II. Exercises

1. Standward Company?s shareholders? equity section balance sheet at December 31, 2016 is shown below. Preferred shares Authorized?100 shares Issued and outstanding?55 shares $2,145. Common shares Authorized?900 shares Issued and outstanding?600 shares $1,010. Retained earnings $450. Total shareholders? equity $3,605.

Required:

1. What is the average price received for each issued preferred share? 2. What is the average price received for each issued common share? NOTE: For this part 2 only round your answer to the nearest 2 decimal places.

2. A company had the following bank reconciliation at June 30, 2016:

Balance per bank statement, 6/30/16 $151,125

Add deposit in transit 33,475

184,600

Less outstanding checks 40,950

Balance per books, 6/30/16 $143,650

Data per bank for the month of July 2016 follow:

Deposits $189,800

Disbursements $161,525

All reconciling items at June 30, 2016, cleared the bank in July. Outstanding checks at July 31, 2016, totaled $22,750. There were no deposits in transit at July 31, 2016. What is the cash balance per books at July 31, 2016?

3. Expresso Company had the following information related to common and preferred shares during the year:

Common shares outstanding	1/1	568,750
Common shares repurchased	3/1	17,500
Conversion of preferred shares	7/1	32,500
Common shares repurchased	12/1	29,250

Expresso reported net income of $1,625,000 at December 31. What amount of shares should Expresso use as the denominator in the computation of basic earnings per share?

ACCT310 Quiz One Concluded: Page 3 of 3

4. An extract from the trial balance of Armstrong Corp. at June 30, 2016 is reproduced below:

	Account	Amount in unadjusted trial balance	Amount in adjusted trial balance
1	Prepaid insurance	$3,200	$2,600
2	Salaries payable	$1,500	$2,100
3	Interest payable	$ 0	$ 1,000
4	Unearned revenue	$5,000	$4,000
5	Accumulated depreciation	$2,200	$2,750
6	Unused office supplies	$ 450	$ 125

Required: Prepare in general journal format the entries that were posted, including a plausible description. General ledger account numbers are not necessary.

II. Exercises 1. Standward Company's shareholders' equity section balance sheet at December 31, 2016 is shown below. Preferred shares Authorized100 shares Issued and outstanding55 shares $2,145. Common shares Authorized900 shares Issued and outstanding600 shares $1,010. Retained earnings $450. Total shareholders' equity $3,605. Required: 1. What is the average price received for each issued preferred share? 2. What is the average price received for each issued common share? NOTE: For this part 2 only round your answer to the nearest 2 decimal places. 2. A company had the following bank reconciliation at June 30, 2016: Balance per bank statement, 6/30/16 $151,125 Add deposit in transit 33,475 184,600 Less outstanding checks 40,950 Balance per books, 6/30/16 $143,650 Data per bank for the month of July 2016 follow: Deposits $189,800 Disbursements $161,525 All reconciling items at June 30, 2016, cleared the bank in July. Outstanding checks at July 31, 2016, totaled $22,750. There were no deposits in transit at July 31, 2016. What is the cash balance per books at July 31, 2016? 3. Expresso Company had the following information related to common and preferred shares during the year: Common shares outstanding 1/1 Common shares repurchased Conversion of preferred shares Common shares repurchased 3/1 7/1 12/ 1 568,75 0 17,500 32,500 29,250 Expresso reported net income of $1,625,000 at December 31. What amount of shares should Expresso use as the denominator in the computation of basic earnings per share? ACCT310 Quiz One Concluded: Page 3 of 3 Page 1 of 2 4. An extract from the trial balance of Armstrong Corp. at June 30, 2016 is reproduced below: Account 1 2 3 4 5 6 Prepaid insurance Salaries payable Interest payable Unearned revenue Accumulated depreciation Unused office supplies Amount in unadjusted trial balance $3,200 $1,500 $ 0 $5,000 $2,200 $ 450 Amount in adjusted trial balance $2,600 $2,100 $ 1,000 $4,000 $2,750 $ 125 Required: Prepare in general journal format the entries that were posted, including a plausible description. General ledger account numbers are not necessary. Page 2 of 2