using these pages please solve the following ratios:

average collection period

inventory turnover ratio

days in inventory

gross margin ratio

profit margin

earnings per share

2,600.00 2,700.00 64,100.00 6,100.00 20,000.00 4,000.00 3,665.00 1140 Prepaid Rent 1150 Supplies 1160 Inventory 1211 Office Equipment 1212 Accum. Depr.-Office Equip. 1311 Computer Equipment 1312 Accum. Depr.-Computer Equip. 2101 Accounts Payable 2102 Unearned Revenue 2103 Interest Payable 2105 Salaries and Wages Payable 2106 Income Taxes Payable 2202 Notes Payable 3100 Common Stock 3120 Paid In Capital in Excess of Par 3200 Retained Earnings 3300 Dividends 48,400.00 22,000.00 24,000.00 420,000.00 28,600.00 88,000.00 3,960.00 13,640.00 4100 Sales Revenue 5010 Rent Expense 5020 Salaries and Wages Expense 5030 Advertising Expense 5040 Maintenance & Repairs Expense 5080 Supplies Expense 5090 Interest Expense 5100 Insurance Expense 5110 Depreciation Expense 5120 Bad Debt Expense 5140 Telephone and Internet Expense 5150 Income Tax Expense 5300 Cost of Goods Sold Total 5,390.00 210,000.00 528,765.00 528,765.00 Liabilities $ Current Liabilities Accounts Payable Unearned Revenue Interest Payable Salaries and Wages Payable Income Taxes Payable Total 22,975.00 9,21500 22.95 1,200.00 $ 33,412.95 $ 4,590.00 $ Long-Term Liabilities Notes Payable Bond Payable Premium on Bond Payable Net Bond Payable Total Total Liabilities 120,000.00 8,034 12 128,034.12 132,624.12 166,037 07 $ Stockholder's Equity Paid-in Capital Common Stock Paid In Capital in Excess of Par Retained Earnings Total Stockholder's Equity Total Liabilities and Stockholder's Equity 107,800.00 49,000.00 6,601.84 163.401.84 329,438 91 $ A Byte of Accounting Balance Sheet As of December 31, 2020 Assets 295,565.80 $ $ 26,477.00 (1,323.85) Current Assets Cash Accounts Receivable Allowance for Doubtful Accounts Net Receivable Prepaid Insurance Prepaid Rent Supplies Inventory Total 25,153.15 6,187.00 2,600.00 878.00 556.00 330,939.95 $ Long-Term Assets Office Equipment Accum. Depr-Office Equip Net Office Equipment Computer Equipment Accum. Depr.-Computer Equip Net Computer Equipment Total Total Assets 69,200.00 (12,291.04) $ 20,000.00 (8,000.00) 56,908.96 $ 12,000.00 $ 68,908.96 399,848.91 A Byte of Accounting, Inc. Post Closing Trial Balance As of December 31, 2020 Credit Debit 295,565.80 26,477.00 1,323.85 6,187.00 2,600.00 878.00 556.00 69,200.00 12,291.40 Account Number Name 1110 Cash 1120 Accounts Receivable 1121 Allowance for Doubtful Accounts 1130 Prepaid Insurance 1140 Prepaid Rent 1150 Supplies 1160 Inventory 1211 Office Equipment 1212 Accum. Depr.-Office Equip. 1311 Computer Equipment 1312 Accum. Depr.-Computer Equip 2101 Accounts Payable 2102 Unearned Revenue 2103 Interest Payable 2105 Salaries and Wages Payable 2106 Income Taxes Payable 2202 Notes Payable 2210 Bond Payable 2212 Premium on Bond Payable 3100 Common Stock 3120 Paid-In Capital in Excess of Par 3200 Retained Earnings Total 20,000.00 8,000.00 22,975.00 9,215.00 22.95 1,200.00 13,559.21 4,590.00 120,000.00 8,034.12 107,800.00 49,000.00 63,452.63 421,463.80 421,463.80 A Byte of Accounting, Inc. Trial Balance As of November 30, 2020 Unad usted Trial Balance Debit Credit 63.775.00 20,000.00 $ 600.00 2.000.00 2700 00 64,100.00 Account Number Name ||| 11170 Accounts Receivable Aance for Doubt Accounts 1130 Prepaid insurance 1140 Prepaid Rent 1150 Cuppies 1100 Inventory 210 Orice Equipment 1212 Accum Depotice Equip 1310 Computer Equipment 1312 Accm Depe Computer Equip 2101 Accounts Payable 2102 Unearned Revenue 2103 interest Payable 2105 Batanes and Wages Payable 2100 Income Taxes Payable 2202 Notes Payable 6,100.00 20 000.00 4,000.00 3,665.00 A Byte of Accounting, Inc. Post Closing Trial Balance As of December 31, 2019 Credit Debit 41.630.00 30,000.00 800.00 2,800.00 900.00 84 100.00 6,100.00 Account Number Name 1110 Cash 1120 Accounts Receivable 1121 Allowance for Doubtful Accounts 1140 Prepaid Rent 1150 Supplies 1211 Office Equipment 1212 Accum. Depr.-Office Equip 1311 Computer Equipment 1312 Accum. Depr.-Computer Equip 2101 Accounts Payable 2105 Salaries and Wages Payable 2106 Income Taxes Payable 3100 Common Stock 3120 Paid-In Capital in Excess of Par 3200 Retained Earnings Total 20,000.00 4,000.00 47,330.00 800.00 6,000.00 48,400.00 22,000.00 24,000.00 159,230.00 159.230.00 00 07 05 Byte of Accounting December 10: Byte records the cost of the 14 Super Toners sold using FIFO. The sales order number was 12100, December 11: Check # 6002 was issued to pay salaries of $2,000.00 to equipment operators. Ignore payroll taxes at this time.) December 14 Check # 6003 was issued to purchase a one-year insurance policy covering its computer equipment. The cost of the insurance is 56,456.00 and paid to Seth's Insurance. The effective date of the policy was December 16 and the invoice number was 2387. December 15: Byte purchased $700.00 of supplies on account. December 16: Byte received 10 Super Toners purchased for resale to customers. The cost was $29.00 per toner. The invoice number was 7959, and payment is required in 30 days. December 17: Byte was informed that Mr. Madoff who has an account with the company will never pay the $534.00 he owes. Record the transaction to write off Mr. Madoff's accounts receivable account using the allowance method. 8 10 11 12. December 17: Byte received invoice number 26354 in the amount of $700.00 from the local newspaper for advertising 13. December 18: Check # 6004 was issued to pay Accounts Payable in the amount of $820.00. 14 December 19: Byte sold 14 Super toners to a customer on account for $52.00 each. The sales order number was 12101. 16. December 19: Byte records the cost of the 14 Super Toners sold using FIFO. The sales order number was 12101. 16. December 21: Byte received an emailed invoice in the amount of 56,100.00 for computers that were drop shipped and received today. 17. December 21: Byte billed various miscellaneous local customers $12,200.00 for computers that were delivered today. 18. December 21: Record the cost of the computers that were sold today. 19. December 22: Check# 6005 was issued to pay salaries of $2,000.00 to equipment operators. Ignore payroll taxes at this time.) 20. December 22: Byte received a bill for $1,515.00 from Computer Parts and Repair Co. for repairs to the computer equipment. The invoice number was 43254. 21. December 22: Check # 6006 was issued to pay the advertising bill that was previously received and recorded from the local newspaper for advertising, invoice number 26354. 00 07 05 Byte of Accounting December 10: Byte records the cost of the 14 Super Toners sold using FIFO. The sales order number was 12100, December 11: Check # 6002 was issued to pay salaries of $2,000.00 to equipment operators. Ignore payroll taxes at this time.) December 14 Check # 6003 was issued to purchase a one-year insurance policy covering its computer equipment. The cost of the insurance is 56,456.00 and paid to Seth's Insurance. The effective date of the policy was December 16 and the invoice number was 2387. December 15: Byte purchased $700.00 of supplies on account. December 16: Byte received 10 Super Toners purchased for resale to customers. The cost was $29.00 per toner. The invoice number was 7959, and payment is required in 30 days. December 17: Byte was informed that Mr. Madoff who has an account with the company will never pay the $534.00 he owes. Record the transaction to write off Mr. Madoff's accounts receivable account using the allowance method. 8 10 11 12. December 17: Byte received invoice number 26354 in the amount of $700.00 from the local newspaper for advertising 13. December 18: Check # 6004 was issued to pay Accounts Payable in the amount of $820.00. 14 December 19: Byte sold 14 Super toners to a customer on account for $52.00 each. The sales order number was 12101. 16. December 19: Byte records the cost of the 14 Super Toners sold using FIFO. The sales order number was 12101. 16. December 21: Byte received an emailed invoice in the amount of 56,100.00 for computers that were drop shipped and received today. 17. December 21: Byte billed various miscellaneous local customers $12,200.00 for computers that were delivered today. 18. December 21: Record the cost of the computers that were sold today. 19. December 22: Check# 6005 was issued to pay salaries of $2,000.00 to equipment operators. Ignore payroll taxes at this time.) 20. December 22: Byte received a bill for $1,515.00 from Computer Parts and Repair Co. for repairs to the computer equipment. The invoice number was 43254. 21. December 22: Check # 6006 was issued to pay the advertising bill that was previously received and recorded from the local newspaper for advertising, invoice number 26354. A Byte of Accounting, Inc. Trial Balance As of November 30, 2020 Unad usted Trial Balance Debit Credit 63.775.00 20,000.00 $ 600.00 2.000.00 2700 00 64,100.00 Account Number Name ||| 11170 Accounts Receivable Aance for Doubt Accounts 1130 Prepaid insurance 1140 Prepaid Rent 1150 Cuppies 1100 Inventory 210 Orice Equipment 1212 Accum Depotice Equip 1310 Computer Equipment 1312 Accm Depe Computer Equip 2101 Accounts Payable 2102 Unearned Revenue 2103 interest Payable 2105 Batanes and Wages Payable 2100 Income Taxes Payable 2202 Notes Payable 6,100.00 20 000.00 4,000.00 3,665.00 A Byte of Accounting, Inc. Post Closing Trial Balance As of December 31, 2019 Credit Debit 41.630.00 30,000.00 800.00 2,800.00 900.00 84 100.00 6,100.00 Account Number Name 1110 Cash 1120 Accounts Receivable 1121 Allowance for Doubtful Accounts 1140 Prepaid Rent 1150 Supplies 1211 Office Equipment 1212 Accum. Depr.-Office Equip 1311 Computer Equipment 1312 Accum. Depr.-Computer Equip 2101 Accounts Payable 2105 Salaries and Wages Payable 2106 Income Taxes Payable 3100 Common Stock 3120 Paid-In Capital in Excess of Par 3200 Retained Earnings Total 20,000.00 4,000.00 47,330.00 800.00 6,000.00 48,400.00 22,000.00 24,000.00 159,230.00 159.230.00 22 yte December 22: Byte received 17 Super Toners purchased for resale to customers. The cost was SJ1.00 per toner. The tovole number was 8988, and payment is required in 30 days. December 23, Byte received $21,075.00 from customers billed when they received delivery. 23 24 December 23: Byte received an emailed invoice in the amount of $7,350.00 for computers that were drop shipped and received today, 25 December 28: Byte billed various miscellaneous local customers $14,700.00 for computers that were delivered today 20 December 28: Record the cost of the computers that were sold today. 27 December 28: Byte paid the bill that was previously received and recorded from Computer Parts and Repairs Co with Check 86007. The invoice number was 43254. 28 December 29: Byte received $14,375.00 from customers billed when they received delivery. 29 December 29: Byte received a bill for the amount of 5680.00 from AT&T for the telephone and internet access. The involce number was 784537. 30. December 30: Check W 6008 was issued to pay salaries of $2,000.00 to equipment operators. Ignore payroll taxes at this time.) 31. December 30: Check 6009 was issued to pay a cash dividend of 5.25 per share to Lauryn, a shareholder of Byte. 32 December 30: Check w 6010 was issued to pay a cash dividend of S.25 per share to Zachary Church, a shareholder of Byte. December 30: Byte received a $9,215.00 check from Church Corporation for merchandise ordered which will be delivered in January Christian Wolff, Byte's CPA, indicated that the previous bookkeeper was not very good. The CPA prepared a bank reconciliation and discovered that the bookkeeper neglected to record the bond issued on January 1 of this year and neglected the recording of the interest payment on June 30. Since Byte does not make entries into "closed" periods, record the entries as of December 31. December 31: On January 1, Byte received $128,926.80 when they issued a S120,000.00, 7%, ten- year bond. Interest is to be paid semiannually on June 30 and December 31. The market rate was 6%. This entry was never recorded. Byte December 31: Check # 5367 was issued on June 30 for the timely interest payment for the bond. Record the entry using the straight-line method. This entry was never recorded. 35 36 December 31: Check # 6011 was issued on December 31st for the timely interest payment for the bond. Record the entry using the straight-line method. A. Post your journal entries to the general ledger and prepare the Unadjusted Trial Balance as of December 31st B. Make sure your work is correcr by uploading your file. Byte of Accounting Adjusting Putries. Record the following adjusting entries in the general journal and post to the goeral ledger Round to be derimal places, Round(number or formula,2). 37 The cash received and deposited from customers was $14,400.00 not the $14,375.00 orignially recorded. 34 A physical inventory showed that only $878.00 worth of supplies remained on hand as of December 31. 30. The interest on the note for the Ricoh Color Copier will be paid every six months. Record the December accrued interest on the note payable for the Ricoh purchased on December 1. 40. Record a journal entry to reflect that one-half month's insurance has expired. 41. A review of Byte's emails indicated that they received an invoice in the amout of $4,065.00 for computers that were drop shipped and received on December 28. 42 Bill various miscellaneous customers 200% of the cost of the computers that were drop shipped and received on December 28. 43. Record the cost of the computers that were sold on December 28. 44. The computer equipment on the Post Closing Trial Balance from last year was purchased last January for $20,000.00. It is being depreciated based upon an estimated useful life of 5.0 years with no salvage value. Calculate the depreciation for one year using the straight-line method of depreciation. 45. The Ricoh Color Copier, part of the office equipment, is estimated to be able to make 480,000 copies and have a salvage value of $500.00. During December, 9,500 copies were made. Calculate the depreciation for one year using the activity-based method of depreciation. Byte of Accounting The remaining ice equipment, 564,100,00, was purchased last January and has an estimated useful We of 10 years with a salvage value of SJ,100,00, Calculate the depreciation for one year using the raight line method of depreciation Ariew of Byte's payroll records show that unpaid salaries in the amount of $1,200.00 are owed by Byte for three day, December 28 - JI. (gore payroll taxes at this time.) Bytes CPA indicated that 5.00% of the outstanding Accounts Receivable would be a good estimate of the uncollectable accounts. Record the bad debt expense using the adjusted allowance method. 48 Byte's income taxes are to be computed at the rate of 25% of net income before taxes. IMPORTANT NOTE: Since the income taxes are a percent of the net income, you will want to prepare the income Statement through the Net Income Before Tax line He your adjusting journal entries to the general ledger and prepare the Adjusted Trial Balance as of Dember 31, A 8 Using the Adjustel Trial Balance as of December 31 as a reference, prepare the income Statement, Statement of Sockholder's Equity, Balance Sheef and Statement of Cash Flows. Byte of Accounting Closing Entries: Record the closing entries to Retained Earnings in the general journal and post to the general ledger. 50. Close the revenue account 51. Close the expense accounts 52 Close the dividend account A Prepare the Post Closing Trial Balance B. Complete the Ratio Analysis Current Ratio Receivable Turnover Average Collection Period Inventory Turnover Average Days in Inventory Gross Profit Rate Profit Margin Earnings per Share (EPS)