Question
I nee the Trial Balance section of a 10-column worksheet. The worksheet covers the year ended December 31, 2019. I also need to find out
I nee the Trial Balance section of a 10-column worksheet. The worksheet covers the year ended December 31, 2019.
I also need to find out the adjustments.
I need to know what amount were the assets of the business affected by adjustments?
On December 31, 2019, the firm's general ledger contained the accounts and balances below.
Cash $6,500Dr.
Accounts Receivable3,400Dr.
Allowance for Doubtful Accounts60Cr.Merchandise Inventory12,100Dr.
Supplies1,280Dr.Prepaid Advertising900Dr.
Store Equipment8,580Dr.
Accumulated DepreciationStore Equipment1,580Cr.
Office Equipment2,080Dr.
Accumulated DepreciationOffice Equipment360Cr.
Accounts Payable2,705Cr.
Social Security Tax Payable510Cr.
Medicare Tax Payable90Cr.
Federal Unemployment Tax Payable
State Unemployment Tax Payable
Salaries Payable
Beth Argo, Capital29,477Cr.
Beth Argo, Drawing20,800Dr.
Sales94,048Cr.
Sales Returns and Allowances1,180Dr.
Purchases48,800Dr.
Purchases Returns and Allowances510Cr.
Rent Expense6,800Dr.
Telephone Expense670Dr.
Salaries Expense14,900Dr.
Payroll Taxes Expense1,350Dr.
Income Summary
Supplies Expense
Advertising Expense
Depreciation ExpenseStore Equipment
Depreciation ExpenseOffice Equipment
Uncollectible Accounts Expense
Merchandise inventory on December 31, 2019, is $13,121.
- During 2019, the firm had net credit sales of $43,000; the firm estimates that 0.7 percent of these sales will result in uncollectible accounts.
- On December 31, 2019, an inventory of the supplies showed that items costing $315 were on hand.
- On October 1, 2019, the firm signed a six-month advertising contract for $900 with a local newspaper and paid the full amount in advance.
- On January 2, 2018, the firm purchased store equipment for $8,580. At that time, the equipment was estimated to have a useful life of five years and a salvage value of $680.
- On January 2, 2018, the firm purchased office equipment for $2,080. At that time, the equipment was estimated to have a useful life of five years and a salvage value of $280.
- On December 31, 2019, the firm owed salaries of $1,910 that will not be paid until 2020.
- On December 31, 2019, the firm owed the employer's social security tax (assume 6.2 percent) and Medicare tax (assume 1.45 percent) on the entire $1,910 of accrued wages.
- On December 31, 2019, the firm owed federal unemployment tax (assume 0.6 percent) and state unemployment tax (assume 5.4 percent) on the entire $1,910 of accrued wages
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