Instructions

(a) Prepare journal entries for the transactions listed above and adjusting entries. (I was able to do half, though could not figure how to do the rest)

(b) Prepare an adjusted trial balance at December 31, 2013.

(c) Prepare an income statement and a retained earnings statement for the year ending December 31, 2013, and a classified balance sheet as of December 31, 2013.

Klinger Corporation's balance sheet at December 31, 2013, is presented below. KLINGER CORPORATION Balance Sheet December 31, 2013 Accounts Cash $25,750 $26,950 payable Common stock Accounts receivable 45,710 85,000 ($10 par) Allowance for doubtful Retained (1,950) 131,970 accounts earnings Supplies 4,300 Land 40,410 Buildings 152,700 Accumulated depreciation (23,000) buildings $243,920 $243,920 During 2014, the following transactions occurred. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. On January 1, 2014, Klinger issued 1,100 shares of $40 par, 8% preferred stock for $45,100. On January 1, 2014, Klinger also issued 870 shares of the $12 par value common stock for $21,100. Klinger performed services for $337,000 on account. On April 1, 2014, Klinger collected fees of $37,200 in advance for services to be performed from April 1, 2014, to March 31, 2015. Klinger collected $282,000 from customers on account. Klinger bought $34,800 of supplies on account. Klinger paid $31,500 on accounts payable. Klinger reacquired 400 shares of its common stock on June 1, 2014, for $26 per share. Paid other operating expenses of $189,500. On December 31, 2014, Klinger declared the annual preferred stock dividend and a $1.20 per share dividend on the outstanding common stock, all payable on January 15, 2015. An account receivable of $1,900 which originated in 2013 is written off as uncollectible. Adjustment data: 12. 13. 14. 15. A count of supplies indicates that $5,700 of supplies remain unused at year-end. Recorded revenue from item 4 above. The allowance for doubtful accounts should have a balance of $3,500 at year end. Depreciation is recorded on the building on a straight-line basis based on a 30-year life and a salvage value of $14,700. 16. The income tax rate is 30%. (Hint: Prepare the income statement up to income before taxes and multiply by 30% to compute the amount.) Instructions (a) Prepare journal entries for the transactions listed above and adjusting entries. (I was able to do half, though could not figure how to do the rest) (b) Prepare an adjusted trial balance at December 31, 2013. (c) Prepare an income statement and a retained earnings statement for the year ending December 31, 2013, and a classified balance sheet as of December 31, 2013. (a) ? (b) ? (c)