QUESTION 1: Given below are the balances from the Trial Balance of Castell Corp. for the year ended December 31, 2011 The company uses periodic inventory system. The physical count of "Inventories" account at December 31, 2011 revealed ending inventories of $75,000 $500 Castell Corp. Balances from the Trial Balance (in proper order) December 31, 2011 Cash $14,000 Treasury Bills (Maturity January 25, 2012) S4,000 Treasury Bonds (Maturity February 5, 2012) $3,000 Treasury Bonds (Maturity December 4, 2012) $8,000 Trading Securities - Stocks $14,000 Allowance to Adjust ST Invest, to Market $1,000 Credit Balance) Accounts Receivable $48.000 ccounts S4,000 Notes Receivable (short-term) $3,000 Interest Receivable Inventories $80,000 Long-term Receivables $19,200 Property. Plant and Equipment $200,000 Accumulated Depreciation, Property, Plant & Equip. S50,000 Accounts Payable $16,000 Interest Payable $1,000 Salaries Payable $1,000 Long-term Debt $21.000 Capital $50,000 Withdrawals $2.000 Sales Revenue $500,000 Sales Returns and Allowances $20.000 Purchases S180,000 Purchase Returns and Allowances $8,000 Freight-in SI 500 Freight-out S800 Salaries Expense - Sales Personnel S20.000 Advertising and Promotional Expense $8.000 Supplies Expense - Sales Office S5.000 Sales Showroom Expense $2.000 Salaries Expense - Administrative Personnel $10,000 Depreciation Expense - Sales Office $7,000 General Office Expense S2.000 Required: a) Prepare the Multi-Step Income Statement of the company for the year ended December 31, 2011. b) Prepare the Classified Balance Sheet of the company as of December 31, 2011. (You must present assets and liabilities separated as "current" and long-term".) QUESTIONI: Given below are the balances from the Trial Balance of Castell Corp. for the year ended December 31, 2011 The company uses periodic inventory system The physical count of Inventories" account at December 31, 2011 revealed ending inventories of $75,000 Castell Corp. Balances from the Trial Balance in proper order) December 31, 2011 Cash Treasury Bills (Maturity January 25, 2012) Treasury Bonds (Maturity February 5, 2012) Treasury Bonds (Maturity December 4, 2012) Trading Securities - Stocks Allowance to Adjust ST Invest. to Market $1,000 Accounts Receivable Allowance for Doubtful (Uncollectible) Accounts Notes Receivable (short-term) Interest Receivable Inventories Long-term Receivables Property. Plant and Equipment Accumulated Depreciation, Property, Plant & Equip Accounts Payable Interest Payable Salaries Payable Long-term Debt Capital Withdrawals Sales Revenue Sales Retums and Allowances Purchases Purchase Returns and Allowances Freight-in Freight-out Salaries Expense - Sales Personnel Advertising and Promotional Expense Supplies Expense - Sales Office Sales Showroom Expense Salaries Expense - Administrative Personnel Depreciation Expense - Sales Office General Office Expense $14.000 $4.000 $3.000 $8.000 $14,000 Credit Balance) $48.000 $4,000 $3,000 $500 $80,000 $19,200 $200,000 S50.000 $16,000 $1.000 $1,000 $21,000 $50,000 $2.000 $500,000 $20,000 $180,000 $8,000 $1.500 $800 $20,000 $8.000 $5,000 $2,000 $10,000 57.000 2000 Required a) Prepare the Multi-Step Income Statement of the company for the year ended December 31, 2011 b) Prepare the Classified Balance Sheet of the company as of December 31, 2011. (You must present assets and liabilities separated as "current" and "Tong-term.)
