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The one adjusting entry that has not yet been recorded is income tax expense for the month of September. Determine this entry and add it
- The one adjusting entry that has not yet been recorded is income tax expense for the month of September. Determine this entry and add it to the trial balance. Assume the company has an effective tax rate of 35%.
- Prepare each financial statement, in good form, using Excel. Good form means you should have an appropriate three-part heading, no abbreviations, and dollar signs and underscores in appropriate places. You should be proud to hand these financial statements to your banker. Use the financial statements in the Accounting Cycle Review PowerPoint file from the first day of class as a guide with the following modifications:
Superior Office Supply | |||
General Ledger Trial Balance | |||
As of September 30, 2019 | |||
Balance | |||
Account # | Description | Dr. | Cr. |
1010 | Savings Account | $70,852.50 | |
1020 | Checking Account | 25,684.65 | |
1030 | Certificate of Deposit | 10,000.00 | |
1100 | Accounts Receivable | 212,561.58 | |
1150 | Allowance for Doubtful Accounts | $14,500.00 | |
1200 | Inventory | 179,854.65 | |
1400 | Prepaid Expenses | 6,200.00 | |
1500 | Land | 160,000.00 | |
1550 | Building | 511,000.00 | |
1600 | Equipment | 1,050,657.00 | |
1900 | Accumulated Depreciation - Building & Equipment | 329,359.00 | |
2000 | Accounts Payable | 232,421.24 | |
2310 | Sales Tax Payable | 19,685.32 | |
2330 | Federal Payroll Taxes Payable | 16,834.56 | |
2340 | FUTA Payable | 8,880.76 | |
2360 | SUTA Payable | 2,225.64 | |
2380 | Income Taxes Payable | - | |
2500 | Dividends Payable | 45,000.00 | |
2550 | Notes Payable | 15,667.34 | |
2600 | Current Portion of Long Term Debt | 58,695.00 | |
2700 | Long Term Debt | 338,654.52 | |
3910 | Common Stock | 150,000.00 | |
3930 | Retained Earnings | 278,527.86 | |
3980 | Dividends Declared | 45,000.00 | |
4000 | Gross Sales Revenue | 2,369,320.73 | |
4050 | Sales Discounts | 265,889.43 | |
5000 | Cost of Goods Sold | 910,978.54 | |
6000 | Salaries and Wage Expense | 245,853.13 | |
6100 | Payroll Tax Expense | 20,813.35 | |
6200 | Advertising Expense | 134,186.32 | |
6300 | Bad Debt Expense | 21,148.71 | |
7000 | Interest Expense | 24,695.84 | |
8000 | Gain (loss) on Sale of Equipment | 15,603.73 | |
9000 | Income Tax Expense | - | |
$3,895,375.70 | $3,895,375.70 | ||
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