Exercise 5-9

The current assets and current liabilities sections of the balance sheet of Coronado Company appear as follows.

CORONADO COMPANY BALANCE SHEET (PARTIAL) DECEMBER 31, 2020
Cash				$ 42,800		Accounts payable		$ 64,090
Accounts receivable		$98,100				Notes payable		66,410
Less: Allowance for doubtful accounts		8,530		89,570				$130,500
Inventory				157,330
Prepaid expenses				8,110
				$297,810

The following errors in the corporations accounting have been discovered:

1.		January 2021 cash disbursements entered as of December 2020 included payments of accounts payable in the amount of $43,400, on which a cash discount of 2% was taken.
2.		The inventory included $30,790 of merchandise that had been received at December 31 but for which no purchase invoices had been received or entered. Of this amount, $10,860 had been received on consignment; the remainder was purchased f.o.b. destination, terms 2/10, n/30.
3.		Sales for the first four days in January 2021 in the amount of $29,350 were entered in the sales journal as of December 31, 2020. Of these, $21,600 were sales on account and the remainder were cash sales.
4.		Cash, not including cash sales, collected in January 2021 and entered as of December 31, 2020, totaled $37,480. Of this amount, $25,480 was received on account after cash discounts of 2% had been deducted; the remainder represented the proceeds of a bank loan.

Calculate the following adjusted balances.

Cash		$
Accounts Receivable		$
Inventory		$
Accounts Payable		$
Notes Payable		$

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