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Comprehensive Problem 5 (Part Level Submission) On December 1, 2014, Boline Distributing Company had the following account balances. Debit Credit Cash $7,030 Accumulated DepreciationEquipment $2,420

Comprehensive Problem 5 (Part Level Submission)

On December 1, 2014, Boline Distributing Company had the following account balances.

Debit

Credit

Cash $7,030 Accumulated DepreciationEquipment $2,420
Accounts Receivable 4,700 Accounts Payable 4,670
Inventory 11,530 Salaries and Wages Payable 1,100
Supplies 1,380 Common Stock 14,790
Equipment 24,200 Retained Earnings 25,860
$48,840 $48,840

During December, the company completed the following summary transactions.

Dec. 6 Paid $1,810 for salaries due employees, of which $710 is for December and $1,100 is for November salaries payable.
8 Received $1,800 cash from customers in payment of account (no discount allowed).
10 Sold merchandise for cash $6,510. The cost of the merchandise sold was $4,030.
13 Purchased merchandise on account from Gong Co. $8,700, terms 2/10, n/30.
15 Purchased supplies for cash $1,630.
18 Sold merchandise on account $12,500, terms 3/10, n/30. The cost of the merchandise sold was $8,050.
20 Paid salaries $1,630.
23 Paid Gong Co. in full, less discount.

27Received collections in full, less discounts, from customers billed on December 18.

Adjustment data:
1. Accrued salaries payable $670.
2. Depreciation $220 per month.
3. Supplies on hand $1,520.
4. Income tax due and unpaid at December 31 is $160.
image text in transcribedimage text in transcribed
(f) Prepare a classified balance sheet at December 31. (List current assets in order of liquidity.) Collapse question part BOLINE DISTRIBUTING COMPANY Balance Sheet December 31, 2014 Assets

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