CompF10-1 (similar to) Question Heu Al Al Aplants Chauhan Al Anon Appliance Al Al Appliance-Coronado completed the following transactions during 2004, bestaat OIC omvw the continuation operation Fosharof Alpe-C Ashwinning ceck the icon view the transactions 10 Chat ofc Reme Requirements in the momentos con credit de many de 20cm Opera w techng cno Coronation Bank and deposited the cash rechtvedtrom the owner Date Account De Credit Chodox Check 56 Check More info Received $520,000 cash from owner, H. Bamara, in exchange for capital Opened a new checking a. account at Coronado National Bank and deposited the cash received from the owner b. Paid $52,000 cash for a AAA franchise. Paid $390,000 cash and issued a $500,000, 10-year, 12% notes payable for land with an existing C. building. The assets had the following market values: Land, $80,000; Building, $810,000 d. Paid $112,500 for store fixtures. e. Paid $70,000 for office equipment. Paid $1,400 for office supplies g. Paid $3,800 for a two-year insurance policy h. Purchased appliances from AAA (merchandise inventory) on account for $415,000 Established a petty cash fund for $250 1 Sold appliances on account to LMN Contractors for $220,000, terms n/30 (cost, $88,000) k. Sold appliances to Allen Contracting for $130,000 (cost $57.000), receiving a 6-month, 14% note. Recorded credit card sales of $85,000 (cost, $37.000), net of processor fee of 1%. 1. 1. 1. Print Done 1 of 1 (1 complete) More Info 1. Recorded credit card sales of $85,000 (cost, $37,000), net of processor fee of 1% m. Received payment in full from LMN Contractors. n. Purchased appliances from AAA on account for $600,000. 0. Made payment on account to AAA $270.000 p. Sold appliances for cash to EB Home Builders for $320,000 (cost, $163,000). 9. Received payment in full on the maturity date from Allen Contracting for the note Sold appliances to Zeard Contracting for $250.000 (cost, $124,000), receiving a 9-month, 14% note. 5. Made payment on account to AAA, $480,000 Sold appliances on account to various businesses for $1,040 000, terms n/30 (cost, $416,000). u Collected $730 000 cash on account. Paid cash for expenses Salaries $159,000. Utilities $10,000 Replenished the petty cash fund when the fund had $84 in cash and petty cash tickets for $161 for w office supplies Samara with Canon T. t. V. Print Done 0 More Info T. m. rc pay TORTIOITTEIT OORUITS n. Purchased appliances from AAA on account for $600,000 0. Made payment on account to AAA, $270,000 p. Sold appliances for cash to EB Home Builders for $320,000 (cost, $ 163,000) 4. Received payment in full on the maturity date from Allen Contracting for the note. Sold appliances to Zeard Contracting for $250,000 (cost, $124.000), receiving a 9-month, 14% note. Made payment on account to AAA, $480,000. Sold appliances on account to various businesses for $1.040.000, terms n/30 (cost, $416,000). u Collected $730,000 cash on account. Paid cash for expenses Salaries, $150 000 Utilities $10,000 Replenished the petty cash fund when the fund had $84 in cash and petty cash tickets for $161 for w office supplies X. Bamara withdrew $6.000 Y. Paid the franchise fee to AAA of 3% of total sales of $2.045,000. 5. t. V. Print Done . Requirements Hop plia gend ara 1. Record the transactions in the general journal. Omit explanations. 2. Post to the general ledger 3. It is a common business practice to reconcile the bank accounts on a monthly basis. However, in this problem, the reconciliation of the company's checking account will be done at the end of the year, based on an annual summary. Reconcile the bank account by comparing the following annual summary statement from Coronado National Bank to the Cash account in the general ledger Record journal entries as needed and post to the general ledger. Use transaction z as the posting reference Beginning Balance, January 1, 2024 $ 0 Deposits and other credits: 520,000 84,150 220,000 5 $ 320,000 730,000 the Print Done 1 of 1 (1 complete) * Requirements tral lia 320,000 730,000 1,400 1,875,550 gend Interest Revenue Checks and other debits: EFT to Bank Checks Checks 80 ara 52,000 390,000 70,000 112,500 250 3.800 1,400 270.000 the Print Done Requirements 70,000 112,500 250 3,800 1,400 270,000 480,000 160,000 Bank service charge 1,500 (1,541,530) Ending balance. December 31, 2024 $ 334,020 "Bank Checks is a company that prints business checks (considered a bank expense) for Al Alton Appliance-Coronado 4. In preparation for preparing the adjusting entries complete depreciation schedules for the first Print Done * Requirements *Bank Checks is a company that prints business checks (considered a bank expense) for Al Alton Appliance-Coronado 4. In preparation for preparing the adjusting entries, complete depreciation schedules for the first five years for the depreciable plant assets, assuming the assets were purchased on January 2, 2024 a. Building, straight-line, 30 years, $30,000 residual value. b. Store Fixtures, straight-line, 15 years, no residual value c. Office Equipment, double-declining-balance, five years, $7,000 residual value. 5. Record adjusting entries for the year ended December 31, 2024 a. One year of the prepaid insurance has expired. b. Management estimates that 2% of Accounts Receivable will be uncollectible. c. An inventory of office supplies indicates 51,321 of supplies have been used d. Calculate the interest earned on the outstanding Zeard Contracting note receivable Assume the note was received on October 31. Round to the nearest dollar e. Record depreciation expense for the year. 1. Record amortization expense for the year on the franchise, which has a 10-year life. g. Calculate the interest owed on the note payable Assume the note was issued on January 1 6. Post adjusting entries and prepare an adjusted trial balance. Print Done Requirements lia eng ara Assume the note was received on October 31. Round to the nearest dollar e. Record depreciation expense for the year. f. Record amortization expense for the year on the franchise, which has a 10-year life. g. Calculate the interest owed on the note payable. Assume the note was issued on January 1 6. Post adjusting entries and prepare an adjusted trial balance. 7. Prepare a multi-step income statement and statement of owner's equity for the year ended December 31, 2024. Prepare a classified balance sheet as of December 31, 2024. Assume Interest Receivable is a current asset and Interest Payable is a current liability 8. Evaluate the company's success for the first year of operations by calculating the following ratios. Round to two decimal places. Comment on the results. a. Liquidity: 1. Current ratio Il. Acid-test ratio ii. Cash ratio b. Efficiency 1. Accounts receivable turnover ii. Day's sales in receivables Asset tumover iv Rate of return on total assets the Print Done chased a franchise from Al Alton Appliance (AAA). For Al Alton Appliance-Coronado completed the following operations - con * More Info Coun in the H Ba .ccoun AAA is a manufacturer of kitchen appliances AAA markets its products via retail stores that are operated as franchises. As a AAA franchisee, Al Alton Appliance-Coronado will receive many benefits, including having the exclusive right to sell AAA brand appliances in Coronado. AAA appliances have an excellent reputation and the AAA name and logo are readily recognized by consumers. AAA also manages national television advertising campaigns that benefit the franchisees. In exchange for these benefits Al Alton Appliance-Coronado will pay an annual franchise fee to AAA based on a percentage of sales. The annual franchise fee is a separate cost and in addition to the purchase of the franchise. In addition to purchasing the franchise, Al Alton Appliance-Coronado will also purchase land with an existing building to use for its retail store store fixtures, and office equipment. The business will purchase appliances from AAA and resell them in its store primarily to local building contractors for installation in new homes Print Done umber in the pures and then click Check Answer Clear All SAMSUNG 1 of 1 (1 complete) to More Info al - Tag Cash ons mer Ad Petty Cash Accounts Receivable Allowance for Bad Debts Merchandise Inventory Office Supplies Prepaid Insurance Interest Receivable Notes Receivable Al Alton Appliance-Coronado Chart of Accounts Bamara, Capital Bamara, Withdrawals Sales Revenue Interest Revenue Cost of Goods Sold Franchise Fee Expense Salaries Expense Utilities Expense Insurance Expense Supplies Expense Rad Dent Fxnense Land Building num Print Done Clear More Info Office Supplies Prepaid Insurance Interest Receivable Notes Receivable Land Building Accumulated Depreciation-Building Store Fixtures Accumulated Depreciation --Store Fixtures Omce Equipment Accumulated Depreciation ---Office Equipment Franchise Accounts Payable Franchise Fee Expense Salaries Expense Utilities Expense Insurance Expense Supplies Expense Bad Debt Expense Bank Expense Credit Card Expense Depreciation Expense-Building Depreciation Expense-Store Fixtures Depreciation Expense-Office Equipment Amortization Expense-Franchise Interest Expense Ad Print Done Clear Am 1 of 1 (1 complete) ar to More Info just ational For Al A rt of ad actions ma owner hth Ad Interest Receivable Utilities Expense Notes Receivable Insurance Expense Land Supplies Expense Building Bad Debt Expense Accumulated Depreciation-Building Bank Expense Store Fixtures Credit Card Expense Accumulated Depreciation Store Fixtures Depreciation Expense-Building Office Equipment Depreciation Expense-Store Fixtures Accumulated Depreciation Office Equipment Depreciation Expense-Office Equipment Franchise Amortization Expense-Franchise Accounts Payable Interest Expense Interest Payable Cash Short and Over Notes Payable ny nume Print Done Ular AN 1 of 1 (1 complete) 0 Requirements ts 1. Record the transactions in the general journal. Omit explanations 2. Post to the general ledger 3. It is a common business practice to reconcile the bank accounts on a monthly basis. However, in this problem, the reconciliation of the company's checking account will be done at the end of the year, based on an annual summary. Reconcile the bank account by comparing the following annual summary statement from Coronado National Bank to the Cash account in the general ledger. Record journal entries as needed and post to the general ledger. Use transaction z as the posting reference N Beginning Balance, January 1, 2024 0 Deposits and other credits: $ 520,000 tot 84.150 unts 220,000 320,000 730.000 no in the Print Done Uca AIT 2 - Comprehensive Problem 1 of 1 (1 complete) Requirements ase ng nati App 1,400 1,875,550 ts. Interest Revenue Checks and other debits EFT to Bank Checks Checks $ 80 nts 52.000 390,000 70,000 112,500 250 to til unts 3,800 1,400 270.000 480.000 On in the Print Done Clear ATT Requirements 480,000 160,000 Bank service charge 1,500 (1,541,530) $ 334,020 Ending balance, December 31, 2024 *Bank Checks is a company that prints business checks (considered a bank expense) for Al Alton Appliance-Coronado 4. In preparation for preparing the adjusting entries, complete depreciation schedules for the first five years for the depreciable plant assets, assuming the assets were purchased on January 2, 2024 a. Building, straight-line, 30 years, $30,000 residual value. b. Store Fixtures straight-line, 15 years, no residual value. c. Office Equipment, double-declining-balance, five years, $7.000 residual value. 5. Record adjusting entries for the year ended December 31, 2024 a. One year of the prepaid insurance has expired b. Management estimates that 2% of Accounts Receivable will be uncollectible C. An Inventory of office supplies indicates $1,321 of supplies have been used d. Calculate the interest earned on the outstanding Zeard Contracting note receivable Print Done Clear All 1 of 1 (1 complete) i Requirements D. Management esumates that 2% OT ACCOUNTS Receivable will be unconlecuble. c. An inventory of office supplies indicates $1,321 of supplies have been used. d. Calculate the interest earned on the outstanding Zeard Contracting note receivable. Assume the note was received on October 31. Round to the nearest dollar. e. Record depreciation expense for the year. f. Record amortization expense for the year on the franchise, which has a 10-year life. g. Calculate the interest owed on the note payable. Assume the note was issued on January 1 6. Post adjusting entries and prepare an adjusted trial balance. 7. Prepare a multi-step income statement and statement of owner's equity for the year ended December 31, 2024. Prepare a classified balance sheet as of December 31, 2024. Assume Interest Receivable is a current asset and Interest Payable is a current liability. 8. Evaluate the company's success for the first year of operations by calculating the following ratios. Round to two decimal places Comment on the results a. Liquidity 1. Current ratio it. Acid-test ratio III. Cash ratio b. Efficiency 1. Accounts receivable turnover II. Day's sales in receivables Print Done Clear All Requirements WWW CUTTU ovom carry on TWE Assume the note was received on October 31. Round to the nearest dollar. e. Record depreciation expense for the year f. Record amortization expense for the year on the franchise, which has a 10-year life. g. Calculate the interest owed on the note payable. Assume the note was issued on January 1 6. Post adjusting entries and prepare an adjusted trial balance. 7. Prepare a multi-step income statement and statement of owner's equity for the year ended December 31, 2024. Prepare a classified balance sheet as of December 31, 2024. Assume Interest Receivable is a current asset and Interest Payable is a current liability. 8. Evaluate the company's success for the first year of operations by calculating the following ratios. Round to two decimal places. Comment on the results a. Liquidity 1. Current ratio ii. Acid-test ratio ift. Cash ratio b. Efficiency 1. Accounts receivable turnover ii. Day's sales in receivables til. Asset turnover iv Rate of return on total assets Print Done Clear All ar More Info tra jus ona TAI of 1. Received $520,000 cash from owner, H. Bamara, in exchange for capital Opened a new checking a. account at Coronado National Bank and deposited the cash received from the owner. b. Paid $52,000 cash for a AAA franchise, Paid $390,000 cash and issued a $500,000, 10-year, 12% notes payable for land with an existing c. building. The assets had the following market values: Land $80,000 Building, $810,000 d. Paid $112,500 for store fixtures. e Paid $70,000 for office equipment Paid $1,400 for office supplies g. Pald $3,800 for a two-year insurance policy n. Purchased appliances from AAA (merchandise inventory) on account for $415,000 1. Established a petty cash fund for $250 1. Sold appliances on account to LMN Contractors for $220,000, terms n/30 (cost, $88,000). k. Sold appliances to Allen Contracting for $130,000 (cost. $57,000), receiving a 6-month, 14% note. 1. Recorded credit card sales of $85,000 (cost, $37.000), net of processor fee of 1% d ory un Print Done Crear Al i More Info i. 1. g. Paid $3,800 for a two-year insurance policy h. Purchased appliances from AAA (merchandise inventory) on account for $415,000 Established a petty cash fund for $250. 1. Sold appliances on account to LMN Contractors for $220,000, terms n/30 (cost, $88,000). k. Sold appliances to Allen Contracting for $130,000 (cost, $57,000), receiving a 6-month, 14% note. Recorded credit card sales of $85,000 (cost, $37,000), net of processor fee of 1%. m. Received payment in full from LMN Contractors. n. Purchased appliances from AAA on account for $600,000. o. Made payment on account to AAA, $270,000 p. Sold appliances for cash to EB Home Builders for $320,000 (cost, $163,000) q. Received payment in full on the maturity date from Allen Contracting for the note Sold appliances to Zeard Contracting for $250,000 (cost, $124,000), receiving a 9-month, 14% note. s. Made payment on account to AAA, $480,000 r. Print Done rearra OT complete) More Info Al Alton Appliance-Coronado Chart of Accounts Cash Petty Cash Accounts Receivable Allowance for Bad Debts Merchandise Inventory Office Supplies Prepaid Insurance Interest Receivable Notes Receivable Land Bamara, Capital Bamara, Withdrawals Sales Revenue Interest Revenue Cost of Goods Sold Franchise Fee Expense Salaries Expense Utilities Expense Insurance Expense Supplies Expense Bad Debt Expense th 5 Buildina the Print Done More Info Interest Receivable Notes Receivable Land Building Accumulated Depreciation-Building Store Fixtures Accumulated Depreciation-Store Fixtures Office Equipment Accumulated Depreciation-Office Equipment Franchise Accounts Payable Interest Payable Notes Payable Utilities Expense Insurance Expense Supplies Expense Bad Debt Expense Bank Expense Credit Card Expense Depreciation Expense-Building Depreciation Expense-Store Fixtures Depreciation Expense-Office Equipment Amortization Expense-Franchise Interest Expense Cash Short and Over he ne Print Done ALAton Appliance Coronado las purchased a chiom Al Alton Appliance (AAA) Click the icon to view the additional information Folowing is the chait of accounts for Al Alton Appliance Coronado As a new business, al beginning balance Cack the conview me chart of accounts Al Alton Appliance--Coronado completed the following transactions during 2004 year ar operations Click the icon to view the transactions) Read the courements CompF10-1 (similar to) Question Heu Al Al Aplants Chauhan Al Anon Appliance Al Al Appliance-Coronado completed the following transactions during 2004, bestaat OIC omvw the continuation operation Fosharof Alpe-C Ashwinning ceck the icon view the transactions 10 Chat ofc Reme Requirements in the momentos con credit de many de 20cm Opera w techng cno Coronation Bank and deposited the cash rechtvedtrom the owner Date Account De Credit Chodox Check 56 Check More info Received $520,000 cash from owner, H. Bamara, in exchange for capital Opened a new checking a. account at Coronado National Bank and deposited the cash received from the owner b. Paid $52,000 cash for a AAA franchise. Paid $390,000 cash and issued a $500,000, 10-year, 12% notes payable for land with an existing C. building. The assets had the following market values: Land, $80,000; Building, $810,000 d. Paid $112,500 for store fixtures. e. Paid $70,000 for office equipment. Paid $1,400 for office supplies g. Paid $3,800 for a two-year insurance policy h. Purchased appliances from AAA (merchandise inventory) on account for $415,000 Established a petty cash fund for $250 1 Sold appliances on account to LMN Contractors for $220,000, terms n/30 (cost, $88,000) k. Sold appliances to Allen Contracting for $130,000 (cost $57.000), receiving a 6-month, 14% note. Recorded credit card sales of $85,000 (cost, $37.000), net of processor fee of 1%. 1. 1. 1. Print Done 1 of 1 (1 complete) More Info 1. Recorded credit card sales of $85,000 (cost, $37,000), net of processor fee of 1% m. Received payment in full from LMN Contractors. n. Purchased appliances from AAA on account for $600,000. 0. Made payment on account to AAA $270.000 p. Sold appliances for cash to EB Home Builders for $320,000 (cost, $163,000). 9. Received payment in full on the maturity date from Allen Contracting for the note Sold appliances to Zeard Contracting for $250.000 (cost, $124,000), receiving a 9-month, 14% note. 5. Made payment on account to AAA, $480,000 Sold appliances on account to various businesses for $1,040 000, terms n/30 (cost, $416,000). u Collected $730 000 cash on account. Paid cash for expenses Salaries $159,000. Utilities $10,000 Replenished the petty cash fund when the fund had $84 in cash and petty cash tickets for $161 for w office supplies Samara with Canon T. t. V. Print Done 0 More Info T. m. rc pay TORTIOITTEIT OORUITS n. Purchased appliances from AAA on account for $600,000 0. Made payment on account to AAA, $270,000 p. Sold appliances for cash to EB Home Builders for $320,000 (cost, $ 163,000) 4. Received payment in full on the maturity date from Allen Contracting for the note. Sold appliances to Zeard Contracting for $250,000 (cost, $124.000), receiving a 9-month, 14% note. Made payment on account to AAA, $480,000. Sold appliances on account to various businesses for $1.040.000, terms n/30 (cost, $416,000). u Collected $730,000 cash on account. Paid cash for expenses Salaries, $150 000 Utilities $10,000 Replenished the petty cash fund when the fund had $84 in cash and petty cash tickets for $161 for w office supplies X. Bamara withdrew $6.000 Y. Paid the franchise fee to AAA of 3% of total sales of $2.045,000. 5. t. V. Print Done . Requirements Hop plia gend ara 1. Record the transactions in the general journal. Omit explanations. 2. Post to the general ledger 3. It is a common business practice to reconcile the bank accounts on a monthly basis. However, in this problem, the reconciliation of the company's checking account will be done at the end of the year, based on an annual summary. Reconcile the bank account by comparing the following annual summary statement from Coronado National Bank to the Cash account in the general ledger Record journal entries as needed and post to the general ledger. Use transaction z as the posting reference Beginning Balance, January 1, 2024 $ 0 Deposits and other credits: 520,000 84,150 220,000 5 $ 320,000 730,000 the Print Done 1 of 1 (1 complete) * Requirements tral lia 320,000 730,000 1,400 1,875,550 gend Interest Revenue Checks and other debits: EFT to Bank Checks Checks 80 ara 52,000 390,000 70,000 112,500 250 3.800 1,400 270.000 the Print Done Requirements 70,000 112,500 250 3,800 1,400 270,000 480,000 160,000 Bank service charge 1,500 (1,541,530) Ending balance. December 31, 2024 $ 334,020 "Bank Checks is a company that prints business checks (considered a bank expense) for Al Alton Appliance-Coronado 4. In preparation for preparing the adjusting entries complete depreciation schedules for the first Print Done * Requirements *Bank Checks is a company that prints business checks (considered a bank expense) for Al Alton Appliance-Coronado 4. In preparation for preparing the adjusting entries, complete depreciation schedules for the first five years for the depreciable plant assets, assuming the assets were purchased on January 2, 2024 a. Building, straight-line, 30 years, $30,000 residual value. b. Store Fixtures, straight-line, 15 years, no residual value c. Office Equipment, double-declining-balance, five years, $7,000 residual value. 5. Record adjusting entries for the year ended December 31, 2024 a. One year of the prepaid insurance has expired. b. Management estimates that 2% of Accounts Receivable will be uncollectible. c. An inventory of office supplies indicates 51,321 of supplies have been used d. Calculate the interest earned on the outstanding Zeard Contracting note receivable Assume the note was received on October 31. Round to the nearest dollar e. Record depreciation expense for the year. 1. Record amortization expense for the year on the franchise, which has a 10-year life. g. Calculate the interest owed on the note payable Assume the note was issued on January 1 6. Post adjusting entries and prepare an adjusted trial balance. Print Done Requirements lia eng ara Assume the note was received on October 31. Round to the nearest dollar e. Record depreciation expense for the year. f. Record amortization expense for the year on the franchise, which has a 10-year life. g. Calculate the interest owed on the note payable. Assume the note was issued on January 1 6. Post adjusting entries and prepare an adjusted trial balance. 7. Prepare a multi-step income statement and statement of owner's equity for the year ended December 31, 2024. Prepare a classified balance sheet as of December 31, 2024. Assume Interest Receivable is a current asset and Interest Payable is a current liability 8. Evaluate the company's success for the first year of operations by calculating the following ratios. Round to two decimal places. Comment on the results. a. Liquidity: 1. Current ratio Il. Acid-test ratio ii. Cash ratio b. Efficiency 1. Accounts receivable turnover ii. Day's sales in receivables Asset tumover iv Rate of return on total assets the Print Done chased a franchise from Al Alton Appliance (AAA). For Al Alton Appliance-Coronado completed the following operations - con * More Info Coun in the H Ba .ccoun AAA is a manufacturer of kitchen appliances AAA markets its products via retail stores that are operated as franchises. As a AAA franchisee, Al Alton Appliance-Coronado will receive many benefits, including having the exclusive right to sell AAA brand appliances in Coronado. AAA appliances have an excellent reputation and the AAA name and logo are readily recognized by consumers. AAA also manages national television advertising campaigns that benefit the franchisees. In exchange for these benefits Al Alton Appliance-Coronado will pay an annual franchise fee to AAA based on a percentage of sales. The annual franchise fee is a separate cost and in addition to the purchase of the franchise. In addition to purchasing the franchise, Al Alton Appliance-Coronado will also purchase land with an existing building to use for its retail store store fixtures, and office equipment. The business will purchase appliances from AAA and resell them in its store primarily to local building contractors for installation in new homes Print Done umber in the pures and then click Check Answer Clear All SAMSUNG 1 of 1 (1 complete) to More Info al - Tag Cash ons mer Ad Petty Cash Accounts Receivable Allowance for Bad Debts Merchandise Inventory Office Supplies Prepaid Insurance Interest Receivable Notes Receivable Al Alton Appliance-Coronado Chart of Accounts Bamara, Capital Bamara, Withdrawals Sales Revenue Interest Revenue Cost of Goods Sold Franchise Fee Expense Salaries Expense Utilities Expense Insurance Expense Supplies Expense Rad Dent Fxnense Land Building num Print Done Clear More Info Office Supplies Prepaid Insurance Interest Receivable Notes Receivable Land Building Accumulated Depreciation-Building Store Fixtures Accumulated Depreciation --Store Fixtures Omce Equipment Accumulated Depreciation ---Office Equipment Franchise Accounts Payable Franchise Fee Expense Salaries Expense Utilities Expense Insurance Expense Supplies Expense Bad Debt Expense Bank Expense Credit Card Expense Depreciation Expense-Building Depreciation Expense-Store Fixtures Depreciation Expense-Office Equipment Amortization Expense-Franchise Interest Expense Ad Print Done Clear Am 1 of 1 (1 complete) ar to More Info just ational For Al A rt of ad actions ma owner hth Ad Interest Receivable Utilities Expense Notes Receivable Insurance Expense Land Supplies Expense Building Bad Debt Expense Accumulated Depreciation-Building Bank Expense Store Fixtures Credit Card Expense Accumulated Depreciation Store Fixtures Depreciation Expense-Building Office Equipment Depreciation Expense-Store Fixtures Accumulated Depreciation Office Equipment Depreciation Expense-Office Equipment Franchise Amortization Expense-Franchise Accounts Payable Interest Expense Interest Payable Cash Short and Over Notes Payable ny nume Print Done Ular AN 1 of 1 (1 complete) 0 Requirements ts 1. Record the transactions in the general journal. Omit explanations 2. Post to the general ledger 3. It is a common business practice to reconcile the bank accounts on a monthly basis. However, in this problem, the reconciliation of the company's checking account will be done at the end of the year, based on an annual summary. Reconcile the bank account by comparing the following annual summary statement from Coronado National Bank to the Cash account in the general ledger. Record journal entries as needed and post to the general ledger. Use transaction z as the posting reference N Beginning Balance, January 1, 2024 0 Deposits and other credits: $ 520,000 tot 84.150 unts 220,000 320,000 730.000 no in the Print Done Uca AIT 2 - Comprehensive Problem 1 of 1 (1 complete) Requirements ase ng nati App 1,400 1,875,550 ts. Interest Revenue Checks and other debits EFT to Bank Checks Checks $ 80 nts 52.000 390,000 70,000 112,500 250 to til unts 3,800 1,400 270.000 480.000 On in the Print Done Clear ATT Requirements 480,000 160,000 Bank service charge 1,500 (1,541,530) $ 334,020 Ending balance, December 31, 2024 *Bank Checks is a company that prints business checks (considered a bank expense) for Al Alton Appliance-Coronado 4. In preparation for preparing the adjusting entries, complete depreciation schedules for the first five years for the depreciable plant assets, assuming the assets were purchased on January 2, 2024 a. Building, straight-line, 30 years, $30,000 residual value. b. Store Fixtures straight-line, 15 years, no residual value. c. Office Equipment, double-declining-balance, five years, $7.000 residual value. 5. Record adjusting entries for the year ended December 31, 2024 a. One year of the prepaid insurance has expired b. Management estimates that 2% of Accounts Receivable will be uncollectible C. An Inventory of office supplies indicates $1,321 of supplies have been used d. Calculate the interest earned on the outstanding Zeard Contracting note receivable Print Done Clear All 1 of 1 (1 complete) i Requirements D. Management esumates that 2% OT ACCOUNTS Receivable will be unconlecuble. c. An inventory of office supplies indicates $1,321 of supplies have been used. d. Calculate the interest earned on the outstanding Zeard Contracting note receivable. Assume the note was received on October 31. Round to the nearest dollar. e. Record depreciation expense for the year. f. Record amortization expense for the year on the franchise, which has a 10-year life. g. Calculate the interest owed on the note payable. Assume the note was issued on January 1 6. Post adjusting entries and prepare an adjusted trial balance. 7. Prepare a multi-step income statement and statement of owner's equity for the year ended December 31, 2024. Prepare a classified balance sheet as of December 31, 2024. Assume Interest Receivable is a current asset and Interest Payable is a current liability. 8. Evaluate the company's success for the first year of operations by calculating the following ratios. Round to two decimal places Comment on the results a. Liquidity 1. Current ratio it. Acid-test ratio III. Cash ratio b. Efficiency 1. Accounts receivable turnover II. Day's sales in receivables Print Done Clear All Requirements WWW CUTTU ovom carry on TWE Assume the note was received on October 31. Round to the nearest dollar. e. Record depreciation expense for the year f. Record amortization expense for the year on the franchise, which has a 10-year life. g. Calculate the interest owed on the note payable. Assume the note was issued on January 1 6. Post adjusting entries and prepare an adjusted trial balance. 7. Prepare a multi-step income statement and statement of owner's equity for the year ended December 31, 2024. Prepare a classified balance sheet as of December 31, 2024. Assume Interest Receivable is a current asset and Interest Payable is a current liability. 8. Evaluate the company's success for the first year of operations by calculating the following ratios. Round to two decimal places. Comment on the results a. Liquidity 1. Current ratio ii. Acid-test ratio ift. Cash ratio b. Efficiency 1. Accounts receivable turnover ii. Day's sales in receivables til. Asset turnover iv Rate of return on total assets Print Done Clear All ar More Info tra jus ona TAI of 1. Received $520,000 cash from owner, H. Bamara, in exchange for capital Opened a new checking a. account at Coronado National Bank and deposited the cash received from the owner. b. Paid $52,000 cash for a AAA franchise, Paid $390,000 cash and issued a $500,000, 10-year, 12% notes payable for land with an existing c. building. The assets had the following market values: Land $80,000 Building, $810,000 d. Paid $112,500 for store fixtures. e Paid $70,000 for office equipment Paid $1,400 for office supplies g. Pald $3,800 for a two-year insurance policy n. Purchased appliances from AAA (merchandise inventory) on account for $415,000 1. Established a petty cash fund for $250 1. Sold appliances on account to LMN Contractors for $220,000, terms n/30 (cost, $88,000). k. Sold appliances to Allen Contracting for $130,000 (cost. $57,000), receiving a 6-month, 14% note. 1. Recorded credit card sales of $85,000 (cost, $37.000), net of processor fee of 1% d ory un Print Done Crear Al i More Info i. 1. g. Paid $3,800 for a two-year insurance policy h. Purchased appliances from AAA (merchandise inventory) on account for $415,000 Established a petty cash fund for $250. 1. Sold appliances on account to LMN Contractors for $220,000, terms n/30 (cost, $88,000). k. Sold appliances to Allen Contracting for $130,000 (cost, $57,000), receiving a 6-month, 14% note. Recorded credit card sales of $85,000 (cost, $37,000), net of processor fee of 1%. m. Received payment in full from LMN Contractors. n. Purchased appliances from AAA on account for $600,000. o. Made payment on account to AAA, $270,000 p. Sold appliances for cash to EB Home Builders for $320,000 (cost, $163,000) q. Received payment in full on the maturity date from Allen Contracting for the note Sold appliances to Zeard Contracting for $250,000 (cost, $124,000), receiving a 9-month, 14% note. s. Made payment on account to AAA, $480,000 r. Print Done rearra OT complete) More Info Al Alton Appliance-Coronado Chart of Accounts Cash Petty Cash Accounts Receivable Allowance for Bad Debts Merchandise Inventory Office Supplies Prepaid Insurance Interest Receivable Notes Receivable Land Bamara, Capital Bamara, Withdrawals Sales Revenue Interest Revenue Cost of Goods Sold Franchise Fee Expense Salaries Expense Utilities Expense Insurance Expense Supplies Expense Bad Debt Expense th 5 Buildina the Print Done More Info Interest Receivable Notes Receivable Land Building Accumulated Depreciation-Building Store Fixtures Accumulated Depreciation-Store Fixtures Office Equipment Accumulated Depreciation-Office Equipment Franchise Accounts Payable Interest Payable Notes Payable Utilities Expense Insurance Expense Supplies Expense Bad Debt Expense Bank Expense Credit Card Expense Depreciation Expense-Building Depreciation Expense-Store Fixtures Depreciation Expense-Office Equipment Amortization Expense-Franchise Interest Expense Cash Short and Over he ne Print Done ALAton Appliance Coronado las purchased a chiom Al Alton Appliance (AAA) Click the icon to view the additional information Folowing is the chait of accounts for Al Alton Appliance Coronado As a new business, al beginning balance Cack the conview me chart of accounts Al Alton Appliance--Coronado completed the following transactions during 2004 year ar operations Click the icon to view the transactions) Read the courements