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The trial balance of Pacilio Security Services, Incorporated as of January 1 , Year 8 , had the following normal balances: Cash $ 9 3
The trial balance of Pacilio Security Services, Incorporated as of January Year had the following normal balances:
Cash $
Petty cash
Accounts receivable
Allowance for doubtful accounts
Supplies
Prepaid rent
Merchandise inventory @ $
Land
Salaries payable
Common stock
Retained earnings
During Year Pacilio Security Services experienced the following transactions:
Paid the salaries payable from Year
Purchased equipment and a van for a lump sum of $ cash on January Year The equipment was appraised for $ and the van was appraised for $
Paid $ on May Year for one years office rent in advance.
Purchased $ of supplies on account.
Purchased alarm systems at a cost of $ each. Paid cash for the purchase.
After numerous attempts to collect from customers, wrote off $ of uncollectible accounts receivable.
Sold alarm systems for $ each. All sales were on account.
Record the cost of goods sold related to the sale from Event using the FIFO method.
Billed $ of monitoring services for the year. Credit card sales amounted to $ and the credit card company charged a percent fee. The remaining $ were sales on account.
Replenished the petty cash fund on June The fund had $ cash and receipts of $ for yard mowing, $ for office supplies expense, and $ for miscellaneous expenses.
Collected the amount due from the credit card company.
Paid installers and other employees a total of $ cash for salaries.
Collected $ of accounts receivable during the year.
Paid $ of advertising expense during the year.
Paid $ of utilities expense for the year.
Sold the land, which was purchased in for $
Paid the accounts payable.
Paid a dividend of $ to the shareholders.
Adjustments
Determined that $ of supplies were on hand at the end of the year.
Recognized the expired rent for both the old van and the office building for the year. The lease on the van was not renewed. Rent paid on March Year for the van was $
Recognized uncollectible accounts expense for the year using the allowance method. Pacilio estimates that percent of sales on account will not be collected.
Recognized depreciation expense on the equipment and the van. The equipment has a fiveyear life and a $ salvage value. The van has a fouryear life and a $ salvage value. The company uses doubledecliningbalance for the van and straightline for the equipment.
Accrued salaries at December Year were $for the equipment.
Accrued salaries at December Year were $
tableRequirementtableGeneralJournaltableGeneralLedgerTrial Balance,tableIncomeStatementtableChanges inSEtableBalanceSheettableStatementof CFAnalysis
Indicate whether the transaction increases decreases or increases and decreases for each element of the financial statements in the Cash Flow column, use the letters OA to designate operating activity, IA for investing activity, FA for financing activity. The first transa is recorded as an example.
tablePacilio Security Services, IncorporatedEffect of Transactions on Financial Statements Year TransactionBalance Sheet,Income Statement,
tableStatement of CashFlowsAssets Liabilities,,tableStockholdersEquityRevenue, Expenses fcfccabbeedccd
tableNetIncomeEE
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