 3 months' rent. 8. Both the short-term and long-term notes payable are dated January 1, 2012, and carry a 9% interest rate. All interest is payable in the next 12 months. Instructions (a) Prepare journal entries for the transactions listed above. (b) Prepare a 2012 income statement and an owner's equity statement. (c) Prepare a December 31, 2012, classified balance sheet. On July 1, 2012, Sagittarius Satellites issued $4,600,000 face value, 9%, 10-year bonds at S 4,400,000. This price resulted in an effective-interest rate of 11% on the bonds. Sagittarius uses the effective-interest method to amortize bond premium or discount. The bonds pay semiannual interest July 1 and January 1. Instructions (Round all computations to the nearest dollar.) a) Prepare the journal entry to record the issuance of the bonds on July 1, 2012 b) Prepare an amortization table through December 31, 2013 (3 interest periods) for this bond issue. c) Prepare the journal entry to record the accrual of interest and the amortization of the discount on December 31, 2012. Exercise II Brandon Corporation had the following stockholders' equity accounts on January 1, 2012: Common Stock (S5 par) $500,000, Paid-in Capital in Excess of Par Common Stock $200,000, and Retained Earnings $100,000. In 2012, the company had the following treasury stock transactions. Mar. I June 1 Sept. 1 Dec. 1 Purchased 5,000 shares at $8 per share. Sold 1,000 shares at $12 per share. Sold 2,000 shares at $10 per share. Sold 1,000 shares at $6 per share. Brandon Corporation uses the cost method of accounting for treasury stock. In 2012, the company reported net income of $30,000. Instructions (a) Journalize the treasury stock transactions (b) Prepare the stockholders' equity section for Jacobsen Corporation at December 31, 2012 Exercise I Winterschid Company has unrecorded transactions: I. On May 1, 2012, Winterschid purchased equipment for $13,200 plus sales taxes of S600 (all paid in cash). 2. On July 1, 2012, Winterschid sold for $3,500 equipment which originally cost $5.000. a. Accumulated depreciation on this equipment at January 1,2012, was $1,800; 2012 depreciation prior to the sale of the equipment was $450 3. On December 31, 2012, Winterschid sold for $9,000 on account inventory that cost S6,300. 4. The building is being depreciated using the straight-line method over 30 years. The salvage value is $30,000. 5. The patent was acquired on January 1, 2012, and has a useful life of 10 years from that date. 6. Unpaid salaries and wages at December 31, 2012, total $2,200 7. The unearned rent revenue of $6,000 was received on December 1, 2012, for 3 months' rent. 8. Both the short-term and long-term notes payable are dated January 1, 2012, and carry a 9% interest rate. All interest is payable in the next 12 months. Instructions (a) Prepare journal entries for the transactions listed above. (b) Prepare a 2012 income statement and an owner's equity statement. (c) Prepare a December 31, 2012, classified balance sheet. On July 1, 2012, Sagittarius Satellites issued $4,600,000 face value, 9%, 10-year bonds at S 4,400,000. This price resulted in an effective-interest rate of 11% on the bonds. Sagittarius uses the effective-interest method to amortize bond premium or discount. The bonds pay semiannual interest July 1 and January 1. Instructions (Round all computations to the nearest dollar.) a) Prepare the journal entry to record the issuance of the bonds on July 1, 2012 b) Prepare an amortization table through December 31, 2013 (3 interest periods) for this bond issue. c) Prepare the journal entry to record the accrual of interest and the amortization of the discount on December 31, 2012. Exercise II Brandon Corporation had the following stockholders' equity accounts on January 1, 2012: Common Stock (S5 par) $500,000, Paid-in Capital in Excess of Par Common Stock $200,000, and Retained Earnings $100,000. In 2012, the company had the following treasury stock transactions. Mar. I June 1 Sept. 1 Dec. 1 Purchased 5,000 shares at $8 per share. Sold 1,000 shares at $12 per share. Sold 2,000 shares at $10 per share. Sold 1,000 shares at $6 per share. Brandon Corporation uses the cost method of accounting for treasury stock. In 2012, the company reported net income of $30,000. Instructions (a) Journalize the treasury stock transactions (b) Prepare the stockholders' equity section for Jacobsen Corporation at December 31, 2012