Need help on worksheet.
On November 30, 2019, Davis Company had the following account balances: Credit Debit $3,090 Cash 9,900 $100 Accounts Receivable Allowance for Doubtful Accounts Inventory Supplies 17,750 1,400 Land 9,000 42,000 4,200 10,700 20,000 42,400 Buildings and Equipment Accumulated Depreciation Accounts Payable Common Stock, no par (2,000 shares) Retained Earnings (1/1/2019) Dividends Sales Revenue Cost of Goods Sold Salaries Expense Advertising Expense Other Expenses 2,000 69,700 36,860 12,500 8,100 4,500 During the month of December, Davis entered into the following transactions: Date Dec. 4 7 14 18 20 Transaction Made cash sales of $3,000; the cost of the inventory sold was $1,800. Purchased $2,400 of inventory on credit. Collected $900 of accounts receivable. Sold land for $7,800; the land originally cost $5,000. Made credit sales of $4,000; the cost of the inventory sold was $2,400. Returned $360 of defective inventory to supplier for credit to the Davis Company's account. Purchased $1,250 of inventory for cash. Paid $1,100 of accounts payable. Purchased land at a cost of $6,000; made a $1,000 down payment and signed a 12%, 2-year note for the balance. 21 27 28 31 Required: 1. Prepare general journal entries to record the preceding transactions. 2. Post to general ledger T-accounts. 3. Prepare a year-end trial balance on a worksheet and complete the worksheet using the following information: a. accrued salaries at year-end total $1,200; b. for simplicity, the building and equipment are being depreciated using the straight-line method over an estimated life of 20 years with no residual value; C. supplies on hand at the end of the year total $630, d. bad debts expense for the year totals $830; e the income tax rate is 30%; income taxes are payable in the first quarter of 2020 4. Prepare the company's financial statements for 2019. 5. Prepare the 2019 (a) adjusting and (b) closing entries in the general journal. For the Year Ended December 31, 2019 1 Trial Balance Trial Balance Adjustments Adjustments Income Statement Income Statement Debit Retained Famings Retained Famings Balance Sheet Balance Sheet 2 Account Titles Debit Credit Debit Credit Credit Debit Credit Debit Credit 3 Cash 11,440.00 15,000.00 4 Accounts receivable s Allow for doubtful accounts 100.00 830.00 & Inventory 7 Supplies 770.00 16,840.00 1,400.00 10,000.00 42,000.00 & Land 9 Buildings and equipment 10 Accumulated depreciation 2,100.00 11 Accounts payable 12 Notes payable 4,200.00 11,640.00 5,000.00 20,000.00 42,400.00 13 Common stock 14 Retained earnings (1/1/19) 15 Dividends 2,000.00 16 Sales revenue 76,700.00 2,800.00 17 Gain on sale of land 18 Cost of goods sold 19 Salaries expense 20 Advertising expense 41,060.00 12,500.00 1,200.00 8,100.00 4,500.00 21 Other expense 22 Totals $166,140.00 23 24 25 26 27 25 29 30 31 Net income 32 33 Retained Earnings (12/31/19) 34
