Operating expenses 3000 Operating income 3000 Other income 500 Income before

Operating expenses 3000 operating income 3000 other

This preview shows page 3 - 7 out of 8 pages.

CLICK HERE TO REVIEW LEARNING OBJECTIVES ±
Image of page 3
QUESTION 3CorrectMark 27.00 out of 27.00Preparing a Classified Balance SheetFrom the following accounts, listed in alphabetical order, prepare aclassified balance sheet for Berkly Wholesalers as of December 31, 2016. All accounts have normal balances.Accounts Payable$46,000Inventory$117,000Accounts Receivable40,000Land45,000Building67,000Mortgage Payable (long term)79,000Cash28,000Office Supplies1,000Common Stock113,000Retained Earnings?Salaries Payable7,000BERKLY WHOLESALERS Balance Sheet December 31, 2016AssetsLiabilities & StockhCurrent Assets:Current Liabilities:Cash$28,000Accounts Payable$Accounts Receivable40,000Salaries payableInventory117,000Total Current LiabilitiesOffice Supplies1,000Total Current Assets186,000Long-Term Liabilities:Mortgage Payable (long term)Long-term Assets:Total Long-term Liabilities:Land45,000Building67,000Total LiabilitiesTotal Long-Term Assets112,000Stockholders' Equity:Common StockRetained EarningsTotal Stockholders' Equity
Image of page 4
QUESTION 4CorrectMark 14.00 out of 14.00Multi-step Income StatementFrom the following accounts, listed in alphabetical order, prepare a multi-stepincome statement for Karlman Distributors for the year ended December 31. All accounts have normal balances.Selling, General and Administrative Expense$196,000Cost of Goods Sold335,000Interest Expense5,000Sales Revenue560,000Income Tax Expense10,000KARLMAN DISTRIBUTERS Income Statement For the Year Ended December 31Sales Revenue$560,000Cost of Goods Sold335,000Gross Profit on Sales225,000Operating ExpensesSelling, General and Administrative Expense196,000Income from Operations29,000Other Income and ExpenseInterest Expense5,000Income before Income Taxes24,000Income Tax Expense10,000Net Income$14,000± BERKLY WHOLESALERS Balance Sheet December 31, 2016 Total Assets $ 298,000 Total Liabilities and Stockholders' Equity CLICK HERE TO REVIEW LEARNING OBJECTIVES CLICK HERE TO REVIEW LEARNING OBJECTIVES ±
Image of page 5
Image of page 6
Image of page 7

You've reached the end of your free preview.

Want to read all 8 pages?

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture