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During 2022, the following transactions occurred. 1. On January 1, Bridgeport issued 960 shares of $40 par, 7% preferred stock for $39,360. 2. On January
During 2022, the following transactions occurred.
1. | On January 1, Bridgeport issued 960 shares of $40 par, 7% preferred stock for $39,360. | |
2. | On January 1, Bridgeport also issued 720 shares of the $10 par value common stock for $16,800. | |
3. | Bridgeport performed services for $256,000 on account. | |
4. | On April 1, 2022, Bridgeport collected fees of $28,800 in advance for services to be performed from April 1, 2022, to March 31, 2023. | |
5. | Bridgeport collected $220,800 from customers on account. | |
6. | Bridgeport bought $28,080 of supplies on account. | |
7. | Bridgeport paid $25,760 on accounts payable. | |
8. | Bridgeport reacquired 320 shares of its common stock on June 1 for $28 per share. | |
9. | Paid other operating expenses of $150,560. | |
10. | On December 31, 2022, Bridgeport declared the annual preferred stock dividend and a $1.20 per share dividend on the outstanding common stock, all payable on January 15, 2023. | |
11. | An account receivable of $1,360 which originated in 2022 is written off as uncollectible. |
Adjustment data:
1. | A count of supplies indicates that $4,720 of supplies remain unused at year-end. | |
2. | Recorded revenue from item 4 above. | |
3. | The allowance for doubtful accounts should have a balance of $2,800 at year end. | |
4. | Depreciation is recorded on the building on a straight-line basis based on a 30-year life and a salvage value of $8,000. | |
5. | The income tax rate is 30%. (Hint: Prepare the income statement up to income before taxes and multiply by 30% to compute the amount.) |
Prepare journal entries with adjusted entries, adjusted trial balance, income statement, statement of retained earnings, and a balance sheet as of or at December 31st. I made a mistake somewhere in my work and can not figure it out.
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