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Just need to know what debit and credit names go into the adjusting entries based off of the chart of accounts. Do not need any
Just need to know what debit and credit names go into the adjusting entries based off of the chart of accounts. Do not need any calculations.
\begin{tabular}{|c|c|c|c|c|c|} \hline \multicolumn{6}{|c|}{ ADJUSTING ENTRIES } \\ \hline AE \# & Date & Debit & Credit & Debit \$ & Credit $ \\ \hline 1 & 12/31/2021 & \begin{tabular}{|l|} Cost of Goods Sold \\ Merchandise Inventory \end{tabular} & & & \\ \hline 2 & 12/31/2021 & Rent Expense & & $96,000 & \\ \hline & & & Prepaid Rent & & $96,000 \\ \hline 3 & 12/31/2021 & Depreciation Expense & & $5,000 & \\ \hline & & & Accumulated Depreciation & & $5,000 \\ \hline \end{tabular} \begin{tabular}{|l|} \hline \multicolumn{1}{|c|}{ Chart of Accounts } \\ \hline Cash \\ \hline Accounts Receivable \\ \hline Prepaid Rent \\ \hline Merchandise Inventory \\ \hline Equipment \\ \hline Accumulated Depreciation \\ \hline Accounts Payable \\ \hline Wages Payable \\ \hline Interest Payable \\ \hline Notes Payable \\ \hline Retained Earnings \\ \hline Income Summary \\ \hline Sales \\ \hline Sales Returns \\ \hline Purchases \\ \hline Purchase Returns \\ \hline Cost of Goods Sold \\ \hline Wage Expense \\ \hline Rent Expense \\ \hline Interest Expense \\ \hline Depreciation Expense \\ \hline \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|c|c|} \hline \multirow[t]{4}{*}{8} & \multirow[t]{4}{*}{ 3/31/2021 } & \multirow{4}{*}{\begin{tabular}{l} Interest Payable \\ Notes Payable \\ Interest Expense \end{tabular}} & & \multirow{2}{*}{\multicolumn{2}{|c|}{\begin{tabular}{r} $5,600 \\ $80000 \end{tabular}}} \\ \hline & & & & & \\ \hline & & & & $1,400 & \\ \hline & & & \multicolumn{2}{|l|}{ Cash } & $87,000 \\ \hline \multirow[t]{2}{*}{9} & \multirow[t]{2}{*}{4/9/2021} & Purchases & & \multicolumn{2}{|l|}{$300,000} \\ \hline & & & Accounts Payable & & $300,000 \\ \hline \multirow[t]{2}{*}{10} & \multirow[t]{2}{*}{5/7/2021} & Accounts Receivable & & \multicolumn{2}{|l|}{$384,000} \\ \hline & & & Sales & & $384,000 \\ \hline \multirow[t]{2}{*}{11} & \multirow{2}{*}{6/14/2021} & Purchases & & \multicolumn{2}{|l|}{$175,000} \\ \hline & & & Accounts Payable & & $175,000 \\ \hline \multirow[t]{2}{*}{12} & \multirow[t]{2}{*}{6/30/2021} & Cash & & \multicolumn{2}{|l|}{$509,500} \\ \hline & & & Sales & & $509,500 \\ \hline \multirow[t]{2}{*}{13} & \multirow[t]{2}{*}{6/30/2021} & Wage Expense & & \multicolumn{2}{|l|}{$17,280} \\ \hline & & & Cash & & $17,280 \\ \hline \multirow[t]{2}{*}{14} & \multirow[t]{2}{*}{6/30/2021} & Rent Expense & & \multicolumn{2}{|l|}{$96,000} \\ \hline & & & Prepaid Rent & & $96,000 \\ \hline \multirow[t]{2}{*}{15} & \multirow[t]{2}{*}{7/1/2021} & Prepaid Rent & & \multicolumn{2}{|l|}{$192,000} \\ \hline & & & Cash & & $192,000 \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|c|c|} \hline# & Date & Debit & Credit & Debit $ & Credit \$ \\ \hline \multirow[t]{2}{*}{1} & \multirow[t]{2}{*}{1/14/2021} & Accounts Receivable & & \multirow[t]{2}{*}{$480,000} & \\ \hline & & & Sales & & $480,000 \\ \hline \multirow[t]{2}{*}{2} & \multirow[t]{2}{*}{2/3/2021} & Purchases & & \multirow[t]{2}{*}{$144,000} & \\ \hline & & & Accounts Payable & & $144,000 \\ \hline \multirow[t]{2}{*}{3} & \multirow[t]{2}{*}{3/20/2021} & Purchases & & \multirow[t]{2}{*}{$142,500} & \\ \hline & & & Accounts Payable & & $142,500 \\ \hline \multirow[t]{2}{*}{4} & \multirow[t]{2}{*}{3/21/2021} & Accounts Payable & & \multirow[t]{2}{*}{$95,000} & \\ \hline & & & Purchase Returns & & $95,000 \\ \hline \multirow[t]{2}{*}{5} & \multirow[t]{2}{*}{3/31/2021} & Cash & & \multirow[t]{2}{*}{$251,600} & \\ \hline & & & Sales & & $251,600 \\ \hline \multirow[t]{3}{*}{6} & \multirow[t]{3}{*}{3/31/2021} & Wage Expense & & \multirow{3}{*}{\begin{tabular}{r} $17,280 \\ $4,320 \end{tabular}} & \\ \hline & & Wages Payable & & & \\ \hline & & & Cash & & $21,600 \\ \hline \multirow[t]{2}{*}{7} & \multirow[t]{2}{*}{3/31/2021} & Interest Expense & & \multirow[t]{2}{*}{$5,600} & \\ \hline & & & Interest Payable & & $5,600 \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|c|c|} \hline 16 & 7/28/2021 & Accounts Receivable & Sales & $704,000 & $704,000 \\ \hline \multirow[t]{2}{*}{17} & \multirow[t]{2}{*}{8/2/2021} & Purchases & & \multirow[t]{2}{*}{$207,000} & \\ \hline & & & Accounts Payable & & $207,000 \\ \hline \multirow[t]{2}{*}{18} & \multirow[t]{2}{*}{9/15/2021} & Cash & & \multirow[t]{2}{*}{$1,100,000} & \\ \hline & & & Accounts Receivable & & $1,100,000 \\ \hline \multirow[t]{2}{*}{19} & \multirow[t]{2}{*}{ 9/30/2021 } & Cash & & \multirow[t]{2}{*}{$982,000} & \\ \hline & & & Sales & & $982,000 \\ \hline \multirow[t]{2}{*}{20} & \multirow[t]{2}{*}{ 9/30/2021 } & Wage Expense & & \multirow[t]{2}{*}{$17,280} & \\ \hline & & & Cash & & $17,280 \\ \hline \multirow[t]{2}{*}{21} & \multirow[t]{2}{*}{9/30/2021} & Sales Returns & & \multirow[t]{2}{*}{$224,000} & \\ \hline & & & Cash & & $224,000 \\ \hline \multirow[t]{2}{*}{22} & \multirow[t]{2}{*}{10/1/2021} & Purchases & & \multirow[t]{2}{*}{$420,000} & \\ \hline & & & Accounts Payable & & $420,000 \\ \hline \multirow[t]{2}{*}{23} & \multirow[t]{2}{*}{12/31/2021} & Cash & & \multirow[t]{2}{*}{$1,032,500} & \\ \hline & & & Sales & & $1,032,500 \\ \hline \multirow[t]{2}{*}{24} & \multirow[t]{2}{*}{12/31/2021} & Accounts Payable & & \multirow[t]{2}{*}{$1,100,000} & \\ \hline & & & Cash & & $1,100,000 \\ \hline \multirow[t]{2}{*}{25} & \multirow[t]{2}{*}{12/31/2021} & Wage Expense & & \multirow[t]{2}{*}{$17,280} & \\ \hline & & & Cash & & $17,280 \\ \hline \end{tabular} B. Adjusting Entries tab: The following transactions provide information for 3 adjusting entry transactions that need to be performed as of December 31, 2021: 26. Adjust for Inventory. The physical inventory count indicated 13,000 t-shirts were on hand. To complete this entry, you will need to: a. Record the dollar value of the ending inventory (13,000 shirts x Cost of each shirt); b. Reverse the 2020 ending inventory (Remember: Graphix uses a periodic FIFO inventory method); c. Reverse the Purchases account (as this is a temporary account) and the purchase returns account (also a temporary account); d. Calculate COGS using the above values. 27. Adjust for rent expense. 28. Equipment has a salvage value of $5,000. Straight line depreciation is used, and the life of the equipment is 7 yearsStep by Step Solution
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