The Deluxe Store is located in midtown Madison. During the past several years, net income has been
Question:
The Deluxe Store is located in midtown Madison. During the past several years, net income has been declining because of suburban shopping centers. At the end of the company’s fiscal year on November 30, 2014, the following accounts appeared in two of its trial balances.
Instructions
(a) Prepare a multiple-step income statement, an owner’s equity statement, and a classified balance sheet. Notes payable are due in 2017.
(b) Journalize the adjusting entries that were made.
(c) Journalize the closing entries that arenecessary.
Transcribed Image Text:
Unadjusted Adjusted Unadjusted Adjusted 25,200 25,200 Notes Payable 30,500 30,500 Owner's Capital Accounts Payable Accounts Receivable Accumulated Depr--Equip. 34,000 45,000 Owner's Drawings Cash Cost of Goods Sold 37,000 37,000 101,700 101,700 10,000 10,000 3,500 2,500 2,500 15,000 96,000 700,000 700,000 6,500 1,000 4,500 29,000 29,000 Sales Returms and Allowances 8,000 8,000 8,500 3 26,000 26,000 Prepaid Insurance 10,500 507,000 507,000 Property Tax Expense 9 Property Taxes Payable Freight-Out Equipment Depreciation Expense Insurance Expense Interest Expense Interest Revenue Inventory 6,500 146,000 146,000 Rent Expense 11,000 7,000 6,400 8,000 6,500 15,000 96,000 Salaries and Wages Expense Sales Revenue Sales Commissions Expense Sales Commissions Payable 2 6,400 8,000 Utilities Expense 8,500
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 84% (13 reviews)
a THE DELUXE STORE Income Statement For the Year Ended November 30 2014 Sales revenues Sales revenue 700000 Less Sales returns allowances 8000 Net sales 692000 Cost of goods sold 507000 Gross profit 1...View the full answer
Answered By
Bhartendu Goyal
Professional, Experienced, and Expert tutor who will provide speedy and to-the-point solutions. I have been teaching students for 5 years now in different subjects and it's truly been one of the most rewarding experiences of my life. I have also done one-to-one tutoring with 100+ students and help them achieve great subject knowledge. I have expertise in computer subjects like C++, C, Java, and Python programming and other computer Science related fields. Many of my student's parents message me that your lessons improved their children's grades and this is the best only thing you want as a tea...
3.00+
2+ Reviews
10+ Question Solved
Related Book For
Accounting Principles
ISBN: 9781118566671
11th Edition
Authors: Jerry Weygandt, Paul Kimmel, Donald Kieso
Question Posted:
Students also viewed these Accounting questions
-
Chapman Department Store is located in midtown Metropolis. During the past several years, net income has been declining because suburban shopping centers have been attracting business away from city...
-
The Moulton Store is located in midtown Metropolis. During the past several years, net income has been declining because of suburban shopping centers. At the end of the company's fiscal year on...
-
A large department store is located in two major parts of the country: the Midwest and the Southwestern United States. The store employs 700 assistant managers. The store has organized its operations...
-
Selenic acid, H2SeO4, is a crystalline substance and a strong acid. Write the electron-dot formula of selenic acid.
-
HPLC separation of enantiomers of the drug Ritalin on a chiral stationary phase was shown in Problem 24-11. (a) Detection is by atmospheric pressure chemical ionization with selected reaction...
-
The Lewis structure of caffeine, C 8 H 10 N 4 O 2 , a common stimulant, is given below. (a) Give the hybridization of each atom other than hydrogen. (b) On the basis of your answers in part (a),...
-
Information taken from Online Office Supplys comparative balance sheet is provided in the Working Papers. Work independently to complete the following problem. 1. Calculate the following short-term...
-
Consumption of alcoholic beverages by young women of drinking age in the United Kingdom, the United States, and Europe was reported (The Wall Street Journal, February 15, 2006). Data (annual...
-
Consider the following population data: 474392762474392762 a. Calculate the mean: x=x= Round to 2 decimal places b. Compute for the population variance: 2=2= c. If this is a sample data, what would...
-
Continental AG is a large German supplier of auto parts. Assume that Continental had 62.4 million of prepaid expenses on January 1, 2012. ( stands for euro the European currency.) This item mainly...
-
Latona Hardware Store completed the following merchandising transactions in the month of May. At the beginning of May, the ledger of Latona showed Cash of $5,000 and Owners Capital of $5,000. May 1...
-
Adam Nichols, a former disc golf star, operates Adams Discorama. At the beginning of the current season on April 1, the ledger of Adams Discorama showed Cash $1,800, Inventory $2,500, and Owners...
-
A. One asset management ratio, the inventory turnover ratio , is defined as revenues divided by inventories. Would this ratio be more important for a medical device manufacturer or a hospital...
-
Tampermure Company has three product segments: Prefabrications, Castings, and Forging. Forging seems to be unprofitable and management is considering dropping the segment entirely. Fixed Costs have...
-
1400 1200 1000 800 600 400 200 0 Impact of Post retairment age (55-90) on employement status 100% 1176 1141 1121 1102 1059 90% 80% 70% 801 60% 50% 40% 30% 20% 10% 0% Full-time employment Part-time...
-
Students are to consider some examples of unique or compelling marketing ideas that you have seen or heard of in different media. This could relate to a product or service you have recently come...
-
Use the following selected account balances of Delray Manufacturing for the year ended December 31. Sales Raw materials inventory, beginning Work in process inventory, beginning Finished goods...
-
How does TPM intersect with Lean Manufacturing principles? Discuss the synergies between TPM and Lean practices, such as continuous improvement (Kaizen) and value stream mapping, in reducing waste...
-
This case study shows a typical situation in which management accounting can be helpful. Read the case study now but only attempt the discussion points after you have finished studying the chapter....
-
White Bolder Investments (WBI) You are an intern working for WBI, a large investment advisory services in Sydney. Among other regular customers, WBI has been providing advisory services for Jumbo...
-
Which of the following is a collection of requirements the users must meet? A. Policy B. Standard C. Procedure D. Guideline
-
What is the difference between an account receivable and a note receivable? Discuss.
-
Because most of the parts for its irrigation systems are standard, Waterways handles the majority of its manufacturing as a process cost system. There are multiple process departments. Three of these...
-
Rachel Hipp is the owner of a successful printing shop. Recently, her business has been increasing, and Rachel has been thinking about changing the organization of her business from a proprietorship...
-
Here is the optimal tableau for a standard Max problem. [ z x 1 x 2 x 3 x 4 s 1 s 2 s 3 r h s 1 0 5 3 0 6 5 0 2 7 0 0 0 1 . 3 7 . 5 0 - . 1 . 2 0 6 0 0 2 8 3 6 0 0 - 8 1 2 1 6 0 0 0 - 1 1 5 - 3 1 1 1...
-
Parker & Stone, Inc., is looking at setting up a new manufacturing plant in South Park to produce garden tools. The company bought some land 11 years ago for $5 million in anticipation of using it as...
-
One of the most commonly used statistical techniques is the comparison of two mean s, also known as the t-test (for this you need quantitative variables, or interval level data to compare across two...
Study smarter with the SolutionInn App