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of 2 6b3-aa9d-4d0a-bce9-380 $5,400 3,400 $394,000 FLOUNDER COMPANY Income Statement December 31, 2021 Sales Less: Unearned revenue Purchase discounts Total revenue Cost of goods sold

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of 2 6b3-aa9d-4d0a-bce9-380 $5,400 3,400 $394,000 FLOUNDER COMPANY Income Statement December 31, 2021 Sales Less: Unearned revenue Purchase discounts Total revenue Cost of goods sold Purchases Less: Purchase returns and allowances Net purchases Add: Sales returns and allowances Cost of goods available for sale Add: Freight out Cost of selling merchandise Gross profit margin Operating expenses Freight in Insurance expense Interest expense Rent expense Salaries expense Total operating expenses Profit margin Other revenues Stan Interact route 8,800 385,200 232,500 4,000 236,500 7,600 244,100 9,600 253,700 131,500 5 4,500 10.500 2,400 17.900 42,000 77,300 54,200 Assignment Part II .com/ wa/u/V2/assessment-player/index.html?launchid-b5e6b3-229d4d0-09-38d22dd889 UI Applix Question 2 of 2 Other revenues interest revenue Investment by owner Other expenses Depreciation expense Drawings by owner Profit from operations $1,400 3,700 5,100 6,700 48,500 55,200 (50,100) $4,100 FLOUNDER COMPANY Balance Sheet Year Ended December 31, 2021 Assets Cash Accounts receivable Merchandise inventory, January 1, 2021 Merchandise inventory, December 31 2021 Equipment $67.000 Less: loan payable (for equipment 49.900 purchase) Total assets Liabilities and Owner's Equity Long-term investment Accumulated depreciation-equipment Sales discounts $16,400 8,000 30.000 23,700 17.100 $95.200 $49.900 20.100 2.900 Part 11 assement playefendechlaunched-40080226ques Question 2 of 2 Cash Accounts receivable Merchandise inventory, January 1, 2021 Merchandise inventory. December 31. 2021 Equipment $67.000 Less: loan payable (for equipment 49,900 purchase) Total assets Liabilities and Owner's Equity Long-term investment Accumulated depreciation equipment Sales discounts Total abilities Owner's equity Total liabilities and owner's equity $16,400 8.000 30,000 23,700 17,100 $95.200 The owner of the company, Lily Oliver, is confused by the statements and has asked you for your help. She doesn't understand how if her Owner's Capital account was $74,500 at December 31, 2020, owner's equity is now only $22.300. The accountant tells you that $22.300 must be correct because the balance sheet is balanced. The accountant also tell you that he didn't prepare a statement of owner's equity because it is an optional statement. You are relieved to find out that even though there are errors in the statements, the amounts used from the accounts in the general ledger are the correct amounts $49,900 20,100 2.900 72.900 22.300 $95.200 of 2 6b3-aa9d-4d0a-bce9-380 $5,400 3,400 $394,000 FLOUNDER COMPANY Income Statement December 31, 2021 Sales Less: Unearned revenue Purchase discounts Total revenue Cost of goods sold Purchases Less: Purchase returns and allowances Net purchases Add: Sales returns and allowances Cost of goods available for sale Add: Freight out Cost of selling merchandise Gross profit margin Operating expenses Freight in Insurance expense Interest expense Rent expense Salaries expense Total operating expenses Profit margin Other revenues Stan Interact route 8,800 385,200 232,500 4,000 236,500 7,600 244,100 9,600 253,700 131,500 5 4,500 10.500 2,400 17.900 42,000 77,300 54,200 Assignment Part II .com/ wa/u/V2/assessment-player/index.html?launchid-b5e6b3-229d4d0-09-38d22dd889 UI Applix Question 2 of 2 Other revenues interest revenue Investment by owner Other expenses Depreciation expense Drawings by owner Profit from operations $1,400 3,700 5,100 6,700 48,500 55,200 (50,100) $4,100 FLOUNDER COMPANY Balance Sheet Year Ended December 31, 2021 Assets Cash Accounts receivable Merchandise inventory, January 1, 2021 Merchandise inventory, December 31 2021 Equipment $67.000 Less: loan payable (for equipment 49.900 purchase) Total assets Liabilities and Owner's Equity Long-term investment Accumulated depreciation-equipment Sales discounts $16,400 8,000 30.000 23,700 17.100 $95.200 $49.900 20.100 2.900 Part 11 assement playefendechlaunched-40080226ques Question 2 of 2 Cash Accounts receivable Merchandise inventory, January 1, 2021 Merchandise inventory. December 31. 2021 Equipment $67.000 Less: loan payable (for equipment 49,900 purchase) Total assets Liabilities and Owner's Equity Long-term investment Accumulated depreciation equipment Sales discounts Total abilities Owner's equity Total liabilities and owner's equity $16,400 8.000 30,000 23,700 17,100 $95.200 The owner of the company, Lily Oliver, is confused by the statements and has asked you for your help. She doesn't understand how if her Owner's Capital account was $74,500 at December 31, 2020, owner's equity is now only $22.300. The accountant tells you that $22.300 must be correct because the balance sheet is balanced. The accountant also tell you that he didn't prepare a statement of owner's equity because it is an optional statement. You are relieved to find out that even though there are errors in the statements, the amounts used from the accounts in the general ledger are the correct amounts $49,900 20,100 2.900 72.900 22.300 $95.200

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