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Prepare a December adjusted trial balance XYZ Company's December 31, 2015, trial balance is as follows: XYZ Company Trial Balance December 31, 2015 Account Debit

Prepare a December adjusted trial balance XYZ Company's December 31, 2015, trial balance is as follows:

XYZ Company
Trial Balance
December 31, 2015
Account Debit Credit
Cash $ 43,500
Accounts Receivable 53,500
Allowance for Doubtful Accounts 1,500
Notes Receivable 30,000
Merchandise Inventory 55,000
Land 20,000
Building 150,000
Accumulated Depreciation, Building $ 15,000
Equipment 50,000
Accumulated Depreciation, Equipment 21,000
Goodwill 26,000
Accounts Payable 25,000
Long-Term Notes Payable 75,000
Common Stock, $10 par, 2,000 shares authorized and outstanding 20,000
Retained Earnings 147,000
Sales Revenue 700,000
Salaries Expense 150,000
Utilities Expense 3,500
Cost of Goods Sold 350,000
Administrative Expenses 55,000
Sales Expenses 15,000 _______
Totals $1,003,000 $1,003,000

XYZ is a small company and records adjusting entries and closing entries only at fiscal (calendar) year end. Correcting and adjusting entries have not been recorded.

Additional Information:

Notes Receivable is a 3-month, 6% note accepted on November 1, 2015.

Long-Term Notes Payable is a 5-year, 5% note that was signed on July 1, 2015. Interest is payable annually.

Building is depreciated at 3% per year. There is no salvage value.

Equipment is depreciated at 15% per year. There is no salvage value.

XYZ discovered, on December 30, that the inexperienced bookkeeper recorded in the general journal and general ledger that day's $1,500 cash sales as a debit to Accounts Receivable and a credit to Sales Revenue.

The year-end physical count for Merchandise Inventory reflected a value of $51,500. Any difference in value will not be considered theft or loss.

Salaries for the last half of December, payable in January, amount to $5,500.

XYZ estimates that of the Accounts Receivable, 5% will not be collectable. Prepare a December adjusted trial balance

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