IMIS IS the other part of your DOR - nomework ... Prop 4-ID. This problem is NOT in your textbook. Required: use the "working papers" below and submit by the due date. Homework Working Papers Instruction (a) ... Complete this worksheet Chapter 4 ... Problems: Set B 24-1B The trial balance columns of the worksheet for Pevnick Inc. at March 31 are as follows. PEVNICK INC. Worksheet For the Quarter Ended March 31, 2017 Account Titles Cash Accounts Receivable Supplies Prepaid Insurance Equipment Notes Payable Accounts Payable Common Stock Dividends Service Revenue Salaries and Wages Expense Travel Expense Rent Expense Miscellaneous Expense Trial Balance Nr. 11,400 5,620 1,050 2,400 30,000 10,000 12,350 20,000 600 13,620 2,200 1,300 1,200 200 550.970 551970 (No "Adjusted Trial Balance" columns below. When you "net" the Trial Balance and the Adjustment columns place the net amount in the appropriate financial statement column.) Note: Ins St & Bal Sht cols have only the account balance, per account, EITHER a debitor credit balance-not both. Pevnick Inc. Worksheet For the Quarter Ended March 31, 2017 Account Title Trial Balance Adjustments Income Statement Balance Sheet Debit Credit Debit Credit Debit Credit / Debit | Credit Cash 11,400 Accounts Receivable 5,620 Supplies 1,050 Prepaid Insurance 2,400 Equipment 30,000 Notes Payable 10,000 Accounts Payable 12,350 Common Stock 20,000 Dividends 600 Service Revenue | 13,620 Sal & Wage Expense 2,200 Travel Expense 1,300 Rent Expense 1,200 Misc. Expense 200 Totals 55,970 55,970 Supplies Expense Depreciation Expense Accum Depr - Equip Interest Expense Interest Payable Insurance Expense Totals 4,500 4,500 Net Income Totals Other data: 1. Supplies on hand total $280. (Hint: How much was "used up") 2. Depreciation is $800 per quarter. (Hint: Remember - the "quarter" is 3 month.) 3. Interest accrued on 6-month note payable, issued January 1, $300. (Hint: accrued does NOT mean that you paid it - "Cash is NOT affected.) 4. Insurance expires (is used up) at the rate of $200 per month. 5. Services performed but unbilled at March 31 total $2,030. Instructions (a) Enter the trial balance on a worksheet (completed for you) ... AND ... complete the worksheet. (b) Prepare an income statement and a retained earnings statement for the quarter and a classified balance sheet at March 31. Instructors Note: The Trial Balance columns should be equal as should the adjustment columns (adj cols = 4,500... VERIFY IT.). However the debit and credit columns of the Income Statement and Balance Sheet columns, will NOT be equal ... until you "plug in" the Net Income in the ONE col of Inc St and ONE col in the Bal Sht. (lf a debit in one then a credit in the other). (c) Journalize the adjusting entries from the adjustments columns of the worksheet. (d) Journalize the closing entries from the financial statement columns of the worksheet. Instruction (b)... part 2 - Complete the Income Statement Each account will appear in EITHER the Income Statement or the balance sheet - NOT BOTH. Only Revenues and Expenses are included in the Income Stmnt columns while only Asset, Liability, Common Stock and Dividend amounts are in the balance sheet col. PEVNICK INC. Balance Sheet March 31, 2017 Assets Current Assets: Instruction (b) ... part 1 - Complete the Income Statement PEVNICK INC. Income Statement For the Quarter Jan 1 - March 31 Property, Plant, Equipment: Liabilities and Stockholders' Equity Current Liabilities: Net Income Stockholders Equity: Completed for you PEVNICK INC. Retained Earnings Statement For the Quarter Ended March 31, 2017 Retained Earnings, January 1 Add: Net Income 8,280 8,780 Less: Dividends 600 Retained Earnings, March 31 7,680 More Below Instruction (c) ... Complete the Adjusting Entries Date Account Title Mar 31 Debit Credit Instruction (d) ... Complete the Closing Entries Date Account Title Mar 31 Debit Credit 31
