inclme statement
Question 1 Crane Corporation's trial balance at December 31, 2020, is presented below. All 2020 transactions have been recorded except for the terms described below. Debit Credit Cash $25,500 Accounts Receivable 50,000 Inventory 23,000 Land 65,800 Buildings 109,200 Equipment 43,000 Allowance for Doubtful Accounts $460 Accumulated Depreciation-Buildings 35.000 Accumulated Depreciation Equipment 12.000 Accounts Payable 19.200 Interest Payable -0- Dividends Payable -0- Unearned Rent Revenue 6.400 Bonds Payabla (1096) 40.000 Common Stock ($10 par) 30.000 Paid in Capital in Excess of Par-Common 6.000 Stock Preferred Stock ($20 par) -0- Paldin Capital in Excent of Par-Preferred Stock 98.040 Rotained Earnings Treasury Stock Cash Dividends 576.000 Sales Revenue -0- Rent Revenue Bad Debt Expono Interest Expense 403,000 Cost of Goods Sold -0- Deprecation Escbn 38.600 Other Operating Expense 65.000 Salaries and weges E pensa $923 100 5923.100 Tot -0- -0- 9- 0- Unrecorded transactions and adjustments 1. On January 1, 2020. Crane issued 1,000 shares of $20 par, 6% preferred stock for $22,000. 2. On January 1, 2020. Crane also issued 1,200 shares of common stock for $26.400. 3. Crane reacquired 320 shares of its common stock on July 1, 2020, for $47 per share, 4. On December 31, 2020, Crane declared the annual cash dividend on the preferred stock and a $1.30 per share dividend on the outstanding common stock, all payable on January 15, 2021. 5. Crane estimates that uncollectible accounts receivable at year-end is $5.000 6. The building is being depreciated using the straight-line method over 30 years. The salvage value is $4,200. 7. The equipment is being depreciated using the straight line method over 10 years. The salvage value is $4.300 8. The unearned rent was collected on October 1, 2020. It was receipt of 4 montharent in advance (October 1, 2020 through January 31, 2023), 9. The 10% bonds payable pay interest every January 1. The interest for the 12 months ended December 31, 2020, has not been paid or recorded Ignore Income Taxes.) Your answer is correct Prepare joumal entries for the transactions and adjustment listed above. Cred courtes are a M. Account Tities and Explanation Debe C Study 1. Cash 22000 Preferred Stock 20000 Paid-in Capital in Excess of Par-Preferred Stock 2000 2. Cash 26400 Common Stock 12000 Paid-in Capital in Excess of Par-Common Stock 14400 15040 3. Treasury Stock . Cash 15010 6244 4. Cash Dividends . Dividends Payable 6244 5. Bad Debt Expense 4540 E 4500 Allowance for Doubtful Accounts 3500 6. Depreciation Expense 3500 Accurated Depreciation-3ildings 3870 7. Berdation Expense 3870 Accumulated Deprecationement CO med et Revenue 2009 Rent 000 9. Es 4000 Tidende Cid you would like to show Work for this questions SO SOCOON BOW SHOWUOCCOUNTS LINCOTER Prepare an updated December 31, 2020, trial balance, nenecting the joumal entries in part(a). CRANE CORPORATION Trial Balance December 31, 2020 Debit Credit Cash 58860 Accounts Receivable 50000 Inventory 23000 Land 65800 Buildings 109200 12 Equipment 13000 Allance fer Doubtrol Accounts 5000 Acuminater Depredatort Buildings 38500 inted Deuredation Equipment 15370 10200 Nachomava 1000 WEBOVE DNEVNE WEBER 30 12030 AN co TRUPA TENNIS BEN BIS | | | | Interest Payable 1000 Dividends Payable 6244 Uneamed Rent Revenue 2600 Bonds Payable 40000 Common Stock 42000 20400 Pald-in Capital in Excess of Par-Common Stock 2 Preferred Stock 20000 2000 Paid-in Capital in Excess of Par-Preferred Stock B Retained Earrings 98040 Treasury Stock 15040 Cash Dividends 6214 Sales Revenue 576000 Rent Revenue 1800 Bad Debt Exuense 45-16 1000 Ad Expense Cost of Goods Sole 0000 biurite Expers cuite E BO imateW ESTE Vou wanted to show Work Tth ustions STE SON Prepare a multiple step income statement for the year ending December 31, 2020. (Latoth CRANE CORPORATION Income Statement $ K
