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Income Statement, Statement of Owner's Equity, and Balance Sheet Paulson's Pet Store completed the Adjusted Trial Balance for the year ended December 31, 20--. Owner's
Income Statement, Statement of Owner's Equity, and Balance Sheet
Paulson's Pet Store completed the Adjusted Trial Balance for the year ended December 31, 20--. Owner's equity as of January 1, 20--, was $498,420. The current portion of Note Payable is $4,000.
| Paulson's Pet Store End-of-Period Spreadsheet (Partial) December 31, 20-- | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| ACCOUNT TITLE | ADJUSTED TRIAL BALANCE | |||||||||
| DEBIT | CREDIT | |||||||||
| Cash | 23,430.00 | |||||||||
| Accounts Receivable | 9,370.00 | |||||||||
| Merchandise Inventory | 64,900.00 | |||||||||
| Estimated Returns Inventory | 1,200.00 | |||||||||
| Supplies | 2,500.00 | |||||||||
| Prepaid Insurance | 1,800.00 | |||||||||
| Land | 90,000.00 | |||||||||
| Building | 350,000.00 | |||||||||
| Accum. Depr.Building | 20,000.00 | |||||||||
| Store Equipment | 120,000.00 | |||||||||
| Accum. Depr.Store Equipment | 3,600.00 | |||||||||
| Accounts Payable | 9,560.00 | |||||||||
| Customer Refunds Payable | 1,500.00 | |||||||||
| Wages Payable | 1,300.00 | |||||||||
| Sales Tax Payable | 3,440.00 | |||||||||
| Note Payable | 32,000.00 | |||||||||
| B. Paulson, Capital | 518,420.00 | |||||||||
| B. Paulson, Drawing | 4,900.00 | |||||||||
| Income Summary | 59,100.00 | 64,900.00 | ||||||||
| 700.00 | 1,200.00 | |||||||||
| Sales | 326,040.00 | |||||||||
| Sales Returns and Allowances | 5,360.00 | |||||||||
| Purchases | 162,640.00 | |||||||||
| Purchases Returns and Allowances | 4,080.00 | |||||||||
| Purchases Discounts | 3,200.00 | |||||||||
| Freight-In | 1,600.00 | |||||||||
| Wages Expense | 69,300.00 | |||||||||
| Advertising Expense | 1,300.00 | |||||||||
| Supplies Expense | 900.00 | |||||||||
| Phone Expense | 2,736.00 | |||||||||
| Utilities Expense | 2,864.00 | |||||||||
| Insurance Expense | 1,600.00 | |||||||||
| Depr. ExpenseBuilding | 10,000.00 | |||||||||
| Depr. ExpenseStore Equipment | 1,800.00 | |||||||||
| Miscellaneous Expense | 600.00 | |||||||||
| Interest Expense | 640.00 | |||||||||
| 989,240.00 | 989,240.00 | |||||||||
| 321,140.00 | 399,420.00 | |||||||||
| Net Income | 78,280.00 | |||||||||
Required:
1. Prepare a multiple-step income statement.
| Paulson's Pet Store | ||||
| Income Statement | ||||
| For Year Ended December 31, 20-- | ||||
| Revenue from sales: | ||||
| Sales | $fill in the blank 1d9ea404607600c_2 | |||
| Less: Sales returns and allowances | fill in the blank 1d9ea404607600c_4 | |||
| Net sales | $fill in the blank 1d9ea404607600c_6 | |||
| Cost of goods sold: | ||||
| Merchandise inventory, January 1, 20-- | $fill in the blank 1d9ea404607600c_8 | |||
| Estimated returns inventory, January 1, 20-- | fill in the blank 1d9ea404607600c_10 | $fill in the blank 1d9ea404607600c_11 | ||
| Purchases | $fill in the blank 1d9ea404607600c_13 | |||
| Less: Purchases returns and allowances | $fill in the blank 1d9ea404607600c_15 | |||
| Less: Purchases discounts | fill in the blank 1d9ea404607600c_17 | fill in the blank 1d9ea404607600c_18 | ||
| Net purchases | $fill in the blank 1d9ea404607600c_20 | |||
| Add freight-in | fill in the blank 1d9ea404607600c_22 | |||
| Cost of goods purchased | fill in the blank 1d9ea404607600c_24 | |||
| Goods available for sale | $fill in the blank 1d9ea404607600c_26 | |||
| Less: Merchandise inventory, December 31, 20-- | $fill in the blank 1d9ea404607600c_28 | |||
| Less: Estimated returns inventory, December 31, 20-- | fill in the blank 1d9ea404607600c_30 | fill in the blank 1d9ea404607600c_31 | ||
| Cost of goods sold | fill in the blank 1d9ea404607600c_33 | |||
| Gross profit | $fill in the blank 1d9ea404607600c_35 | |||
| Operating expenses: | ||||
| Wages expense | $fill in the blank 1d9ea404607600c_37 | |||
| Advertising expense | fill in the blank 1d9ea404607600c_39 | |||
| Supplies expense | fill in the blank 1d9ea404607600c_41 | |||
| Phone expense | fill in the blank 1d9ea404607600c_43 | |||
| Utilities expense | fill in the blank 1d9ea404607600c_45 | |||
| Insurance expense | fill in the blank 1d9ea404607600c_47 | |||
| Depreciation expense-building | fill in the blank 1d9ea404607600c_49 | |||
| Depreciation expense-store equipment | fill in the blank 1d9ea404607600c_51 | |||
| Miscellaneous expense | fill in the blank 1d9ea404607600c_53 | |||
| Total operating expenses | fill in the blank 1d9ea404607600c_55 | |||
| Income from operations | $fill in the blank 1d9ea404607600c_57 | |||
| Other expenses: | ||||
| Interest expense | fill in the blank 1d9ea404607600c_59 | |||
| Net income | ||||
2. Prepare a statement of owner's equity.
| Paulson's Pet Store | ||
| Statement of Owner's Equity | ||
| For Year Ended December 31, 20-- | ||
| B. Paulson, capital, January 1, 20-- | $fill in the blank cf2d2cfeaf8f076_2 | |
| Add additional investments | fill in the blank cf2d2cfeaf8f076_4 | |
| Total investment | $fill in the blank cf2d2cfeaf8f076_5 | |
| Net income for the year | $fill in the blank cf2d2cfeaf8f076_7 | |
| Less: Withdrawals for the year | fill in the blank cf2d2cfeaf8f076_9 | |
| Increase in capital | fill in the blank cf2d2cfeaf8f076_11 | |
| B. Paulson, capital, December 31, 20-- | $fill in the blank cf2d2cfeaf8f076_13 | |
3. Prepare a balance sheet.
| Paulson's Pet Store | |||
| Balance Sheet | |||
| December 31, 20-- | |||
| Assets | |||
| Current assets: | |||
| Cash | $fill in the blank 56e943059f9df80_2 | ||
| Accounts receivable | fill in the blank 56e943059f9df80_4 | ||
| Merchandise inventory | fill in the blank 56e943059f9df80_6 | ||
| Estimated returns inventory | fill in the blank 56e943059f9df80_8 | ||
| Supplies | fill in the blank 56e943059f9df80_10 | ||
| Prepaid insurance | fill in the blank 56e943059f9df80_12 | ||
| Total current assets | $fill in the blank 56e943059f9df80_13 | ||
| Property, plant, and equipment: | |||
| Land | $fill in the blank 56e943059f9df80_15 | ||
| Building | $fill in the blank 56e943059f9df80_17 | ||
| Less: Accumulated depreciation | fill in the blank 56e943059f9df80_19 | fill in the blank 56e943059f9df80_20 | |
| Store equipment | $fill in the blank 56e943059f9df80_22 | ||
| Less: Accumulated depreciation | fill in the blank 56e943059f9df80_24 | fill in the blank 56e943059f9df80_25 | fill in the blank 56e943059f9df80_26 |
| Total assets | $fill in the blank 56e943059f9df80_27 | ||
| Liabilities | |||
| Current liabilities: | |||
| Note payable | $fill in the blank 56e943059f9df80_29 | ||
| Accounts payable | fill in the blank 56e943059f9df80_31 | ||
| Customer refunds payable | fill in the blank 56e943059f9df80_33 | ||
| Wages payable | fill in the blank 56e943059f9df80_35 | ||
| Sales tax payable | fill in the blank 56e943059f9df80_37 | ||
| Total current liabilities | $fill in the blank 56e943059f9df80_38 | ||
| Long-term liabilities: | |||
| Note payable | $fill in the blank 56e943059f9df80_40 | ||
| Less: Current portion | fill in the blank 56e943059f9df80_42 | fill in the blank 56e943059f9df80_43 | |
| Total liabilities | $fill in the blank 56e943059f9df80_44 | ||
| Owners Equity | |||
| B. Paulson, capital | fill in the blank 56e943059f9df80_46 | ||
| Total liabilities and owner's equity | $fill in the blank 56e943059f9df80_47 | ||
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Fundamentals Of Oil And Gas Accounting
Authors: Rebecca A. Gallun, Ph.D. Wright, Charlotte J, Linda M. Nichols, John W. Stevenson
4th Edition
0878147934, 9780878147939
