Open recovered workbooks? Your recent changes were taved. Do you want to continue working where you left off? E22 A B C D E F G . 1 3) The company takes a physical Inventory count at the end of the year and adjusts their inventory and cost of goods sold if there is a difference between the inventory value determined from the actual count compared to the value in the general ledger. The information below includes the number of units counted in inventory at the end of the year and the purchases of inventory during the month. 6 Number of units held in the company's inventory at 12/31/2016 based on a count of the inventory was 18,841 units. A listing of purchases during the month of December are as follows: 11 Unit Cost Total Date December 5, 2016 December 14, 2016 December 21, 2016 Quantity Purchased 15,700 $ 6,500 $ 7,500 $ 3.75 4.00 4.50 $ $ $ Cost 58,875 26,000 33,750 15 16 17 18 19 20 21 The company uses FIFO to account for its inventory cost. What is the cost of the company's ending inventory (round answer to nearest dollar and show your calculation below for full credit 23 24 25 26 27 28 29 30 31 32 The balance in inventory per the adjusted trial balance before making any adjustments is $79,327 What is the amount of the December 31 adjustment to inventory cost show your calculation below for full credit? 33 34 Inventory adjustment Ready A for bad de DIE Tance 81 Sx ACME Distribution, Inc. D A B 3 K L 4) The company has estimated based on historical Information, that 4.5% of its accounts receivable will ultimately not be collected. Therefore, they provide an allowance for bad debts at that level. Calculate the appropriate amount for the allowance at December 31, 2016. 7 8 9 10 11 12 13 14 Accounts receivable balance per the unadjusted trial balance $ 42.400 Estimated alowance amount (Round answer to the nearest dollar and show your calculation below for full credit) 15 16 17 Amount of adjustment needed to the allowance account (Show your calculation below to receive full credit). 18 19 20 21 22 23 24 25 26 27 28 29 30 31 Compite below the adjusting purwakontry necessary for the lowance for bad Acouscruton Dett Credit Post the above entry to the wence in the aimer com 32 33 34 35 36 37 38 39 40 41 42 43 Accounting cycle Mining Allow for all det Deprebom balance Ready Open recovered workbooks? Your recent changes were saved. Do you want to continue working where you left off? B1 ACME Distribution, Inc. C E D. F B G 5) On July 31, 2016 the company purchased new warehouse equipment in the amount of $50,000. No depreciation has been recorded yet in 2016 for this new asset. It is estimated to have a useful life of years and a salvage value of $5,000. What is the depreciation expense for 2016 using the straight-line method? (Round answer to the nearest dolar and show your calculation below for full credit) 9 10 11 12 14 15 16 17 18 19 20 21 22 Complet below the adjusting journal entry necessary for depreciation: Account description Debit Credit Postovery other balance in the adjustment columns 24 25 26 27 28 29 30 31 32 33 >4 35 37 39 Deccion dy MacBook Air Paste BIU Merge & Center $ %) B1 Open recovered workbooks? Your recent changes were saved. Do you want to continue working where you left off? fx ACME Distribution B C D F The company issued a $75,000 bond dated August 1, 2016 to finance the purchase of warehouse equipment and provide the company additional cash. The bond has a contractual interest rate of 6.8% and was issued at par. The bond matures in 10 years and pays Interest on July 31 and January 31 each year. 8 What is the amount of interest to be accrued at December 31, 2016? (Round answer to nearest dollar and show your calculation below for full credit) 12 13 15 16 17 18 19 20 21 22 Complete below the adjusting joumal entry necessary for accrued interest Account description Debit Credit Post the above entry to the trial balance in the adjustment columns 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 utoSave O A ES5= ACC201 Student Accounting Case - P ome Insert Draw Page Layout Formulas Data Review View Tell me III Paste lili Arial + Wrap Text Number Merge & Center $ % Open recovered workbooks? Your recent changes were saved. Do you want to continue working where you left off? 540 These che comprende Patil ACME on in Trial Balance December 31, 2018 12.01.2015 Dec 2016 December 31, 204 De 2016 Posting Unterwca M Aura IP ON Od Det D Ded 34.100 28 be 71.000 200 Ready esc SO 888 F4 Q F2 15 16 toSave BESU ACC201 Student Accounting Case - P- me Insert Draw Page Layout Formulas Data Review View Tell me Arial 18 * ' Wrap Text Number ante Merge & Center Open recovered workbooks? Your recent changes were saved. Do you want to continue working where you loft off? 0 There We GP ACME Dribution, Inc Trial Balance December 31, 2016 1232015 Dec. 2010 Bances Uste Banca Diceber 11, 2016 POT Adance FYI Only Cred D Duda 12.000 14 Che Warehouse 20 BE . 2409 15. > Merg Open recovered workbooks? Your recent changes were saved. Do you want to continue working wh A B D G ACME Distribution, Inc. Income Statement For the Years Ended December 31, 2016 and 2015 5 7 Years Ended December 31, 8 2016 2015 9 Revenue: 10 Sales 607,480 11 Less: Sales discounts 1,480 12 Sales returns and allowances 620 13 Net sales 605,380 14 Cost of goods sold 461,200 15 Gross profit 144.180 16 17 Operating expenses: 18 Depreciation expense-Office equipment 1.200 19 Depreciation expense-Warehouse equipment 2,500 20 Bad debt expense 840 21 Salaries expense 48.000 22 Insurance expense 18,060 23 Rent expenso 24,000 24 Advertising expenso 15,900 25 USites expense 13,000 Total operating expense 123,300 27 28 Income from operations 20.880 26 0 30 other expense-interest 31 32 Net income 20,880 34 35 36 37 BR Dacia Ready Insert Draw Page Layout Formulas Data Review View Tell me Arial 12 ' Wrap Text lili lul Merge & Cente en recovered workbooks? Your recent changes were saved. Do you want to continue working where you fx B C D E A ACME Distribution, Inc. Statement of Stockholders' Equity For the Years Ending December 31, 2016 and 2015 Additional Common Stock Paid-in Retained Shares Amount Capital Earnings 100 $ 1,000 $ 500 $ 153,530 $ 20 200 400 20,880 12,000 120 1,200 900 162 410 Total 155,030 600 20,880 12.000 164 510 Balance, January 1, 2015 Common stock issued Add: Net income Less: Dividends paid Balance, December 31, 2015 Common stock issued Add: Net income Less: Dividends paid Balance, December 31, 2016 3 9 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 E C D 3 Balance Sheet 4 As of December 31, 2016 and 2015 5 6 December 31 7 2016 2015 8 Assets 9 Current assets 10 Cash 34,620 11 Accounts receivable 25,060 12 Allowance for bad debts (1 200) 13 Accounts receivable-net of allowance 23,860 14 Inventory 66,750 15 Supplies 16 Prepaid insurance 10,700 17 Prepaid rent 2,600 18 Total current assets 138.530 19 20 Property, plant and equipment 21 Office equipment 35.000 22 Warehouse equipment 30,000 23 65,000 24 Less accumulated depreciation 24,000 25 Net property, plant and equipment 41,000 26 27 Total assets 179.530 28 Uabilities 29 Current liabilities 30 Accounts payable 14,550 31 Salarios payable 470 32 Interest payable 33 Dividends payable 34 Uneamed revenue 35 Total current liabilities 15,020 36 37 Long-term liability 38 Bond paytle 0 39 Total abis 40 41 Stockholders' Equity Common stock, 110 par valu, 100,000 Shares authored, 170 and 120 share issued and 1,200 42 outstanding 00 43. Additional pada 102410 44 Reading TASIO 45 Toy 40 47 Total and equity 49 Allow for ba Accounting cycle Ready