total liablities and stockholders equity

1. An inventory of supplies showed $2,300 were used up. 2. The furniture was purchased for $7,000. It has $2,000 salvage value and a 5 year useful life. One year of depreciation must be recorded. 3. $3,000 of insurance was purchased for 12 months. $1,200 of insurance was used. 4. Performed $25,000 of services that was paid for in advance 5. On last day of the month, performed $9,300 of services for new customer and will be paid next month 6. Happy cleaners provided $11,000 of cleaning services on the last day of the month. This waas a special yearly clean. They will be paid next month. 7. An inventory count revealed there was $4,100 of inventory shrinkage. This was a larger than usual amount of shrinkage. 8. The company estimates bad debt expense to be 2% of credit sales. Assume all sales are made on credit. 9. A company with net assets of $100,000 was purchased for $190,000 one year ago. The current fair value of the company is 180,000 . Perform a goodwill impairment test and record an impairment entry if one is needed. 10. The company had a calculated warranty expense of 17,000 on oustanding sales 11. The company sold an additional 10,000 shares at a market price of $16. The par value of the stock is $1. 12. The company purchased 1,000 of its own shares at a market price of $21. ANN SIMPSON,DESIGNER Unadjusted Trial Balance November 30, 2018 \begin{tabular}{|l|r|r|} \hline Account Title & \multicolumn{2}{|c|}{ Balance } \\ \hline & \multicolumn{1}{|c|}{ Debit } & Credit \\ \hline Cash & $23,400 & \\ \hline Inventory & $60,000 & \\ \hline Accounts Receivable & 22,000 & \\ \hline Office Supplies & 5,000 & \\ \hline Prepaid Insurance & 3,000 & \\ \hline Furniture & 20,000 & \\ \hline Land & 24,000 & \\ \hline Goodwill & 40,000 & \\ \hline Accounts Payable & & $19,900 \\ \hline Utilities Payable & & 600 \\ \hline Unearned Revenue & & 38,000 \\ \hline Common Stock & & 100,000 \\ \hline Dividends & 4,000 & \\ \hline Service Revenue & & 76,900 \\ \hline Cost of goods sold & 25,000 & \\ \hline Salaries Expense & 6,000 & \\ \hline Rent Expense & 2,000 & \\ \hline Utilities Expense & 1,000 & \\ \hline Total & $235,400 & $235,400 \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline \end{tabular} ANN SIMPSON DESIGNER Balance Sheet December 31, 2018 Assets Current Assets: 1. An inventory of supplies showed $2,300 were used up. 2. The furniture was purchased for $7,000. It has $2,000 salvage value and a 5 year useful life. One year of depreciation must be recorded. 3. $3,000 of insurance was purchased for 12 months. $1,200 of insurance was used. 4. Performed $25,000 of services that was paid for in advance 5. On last day of the month, performed $9,300 of services for new customer and will be paid next month 6. Happy cleaners provided $11,000 of cleaning services on the last day of the month. This waas a special yearly clean. They will be paid next month. 7. An inventory count revealed there was $4,100 of inventory shrinkage. This was a larger than usual amount of shrinkage. 8. The company estimates bad debt expense to be 2% of credit sales. Assume all sales are made on credit. 9. A company with net assets of $100,000 was purchased for $190,000 one year ago. The current fair value of the company is 180,000 . Perform a goodwill impairment test and record an impairment entry if one is needed. 10. The company had a calculated warranty expense of 17,000 on oustanding sales 11. The company sold an additional 10,000 shares at a market price of $16. The par value of the stock is $1. 12. The company purchased 1,000 of its own shares at a market price of $21. ANN SIMPSON,DESIGNER Unadjusted Trial Balance November 30, 2018 \begin{tabular}{|l|r|r|} \hline Account Title & \multicolumn{2}{|c|}{ Balance } \\ \hline & \multicolumn{1}{|c|}{ Debit } & Credit \\ \hline Cash & $23,400 & \\ \hline Inventory & $60,000 & \\ \hline Accounts Receivable & 22,000 & \\ \hline Office Supplies & 5,000 & \\ \hline Prepaid Insurance & 3,000 & \\ \hline Furniture & 20,000 & \\ \hline Land & 24,000 & \\ \hline Goodwill & 40,000 & \\ \hline Accounts Payable & & $19,900 \\ \hline Utilities Payable & & 600 \\ \hline Unearned Revenue & & 38,000 \\ \hline Common Stock & & 100,000 \\ \hline Dividends & 4,000 & \\ \hline Service Revenue & & 76,900 \\ \hline Cost of goods sold & 25,000 & \\ \hline Salaries Expense & 6,000 & \\ \hline Rent Expense & 2,000 & \\ \hline Utilities Expense & 1,000 & \\ \hline Total & $235,400 & $235,400 \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline \end{tabular} ANN SIMPSON DESIGNER Balance Sheet December 31, 2018 Assets Current Assets