Question
Jasmine Corporation has a December 31 fiscal year-end. The following table shows the adjusted trial balance at December 31, 2019. Adjusted Trial Balance December 31,
Jasmine Corporation has a December 31 fiscal year-end. The following table shows the adjusted trial balance at December 31, 2019.
Adjusted Trial Balance
December 31, 2019
| Debit | Credit |
Cash | 25,000 |
|
Inventory | 40,000 |
|
Accounts receivable | 8,000 |
|
Prepaid insurance expenses | 7,000 |
|
Note receivable | 50,000 |
|
Accrued interest revenues | 9,000 |
|
Land | 125,000 |
|
Buildings | 352,000 |
|
Equipment | 118,000 |
|
Trademarks | 90,050 |
|
Accumulated depreciation buildings |
| 88,000 |
Accumulated depreciation equipment |
| 29,250 |
Accrued salary expenses |
| 60,000 |
Unearned revenue |
| 30,000 |
Dividend payable |
| 20,050 |
Note payable due in 4 years |
| 125,000 |
Common shares |
| 350,000 |
Retained earnings |
| 130,250 |
Sales revenues |
| 420,050 |
Interest revenues |
| 19,750 |
Operating expenses | 422,600 |
|
Interest expense | 3,400 |
|
Income tax expense | 2,250 |
|
Dividend declared | 20,050 |
|
Total | $1,272,350 | $1,272,350 |
22. Assume that there is only one product under the Inventory account. After preparing the above adjusted trial balance, Jasmine Corporation discovers the following new information that the net realizable value of the entire Inventory is $4,000 as at December 31, 2019. After considering this new information, what is the dollar amount of shareholders equity that must be reported on the statement of financial position for the year ended on December 31, 2019?
For your answer, make sure to put the number without dollar signs ($), commas (,), periods (.), and decimal points. Again, please state the number only without dollar signs, commas, periods, and decimal points for your answer. For example, if the answer happens to be 12345, then you must simply put 12345
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started