The fiscal year-end unadjusted trial balance for Nelson Company is found on the trial balance tab. Ferit expense and salaries expense are equally divided between selling activities and general and administrative activities. Nelson Company uses a perpetual inventory system. Descriptions of items that require adjusting entries on January 31, 2019, follow. a. Store supplies still available at fiscal year end amount to $1750 b. Expired insurance, an administrative expense, for the fiscal year is $1.400. c. Depreciation expense on store equipment, a selling expense, is $1,525 for the fiscal year, d. To estimate shrinkage, a physical count of ending merchandise inventory is taken. It shows $10,900 of inventory is still available at fiscal year-end Requirement General Journal General Ledger Trial Balance Multiple Step Single Step Is Balance Sheet IS Ratios General Journal tab - Prepare any necessary adjusting entries. Multiple step Income Statement tab - Prepare a multiple step income statement Single-step Income Statement tab - Prepare a single-step income statement using the values from the multiple step Income statement Balance Sheet tab - Prepare a classified balance sheet. Ratio tab - Calculate the current ratio, the acid-test ratio, and the gross margin ratio. General Journal > Requirement General Journal General Ledger Trial Balance Multiple Step IS Single Step IS Balance Sheet Ratios For transactions 1-4 prepare the required adjusting journal entries. For transactions 5-8, prepare the required closing er View transaction list x 1 Store supplies still available at fiscal year-end amount to $1,750. 2 Expired insurance, an administrative expense, for the fiscal year is $1,400 3 Depreciation expense on store equipment, a selling expense, is $1,525 for the fiscal year. To estimate shrinkage, a physical count of ending merchandise inventory is taken. It shows $10,900 of inventory is still available at fiscal year-end. 4 Credit 5 Record the entry to close Income statement accounts with credit balances. To estimate shrinkage, a physical count of ending merchandise inventory is taken. It shows $10,900 of inventory is still available at fiscal year-end. 5 Record the entry to close income statement accounts with credit balances. 6 Record the entry to close income statement accounts with debit balances. 7 Record the entry to close income summary. 8 Record the entry to close the dividends account. View transaction list Journal entry worksheet Requirement General Journal General Ledger Trial Balance Multiple Step IS Single Step Is Balance Sheet Ratios Prepare a classified balance sheet as of January 31, 2017 Unadjusted Nelson Company Balance Sheet January 31, 2019 Assets Current Assets $ 0 0 0 0 Plant assets 5 0 0 U 0 0 Plant assets $ 0 0 Total assets Liabilities and Equity Liabilities $ 0 0 Equity 0 (2.200) Total liabilities and equity (2 200) $ 12.200) Descriptions of items that require adjusting entries on January 31, 2019, follow. a. Store supplies still available at fiscal year-end amount to $1,750. b. Expired insurance, an administrative expense, for the fiscal year is $1,400 c. Depreciation expense on store equipment, a selling expense, is $1,525 for the fiscal year. d. To estimate shrinkage, a physical count of ending merchandise inventory is taken. It shows $10,900 of inventory is still available at fiscal year-end Requirement General Journal General Ledger Trial Balance Multiple Step IS Single Step Is Balance Sheet Ratios Compute the following ratios as of January 31, 2017. Round each ratio to 2 decimal places Date: Jan 31 to: Jan 31 Current ratio Acid-toolratio Gross margin ratio
