PROBLEM 11A-4
Balance Sheet
Credit
Debit
4,230
200
7,400
5,100
650
270
2,100
Income Statement
Credit
Debit
RON’S WHOLESALE CLOTHING COMPANY
WORKSHEET
FOR THE YEAR ENDED DECEMBER 31, 201X
Adj. Trial Balance
Credit
Debit
4,230
200
7,400
5,100
650
270
2,100
Adjustments
Credit
(A) 9,300
(C) 650
(D) 550
Debit
(B) 5,100
Trial Balance
Credit
Debit
4,230
200
7,400
9,300
1,300
820
2,100
Account Titles
Cash
Petty Cash
Accounts Receivable
Merchandise Inventory
Supplies
Prepaid Insurance
Store Equipment
11,205
14,500
3,900
3,900
(E) 650
3,900
Acc. Dep., Store Equip.
Accounts Payable
Federal Income Tax Payable
FICA— Social Security Payable
FICA—Medicare Payable
State Income Tax Payable
SUTA Tax Payable
FUTA Tax Payable
Unearned Storage Fees
Ron Win, Capital
Ron Win, Withdrawals
Copyright © 2016 Pearson Education, Inc.
11–11
SOLUTIONS TO SET B PROBLEMS
PROBLEM 11B-1
a
Net sales is $5,622.
b
Cost of goods sold is $1,176.
c
Gross profit is $4,446.
d
Net income is $2,646.
PROBLEM 11B-2
Balance Sheet
Credit
770
Debit
771
1,227
270
513
2,160
Income Statement
Credit
JABAR’S HARDWARE
WORKSHEET
FOR THE YEAR ENDED DECEMBER 31, 201X
Debit
Adj. Trial Balance
Credit
770
Debit
771
1,227
270
513
2,160
Adjustments
Credit
(A) 575
(C) 180
(D) 90
Debit
(B) 270
Trial Balance
Credit
680
Debit
771
1,227
575
693
2,160
Account Titles
Cash
Accounts Receivable
Merchandise Inv.
Prepaid Insurance
Store Equipment
Ace. Dep., Store Equip.
575
224
135
180
108
575
224
1,840
135
180
(B) 270
(A) 575
(E) 100
1,596
11,060
108
224
1,740
135
Jabar Spool, Capital
Income Summary
Hardware Sales
Hardware Sales Discount
Purchases
Purchases Discount
Purchases Ret. & Allow.
Wages Expense
Telephone Expense
Insurance Expense
Net Income
11–13
PROBLEM 11B-3
Balance Sheet
Credit
7,725
5,455
270
19,500
5,735
25,235
Debit
5,372
210
2,409
1,835
421
778
9,410
4,800
25,235
25,235
CANNON COMPANY
wORKSHEET
FOR THE YEAR ENDED DECEMBER 31, 201X
Income Statement
Credit
1,835
52,677
16
336
54,864
54,864
Debit
5,182
94
2,550
28,864
7,886
2,325
750
548
210
195
525
49,129
5,735
54,864
Adj. Trial Balance
Credit
7,725
5,455
1,835
52,677
16
336
270
74,364
Debit
5,372
210
2,409
1,835
421
778
9,410
4,800
5,182
94
2,550
28,864
7,886
2,325
750
548
210
195
525
74,364
Adjustments
Credit
(A) 5,182
(D) 195
(C) 210
(E) 525
(B) 1,835
(F) 270
8,217
Debit
(B) 1,835
(A) 5,182
(F) 270
(C) 210
(D) 195
(E) 525
8,217
Trial Balance
Credit
7,200
5,455
—
52,677
16
336
71,734
Debit
5,372
210
2,409
5,182
616
988
9,410
4,800
—
94
2,550
28,864
7,616
2,325
750
548
71,734
Account Titles
Cash
Petty Cash
Accounts Receivable
Merchandise Inventory
Prepaid Rent
Office Supplies
Office Equipment
Acc. Dep., Office Equip.
K. Cannon, Capital
K. Cannon, Withdrawals
Income Summary
Sales
Sales Ret. & Allow.
Sales Discount
Purchases
Purchases Discount
Purchases Ret. & Allow.
Office Salaries Expense
Insurance Expense
Advertising Expense
Utilities Expense
Office Supplies Expense
Rent Expense
Dep. Exp., Office Equip.
Office Salaries Payable
Net Income
Accounts Payable
11–14
PROBLEM 11B-4
Balance Sheet
Credit
1,950
11,675
700
462
116
150
114
32
240
13,500
28,939
28,939
Debit
4,230
300
7,600
5,200
450
420
2,600
3,600
24,400
4,539
28,939
Income Statement
Credit
5,200
42,031
350
500
135
48,216
4,539
52,755
JACKS‘ WHOLESALE CLOTHING COMPANY
WORKSHEET
FOR THE YEAR ENDED DECEMBER 31, 201X
Debit
9,200
1,450
1,435
27,000
225
11,000
440
855
350
450
350
52,755
52,755
Adj. Trial Balance
Credit
1,950
11,675
700
462
116
150
114
32
240
13,500
5,200
42,031
350
500
135
77,155
Debit
4,230
300
7,600
5,200
450
420
2,600
3,600
9,200
1,450
1,435
27,000
225
11,000
440
855
350
450
350
77,155
Adjustments
Credit
(A) 9,200
(C) 350
(D) 450
(E) 350
(B) 5,200
(F) 135
15,685
Debit
(B) 5,200
(F) 135
(A) 9,200
(C) 350
(D)450
(E)350
15,685
Trial Balance
Credit
1,600
11,675
700
462
116
150
114
32
375
13,500
—
42,031
350
500
71,605
Debit
4,230
300
7,600
9,200
800
870
2,600
3,600
—
1,450
1,435
27,000
225
11,000
440
855
71,605
Account Titles
Cash
Petty Cash
Accounts Receivable
Merchandise Inventory
Supplies
Prepaid Insurance
Store Equipment
Acc. Dep., Store Equip.
Accounts Payable
FIT Payable
FICA—Social Sec. Payable
FICA—Medicare Payable
SIT Payable
SUTA Tax Payable
FUTA Tax Payable
Unearned Storage Fees
Jack Win, Capital
Jack Win, Withdrawals
Income Summary
Sales
Sales Ret. & Allow.
Sales Discount
Purchases
Purchases Discount
Purchases Ret. & Allow.
Freight-In
Salaries Expense
Payroll Tax Expense
Interest Expense
Supplies Expense
Insurance Expense
Dep. Exp., Store Equip.
Earned Storage Fees
Net Income/Loss
Copyright © 2016 Pearson Education, Inc.
11–15
FINANCIAL REPORT PROBLEM SOLUTION—2013 Kellogg’s Annual Report
Cost of goods sold for Kellogg’s in 2013 is $8,689 million.
Continuing Problem
SMITH COMPUTER CENTER
WORKSHEET
For Six Months Ended March 31, 201X
Account Titles
Trial Balance
Adjusting Entries
Adj. Trial Balance
Dr.
Cr.
Dr.
Cr.
Dr.
Cr.
Cash
17,263.76
17,263.76
Petty Cash
300.00
300.00
Accounts Receivable
13,095.00
13,095.00
Merchandise Inventory
(a)400.00
400.00
Prepaid Rent
3,500.00
(b)3,000.00
500.00
Supplies
612.00
(c)275.00
337.00
Computer Shop Equipment
5,700.00
5,700.00
Accumulated Depreciation, C.
S. Eq.
150.00
(d)660.00
810.00
Office Equipment
3,850.00
3,850.00
Accumulated Depreciation,
Of. Eq.
110.00
(e)390.00
500.00
Accounts Payable
3,170.00
3,170.00
T. Feldman, Capital
12,282.00
12,282.00
T. Feldman, Withdrawals
915.00
915.00
Income Summary
(a)400.00
400.00
Service Revenue
21,800.00
21,800.00
Sales
11,680.00
11,680.00
Sales Returns and
Allowances
460.00
460.00
Sales Discounts
198.00
198.00
Advertising Expense
Rent Expense
(b)3,000.00
3,000.00
Utilities Expense
Phone Expense
170.00
170.00
Supplies Expense
45.00
(c)275.00
320.00
Insurance Expense
Postage Expense
40.00
40.00
Miscellaneous Expense
15.00
15.00
Wage Expense
2,030.00
2,030.00
Payroll Tax Expense
218.24
218.24
Purchases
930.00
930.00
Purchase Returns and
Allowances
150.00
150.00
Total
49,342.00
49,342.00
Depreciation Expense—C.S.
Equip.
(d)660.00
660.00
Depreciation Expense—Of.
Equip.
(e)390.00
390.00
Total
4,725.00
4,725.00
50,792.00
50,792.00
Net Income
Total
SMITH COMPUTER CENTER
WORKSHEET CONTINUED
For Six Months Ended March 31, 201X
Account Titles
Income Statement
Balance Sheet
Dr.
Cr.
Dr.
Cr.
Cash
17,263.76
Petty Cash
300.00
Accounts Receivable
13,095.00
Merchandise Inventory
400.00
Prepaid Rent
500.00
Supplies
337.00
Computer Shop
Equipment
5,700.00
Accumulated
Depreciation, C. S. Eq.
810.00
Office Equipment
3,850.00
Accumulated
Depreciation, Of. Eq.
500.00
Accounts Payable
3,170.00
T. Feldman, Capital
12,282.00
T. Feldman, Withdrawals
915.00
Income Summary
400.00
Service Revenue
21,800.00
Sales
11,680.00
Sales Returns and
Allowances
460.00
Sales Discounts
198.00
Advertising Expense
Rent Expense
3,000.00
Utilities Expense
Phone Expense
170.00
Supplies Expense
320.00
Insurance Expense
Postage Expense
40.00
Miscellaneous Expense
15.00
Wage Expense
2,030.00
Payroll Tax Expense
218.24
Purchases
930.00
Purchase Returns and
Allowances
150.00
Total
Depreciation Expense—
C.S. Equip.
660.00
Depreciation Expense—
Of. Equip.
390.00
Total
8,431.24
34,030.00
42,360.76
16,762.00
Net Income
25,598.76
25,598.76
Total
34,030.00
34,030.00
42,360.76
42,360.76