Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please help with Cash flow and Journal entry with adjustments and closing entries Section B - Preparation of accounts and Cash flow statement. ( 20

Please help with Cash flow and Journal entry with adjustments and closing entries

image text in transcribed

Section B - Preparation of accounts and Cash flow statement. ( 20 points) Listed below are the accounts and their respective balances for J&K, Inc. at December 31, 2004: During 2005 the following transactions occurred: Paid beginning accounts payable. Received all beginning accounts receivable. Purchased 10 Things at $4,000 each. Paid 25% down and will pay the rest later. Sold 18 Things for $10,000 each at 70% down (cash) and the other 30% due later. Paid 2004 taxes payable. Paid cash for wages of $25,000. (Includes the $7,000 owed at the end of 2004). Received additional payments from customers of $20,000. Paid 14 months' rent, $28,000 Paid additional $10,000 to creditors. Issued 600 shares of common stock for $6,000 on October 1st. Paid $2,000 advertising for 2005 Paid a $1.00 per share dividend to shareholders on December 31 st. Paid annual payment on Note Payable of $20,000 principal plus interest at 8% on December 31 st. Bought a piece of land for $50,000 on December 31 st, putting $10,000 down and mortgaging the rest. There are no principal payments due until 2009

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Management Accounting Information For Decision Making

Authors: Anthony A. Atkinson

7th Edition

1618533517, 9781618533517

More Books

Students also viewed these Accounting questions