Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The accounts listed below appeared in the December 31 trial balance of the Flint Theater. Debit Credit Equipment$194,384Accumulated Depreciation-Equipment$64,360Notes Payable126,000Admissions Revenue389,900Advertising Expense15,330Salaries and Wages Expense57,410Interest

The accounts listed below appeared in the December 31 trial balance of the Flint Theater.

Debit

Credit

Equipment$194,384Accumulated Depreciation-Equipment$64,360Notes Payable126,000Admissions Revenue389,900Advertising Expense15,330Salaries and Wages Expense57,410Interest Expense1,960

From the account balances listed above and the information given below, prepare the annual adjusting entries necessary on December 31.(Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. Round answers to 0 decimal places, e.g. 5,250.)

(1)The equipment has an estimated life of16years and a salvage value of $22,944at the end of that time. (Use straight-line method.)(2)The note payable is a90-day note given to the bank on October 20 and bearing interest at8%. (Use 360 days for denominator.)(3)In December,1,910coupon admission books were sold at $30each and recorded as Admissions Revenue. They could be used for admission any time after January 1.(4)Advertising expense paid in advance and included in Advertising Expense $1,025.(5)Salaries and wages accrued but unpaid $4,408.

What amounts should be shown for each of the following on the income statement for the year?

(1)Interest Expense$

(2)Admissions Revenue$

(3)Advertising Expense$

(4)Salaries and Wages Expense$

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

Intermediate Accounting

Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfiel

17th edition

1119503663, 1119571480, 1-119-50368-2, 111950368X, 978-1119503668

More Books

Students also viewed these Accounting questions

Question

c. What is the persons contact information?

Answered: 1 week ago