Prepare Financial Statements for Dec 31, 2018 from transactions listed at bottom of the page, complete with any & all Notes to the Financial Statements. Turn in Journal Entries, Trial Balance, Adjusted Journal Entries, Adjusted Trial Balance, and Post-Closing Trial Balance separately.Helpful hints-Please double check your work, make sure it balances, make sure accounts are in the correct orderMadoffs Marijuana Dispensary had the following beginning balances December 1, 2018.
1) Prepare Financial Statements for Dec 31, 2018 from transactions listed at bottom of the page, Notes to the Financial Statements. Turn in Journal Entries, Trial Balance, Adjusted Journal Entries, Adjusted Trial Balance, and Post-Closing Trial Balance separately. Helpful hints-Please double check your work, make sure it balances, make sure accounts are in the correct order Madoff's Marijuana Dispensary had the following beginning balances December 1, 2018. $3,000,000 22,000 150,000 2,000 3,000,000 50,000 25,000 10,000 2,500 300,000 500 2,402,500 $25,000 $100,000 Cash Rent Expense Inventory Prepaid Rent Equipment Accumulated Depreciation Accounts Payable Salaries & Wages Payable Advertising Expense Notes Payable Supplies Retained Earnings Preferred Stock, 3% cumulative, $1 par value Common Stock, $0.01 par value; Authorized 32 million shares; Issued 18 million shares Additional Paid In Capital Treasury Stock (8 million shares at cost) Sales Revenue Cost of Goods Sold Loan from Owner Insurance Expense Salaries & Wages Expense Utilities Expense Supplies Expense Prepaid Insurance Payroll Tax Expense Repairs & Maintenance Expense Legal Expense Accounting Expense 500,000 40,000 3,000,000 500,000 500,000 11,000 130,000 5,000 3,000 13,000 10,000 3,500 15,000 5,000 All Adjustments are made at the end of the year. The following information is relevant: Truck is expected to last 10 years, and have a residual value of $5,000. Depreciated using the straight- line method. Owner is to be paid back over 5 years beginning next year. Had supplies on hand of $200 Equipment is specialized machinery depreciated using the straight-line method for 10 years with $250,000 residual value. The following transactions occurred during the month: Used $1,000 of prepaid insurance for the month of December Used $2,000 of prepaid rent for the month of December Dec 2 - Sold $100,000 worth of product for cash (cost us 50,000) Dec 2- Paid employees all money owed Dec 31 - Paid employees bonus of $15,000 Owe employees for 3 days of work (Dec 29-31) at $1,000/day Dec 5 - Fixed windows, cost $5,000. Paid in cash Dec 31 - Paid Accountant $3,000 for work related to December. Paid in cash. Dec 1- Bought a new truck for $20,000 paid cash. At the end of the first year the truck had been driven 7,000 miles. Dec 8 - Sold 1,000 shares of common stock for $10 per share, cash Dec 10 - Repurchased 3,500 shares of stock at $15 per share Dec 15 - Reissued 3,000 shares of Treasury stock at $30 per share (bought Dec 10) Jan 2- Sold $500,000 worth of product (cost us $250,000)
