The following unadjusted trial balance is prepared at fiscal year-end for Helix Company: HELIX COMPANY Unadjusted Trial Balance January 31,2009 Debit Credit Cash $ 28,750 Merchandise inventory 13,000 Store supplies 5,500 Prepaid insurance 2,400 Store equipment 42,600 Accumulated depreciation?Store equipment $ 19,750 Accounts payable 14,000 Common stock 19,000 Retained earnings 20,000 Dividends 2,000 Sales 115,800 Sales discounts 1,900 Sales returns and allowances 2,300 Cost of goods sold 38,000 Depreciation expense?Store equipment 0 Salaries expense 27,400 Insurance expense 0 Rent expense 15,000 Store supplies expense 0 Advertising expense 9,700 Totals $ 188,550 $ 188,550 Rent expense and salaries expense are equally divided between selling activities and the general and administrative activities. Helix Company uses a perpetual inventory system. 16. value: 1 points Requirement 1: Prepare adjusting journal entries to reflect each of the following (Omit the "$" sign in your response): a. Store supplies still available at fiscal year-end amount to $2,550. Date General Journal Debit Credit Jan 31 b. Expired insurance, an administrative expense, for the fiscal year is $1,450. Date General Journal Debit Credit Jan 31 c. Depreciation expense on store equipment, a selling expense, is $1,975 for the fiscal year. Date General Journal Debit Credit Jan 31 d. To estimate shrinkage, a physical count of ending merchandise inventory is taken. It shows $10,300 of inventory is still available at fiscal year-end. Date General Journal Debit Credit Jan 31 Check My WorkReferences Worksheet Learning Objective: 04-A1 Learning Objective: 04-P3 Difficulty: Hard Learning Objective: 04-A2 Learning Objective: 04-P4 17. value: 1 points Requirement 2: Prepare a multiple-step income statement for fiscal year 2009. (Amounts in parentheses do not require a minus sign in front of them. Omit the "$" sign in your response.) Helix COMPANY Income Statement For Year Ended January 31, 2009 $ Less : $ () Expenses Selling expenses Total selling expenses General and administrative expenses Total general and administrative expenses Total expenses $ Check My WorkReferences Worksheet Learning Objective: 04-A1 Learning Objective: 04-P3 Difficulty: Hard Learning Objective: 04-A2 Learning Objective: 04-P4 18. value: 1 points Requirement 3: Prepare a single-step income statement for fiscal year 2009. (Omit the "$" sign in your response.) Helix COMPANY Income Statement For Year Ended January 31, 2009 $ Expenses $ Total expenses $ Check My WorkReferences Worksheet Learning Objective: 04-A1 Learning Objective: 04-P3 Difficulty: Hard Learning Objective: 04-A2 Learning Objective: 04-P4 19. value: 1 points Requirement 4: Compute the current ratio, acid-test ratio, and gross margin ratio as of January 31, 2009. (Round your percentage answer to 1 decimal place and other answers to 2 decimal places. Omit the "%" sign in your response.) Current ratio as of January 31, 2009 Acid test ratio as of January 31, 2009 Gross margin ratio as of January 31, 2009 %

Student Name: Class: Problem 05-03A HELIX COMPANY General Journal Date Account Titles Adjusting Entries: Jan. 31 Store Supplies Expense Store Supplies 31 Insurance Expense Prepaid Insurance 31 Depreciation Expense, Store Equipment Accumulated Depreciation, Store Equipment 31 Cost of Goods Sold Merchandise Inventory Trans. no. HELIX COMPANY Income Statement For Year Ended January 31, 2009 Sales Less: Sales discounts Sales returns and allowances Net sales Cost of goods sold Gross profit Expenses: Selling expenses Depreciation expense, Store equipment Sales salaries expense Rent expense-Selling space Store supplies expense Advertising expense Total selling expenses General and administrative expenses Insurance expense Office salaries expense Rent expense-Office space Total general and administrative expenses Total expenses Net income HELIX COMPANY Income Statement For Year Ended January 31, 2009 Net sales Expenses Cost of goods sold Selling expenses General and administrative expense Total expenses Net income HELIX COMPANY Ratios Current ratio: Current assets: Cash Merchandise inventory Store supplies Prepaid insurance Total current assets Current liabilities Current ratio Acid-test ratio: Quick assets: Cash Current liabilities Acid-test ratio Gross margin ratio: Net sales Cost of goods sold Gross margin Gross margin ratio Debit Credit