Chapter 3 (Part 1) - AP3-3 a Inventoryr Accounts Payable b...

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Unformatted text preview: AP3-3 a. Inventoryr Accounts Payable b. Accounts Pava ble Cash c. Accounts Receivable Sales Revenue Cost of Goods Sold lnventorv d. Cash Accounts Receivable e. Supplies Accounts Payable f. Supplies Expense Supplies g. Equipment Cash h. Cash Bank Loan Pavable i. Cash Common Shares j. Wages Expense Cash k. Interest Expense Bank Loan Pavable Cash |. Rent Expense Cash rn. Land Cash Mortgage Payable 3,100 3,000 2,?00 1,300 2,000 1,400 500 7,500 12,000 20,000 8,300 150 1,350 2,500 23,000 3,100 3,000 2,?00 1 ,300 2,000 1 ,400 500 7,500 12,000 20,000 6,300 2,000 2,500 3,000 20,000 AP3-4 1 . Prepaid Insurance Cash 2. Inventory Accounts Payable 3. Cash Accounts Receivable Sales Revenue 4. Accounts Payable Cash 5. Cash Accounts Receivable 6. Cash Uneamed Revenue 7. Equipment Cash Notes Payable 8. Wages Expense Cash 9. Dividends Declared Dividends Payable 10. Insurance Expense Prepaid Insurance $1,300 x10f12 = $1,500 11. Depreciation Expense Accumulated Depreciation, Equipment “$140,000 — $20,000y10) x 312 = $3,000 12. Interest Expense Interest Payable $100,000 x1094: x 3.312 = $2,500 13. Cost of Goods Sold Inventory $140,000 - $20,000 14. Uneamed Rlevenue Sales Revenue $25,000 X 80% 15. Wages Expense Wages Payable 1 ,300 140,000 40,000 160,000 110,000 140,000 25,000 140,000 44,000 12,000 1,500 3,000 2,500 120,000 20,000 4,000 1,000 140,000 200,000 110,000 140,000 25,000 40,000 100,000 44,000 12,000 1,500 3,000 2,500 120,000 20,000 4,000 AP3-6 a. 1. Cash 200,000 Common Shares 2. Inventory 4?5,000 Accounts Payable 3. Accounts Receivable 640,000 Sales Revenue Cost of Goods Sold 360,000 Inventory 4. Cash 560,000 Accounts Receivable 5. Accounts Payable 430,000 Cash 6. Vehicles 36,000 Cash T. Rent Expense 24,000 Prepaid Rent 2,000 Cash 3. Operating Expense 20,000 Cash Accounts Payable 9. Depreciation Expense 2,000 Accumulated Depreciation, Vehicles 10. Dividends Declared 6,000 Cash 200,000 435,000 640,000 360,000 500,000 430,000 36,000 26,000 18,000 2,000 2,000 6,000 Bal 0 Ball . 0 b. Sweet Dreams Chocolatiers Lto.: T-Accounts Cash Accounts Receivable {'1} l200,000 430,000 {5} (3} 640,000 560 000 (4} 580,000 36,000 {6} 26,000 {1"} Ball. 60,000 {4} 13,000 {a} 6,000 [10} Ball. 264,000 Prepaid Rent (75;- 2,000 Bal. 2,000 Inventory Vehicles a . (2} 05,000 a 300,000 (3} (0}. 30,000 Ball. Ball. 36,000 Accumulated De reciation, Vehicles Bal. 0 2,000 {9} Bal. 2,000 Accounts Payable Common Shares 3. 0 Hal. (5} 430,000 4?5,000 {2} 200,000 {1} 2,000 {a} 200,000 Bal. 47,000 Bal. Retained Earnings Dividends Declared 0 Hal. Hal. 0 (10) 5,000 Bal. 6,000 Sales Revenue Cost of Goods Sold 0 Bal. Hal. 0 640,000 (3) (3) 330,000 640,000 Bal. Bal.330,00 Rent Ex nse Operatin Expense Hal. 0 Hal. 0 (14') 24,000 (8) 20,000 Bal. 24,000 Bal. 20,000 Depreciation Expense Bal. 0 (9} 2,000 Bal. 2,000 c. Sweet Dreams Chocolatiers Ltd. Trial Balance December 31Ir 2016 Debit Credit Cash $264,000 Accounts receivable 60,000 Prepaid rent 2,000 Inventory 95,000 Vehicles 36,000 Accumulated depreciation, vehicles $2,000 Accounts payable 47,000 Common shares 200,000 Retained earnings -0- Dividends declared 6,000 Sales revenue 640,000 Cost of goods sold 380,000 Rent expense 24,000 Operating expense 20,000 Depreciation expense 2,000 $889,000 $839,000 AP3-B Sept.1 Vehicles 00,000 Cash 30,000 Notes Payable 50,000 1 Prepaid Insurance 2,400 Cash 2,400 5 Inventory 13,000 Accounts Payable 13,000 12 Cash T,500 Uneamed Revenue ?,500 13 Cash 12,000 Accounts Receivable 4,000 Sales Revenue 16,000 Cost of Goods Sold 10,500 Inventory 10,500 30 Dividends Payable 15,000 Cash 1 5,000 Adjusting entries: 30 Depreciation Expense 1,000 Accumulated Depreciation, Vehicles 1 ,000 ($30,000 - $8,000} I 6 X (1I12) = $1,000 Interest Expense 3T5 Interest Payable 375 $50,000 X 0% X 1H2 = $375 Insurance Expense 200 Prepaid Insurance 200 $2,400 X1.-"12 AP3-9 Jan.1 Equipment 145,000 Cash 145,000 1 Prepaid Rent 14,400 Cash 14,400 13 Cash 50,000 Uneamed Revenue 50,000 14 Wages Expense 9,000 Cash 9,000 15 Dividends Declared 20,000 Dividends Payable 20,000 19 Cash 31,000 Accounts Receivable 31,000 Sales Revenue 02,000 Cost of Goods Sold 36,000 Inventory 36,000 Adjusting entries: 31 Wages Expense 9,000 Wages Payable 9,000 Depreciation Expense 2,250 Accumulated Depreciation, Equipment 2,250 ($145,000 - $10,000}! 5 X {1!12)= $2,250 Rent Expense 2,400 Prepaid Rent 2.400 $14,400 X “B = $2,400 ...
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