Question
Consider the following account starting balances and journal transactions involving these accounts. Use T-accounts to record the starting balances and organize the offsetting entries for
Consider the following account starting balances and journal transactions involving these accounts. Use T-accounts to record the starting balances and organize the offsetting entries for the transactions.
The starting balance of Cash is $9,000 The starting balance of Inventory is $5,100 The starting balance of Retained Earnings is $22,800
| Date | Accounts and Explanation | Debit | Credit |
|---|---|---|---|
| Mar 9 | Cash | 30 | |
| Inventory | 24 | ||
| Retained Earnings | 6 | ||
| Sold and delivered product to customer | |||
| Mar 10 | Cash | 25 | |
| Retained Earnings | 25 | ||
| Sold, delivered, and received payment for service with no clear associated cost | |||
| Mar 11 | Retained Earnings | 1 | |
| Cash | 1 | ||
| Consumed good or service and paid expense with cash |
What is the final amount in Retained Earnings?
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Cost Accounting A Managerial Emphasis
Authors: Charles T. Horngren, George Foster, Srikant M. Datar, Howard D. Teall, Foster Horngren, Data Horngren
3rd Canadian Edition
0130355801, 978-0130355805
