Question
The Artisan Wines is a retail store selling vintage wines. On December 31, 2019, the firms general ledger contained the accounts and balances below. All
The Artisan Wines is a retail store selling vintage wines. On December 31, 2019, the firms general ledger contained the accounts and balances below. All account balances are normal.
Cash | $ | 24,308 | |
Accounts Receivable | 410 | ||
Prepaid Advertising | 1,020 | ||
Supplies | 210 | ||
Merchandise Inventory | 14,100 | ||
Store Equipment | 24,100 | ||
Accumulated DepreciationStore Equipment | 2,100 | ||
Office Equipment | 4,100 | ||
Accumulated DepreciationOffice Equipment | 1,050 | ||
Notes Payable, due 2020 | 11,000 | ||
Accounts Payable | 2,615 | ||
Wages Payable | |||
Social Security Tax Payable | |||
Medicare Tax Payable | |||
Unearned Seminar Fees | 9,500 | ||
Interest Payable | |||
Vincent Arroyo, Capital | 31,800 | ||
Vincent Arroyo, Drawing | 13,210 | ||
Income Summary | |||
Sales | 149,470 | ||
Sales Discounts | 110 | ||
Seminar Fee Income | |||
Purchases | 90,100 | ||
Purchases Returns and Allowances | 1,900 | ||
Freight In | 180 | ||
Rent Expense | 12,300 | ||
Wages Expense | 22,000 | ||
Payroll Taxes Expense | 3,047 | ||
Depreciation ExpenseStore Equipment | |||
Depreciation ExpenseOffice Equipment | |||
Advertising Expense | |||
Supplies Expense | |||
Interest Expense | 240 |
ADJUSTMENTS: a.b. Merchandise inventory at December 31, 2019, was counted and determined to be $11,100. The amount recorded as prepaid advertising represents $1,020 paid on September 1, 2019, for 12 months of advertising. The amount of supplies on hand at December 31 was $55. Depreciation on store equipment was $2,900 for 2019. Depreciation on office equipment was $775 for 2019. Unearned Seminar Fees represent $9,500 received on November 1, 2019, for five seminars. At December 31, four of these seminars had been conducted. Wages owed but not paid at December 31 were $600. On December 31, 2019, the firm owed the employers social security tax ($37.20) and Medicare tax ($8.70). The note payable bears interest at 6% per annum. One months interest is owed at December 31, 2019. Required: Prepare the Trial Balance section of a 10-column worksheet. The worksheet covers the year ended December 31, 2019. Enter the adjustments above in the Adjustments section of the worksheet. Complete the worksheet. Analyze: What was the amount of revenue earned by conducting seminars during the year ended December 31, 2019? |
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