LIFO
Total 344,400 344,400 b During January 2017, Express Lane Company completed the following transactions: Jan 1: Paid 12 months insurance in advance for $10,800. Jan 2: Purchased 400 units of inventory for 34,000$ from Great Company, on terms, 3/10, n/eom. Jan 4: Purchased 150 units of inventory from Deluxe Company on account with terms 2/5, 1/30. Total invoice is $13,500 which includes also freight charges. o Jan 5: Paid accrued salary of the December 2016, $16,000 Jan 13: Paid to Great Company. Jan 15: Sold 600 units of goods to Shine Company for $90,000 ($150 each) on account with terms 2/10, 1/30. Jan 17: Received 50 units of goods back from Shine Company (Returned goods are from $80 of cost each). Jan 20: Received payment from Shine Company, settling the amount due in full. Jan 23: Sold 40 units on account, $6,000 ($150 each) for cash to Bridget Company. Jan 26: Owner withdrew cash of 18,000$ Jan 27: Purchased supplies for cash of $7.000. hapter . pany On January 31, 2017 Express Lane Company completed following adjusting entries: Expiration of prepaid insurance for one month . Expiration of prepaid insurance for one month Depreciation of equipment for the month, $4,500 Supplies on hand, $12,000 Unearned sales revenue earned is, $12,000. Accrued salary of the January 2017 is $16,000 which will be paid on the 5th of February. Requirements: 1. Journalize and post the January transactions. (Open T-accounts for each of the accounts given in trial balance, do not forget to write beginning balances) (2 points each) 2. Prepare LIFO schedule to calculate the cost of Goods Sold (COGS) on the Jan 15th, and 23th, (Beginning inventory as of January 1 include 225 units $80 each which totals $18,000 as given) (17 points) 3. Prepare unadjusted trial balance as of January 31, 2017.(10 points) 4. Journalize and post the adjusting entries. (3 points each) 5. Prepare adjusted trial balance as of January 31, 2017. (10 points) Total 344,400 344,400 b During January 2017, Express Lane Company completed the following transactions: Jan 1: Paid 12 months insurance in advance for $10,800. Jan 2: Purchased 400 units of inventory for 34,000$ from Great Company, on terms, 3/10, n/eom. Jan 4: Purchased 150 units of inventory from Deluxe Company on account with terms 2/5, 1/30. Total invoice is $13,500 which includes also freight charges. o Jan 5: Paid accrued salary of the December 2016, $16,000 Jan 13: Paid to Great Company. Jan 15: Sold 600 units of goods to Shine Company for $90,000 ($150 each) on account with terms 2/10, 1/30. Jan 17: Received 50 units of goods back from Shine Company (Returned goods are from $80 of cost each). Jan 20: Received payment from Shine Company, settling the amount due in full. Jan 23: Sold 40 units on account, $6,000 ($150 each) for cash to Bridget Company. Jan 26: Owner withdrew cash of 18,000$ Jan 27: Purchased supplies for cash of $7.000. hapter . pany On January 31, 2017 Express Lane Company completed following adjusting entries: Expiration of prepaid insurance for one month . Expiration of prepaid insurance for one month Depreciation of equipment for the month, $4,500 Supplies on hand, $12,000 Unearned sales revenue earned is, $12,000. Accrued salary of the January 2017 is $16,000 which will be paid on the 5th of February. Requirements: 1. Journalize and post the January transactions. (Open T-accounts for each of the accounts given in trial balance, do not forget to write beginning balances) (2 points each) 2. Prepare LIFO schedule to calculate the cost of Goods Sold (COGS) on the Jan 15th, and 23th, (Beginning inventory as of January 1 include 225 units $80 each which totals $18,000 as given) (17 points) 3. Prepare unadjusted trial balance as of January 31, 2017.(10 points) 4. Journalize and post the adjusting entries. (3 points each) 5. Prepare adjusted trial balance as of January 31, 2017. (10 points)
