PROBLEM 2B-4
(a)
GRETCHEN LYMAN, ATTORNEY AT LAW
INCOME STATEMENT
FOR MONTH ENDED JANUARY 31, 201X
Revenue:
Revenue from Legal Fees
$1
3
5
0
Operating Expenses:
Utilities Expense
$
3
0
0
Rent Expense
3
0
0
Salaries Expense
1
0
0
Total Operating Expenses
7
0
0
Net Income
$
6
5
0
(b)
GRETCHEN LYMAN, ATTORNEY AT LAW
STATEMENT OF OWNER’S EQUITY
FOR MONTH ENDED JANUARY 31, 201X
Gretchen Lyman, Capital, January 1, 201X
$5
7
9
5
Net Income for January
$
6
5
0
Less: Withdrawals for January
(1
7
5)
Increase in Capital
4
7
5
Gretchen Lyman, Capital, January 31, 201X
$6
2
7
0
PROBLEM 2B-4 (CONCLUDED)
(c)
GRETCHEN LYMAN, ATTORNEY AT LAW
BALANCE SHEET
JANUARY 31, 201X
ASSETS
LIABILITIES AND OWNER’S EQUITY
Cash
$7
0
0
0
Liabilities
Accounts Receivable
8
0
0
Accounts Payable
$2
9
0
0
Office Equipment
2
3
0
0
Salaries Payable
9
3
0
Total Liabilities
$3
8
3
0
Owner’s Equity
Gretchen Lyman,
Capital
6
2
7
0
Total Liabilities and
Total Assets
$10
1
0
0
Owner’s Equity
$10
1
0
0
PROBLEM 2B-5
(1, 2)
Cash 111
(A) 20,000
(E) 2,600
(J) 900
1,500 (C)
450 (D)
700 (F)
900 (G)
200 (K)
23,500
3,750
Bal. 19,750
Accounts Receivable 112
(H) 1,700
900 (J)
Bal. 800
Office Equipment 121
(C) 1,500
Delivery Trucks 122
(B) 13,000
Accounts Payable 211
13,000 (B)
500 (I)
Bal. 13,500
Andrea Aikman, Capital 311
20,000 (A)
Andrea Aikman, Withdrawals
312
(K) 200
Delivery Fees Earned 411
2,600 (E)
1,700 (H)
Bal. 4,300
Advertising Expense 511
(D) 450
Gas Expense 512
(G) 900
Salaries Expense 513
(F) 700
Telephone Expense 514
(I) 500
PROBLEM 2B-5 (CONTINUED)
(3)
AIKMAN’S DELIVERY SERVICE
TRIAL BALANCE
MAY 31, 201X
Dr.
Cr.
Cash
19
7
5
0
Accounts Receivable
8
0
0
Office Equipment
1
5
0
0
Delivery Trucks
13
0
0
0
Accounts Payable
13
5
0
0
Andrea Aikman, Capital
20
0
0
0
Andrea Aikman, Withdrawals
2
0
0
Delivery Fees Earned
4
3
0
0
Advertising Expense
4
5
0
Gas Expense
9
0
0
Salaries Expense
7
0
0
Telephone Expense
5
0
0
Totals
37
8
0
0
37
8
0
0
(4a)
AIKMAN’S DELIVERY SERVICE
INCOME STATEMENT
FOR MONTH ENDED MAY 31, 201X
Revenue:
Delivery Fees Earned
$4
3
0
0
Operating Expenses:
Advertising Expense
$
4
5
0
Gas Expense
9
0
0
Salaries Expense
7
0
0
Telephone Expense
5
0
0
Total Operating Expenses
2
5
5
0
Net Income
$1
7
5
0
PROBLEM 2B-5 (CONCLUDED)
(4b)
AIKMAN’S DELIVERY SERVICE
STATEMENT OF OWNER’S EQUITY
FOR MONTH ENDED MAY 31, 201X
Andrea Aikman, Capital, May 1, 201X
$
0
Investment in May
20
0
0
0
Total investment for May
20
0
0
0
Net Income for May
$1
7
5
0
Less: Withdrawals for May
(2
0
0)
Increase in Capital
1
5
5
0
Andrea Aikman, Capital, May 31, 201X
$21
5
5
0
(4c)
AIKMAN’S DELIVERY SERVICE
BALANCE SHEET
MAY 31, 201X
ASSETS LIABILITIES AND OWNER’S EQUITY
Cash
$19
7
5
0
Liabilities
Accounts Receivable
8
0
0
Accounts Payable
$13
5
0
0
Office Equipment
1
5
0
0
Delivery Trucks
13
0
0
0
Owner’s Equity
Andrea Aikman, Capital
21
5
5
0
Total Liabilities and
Total Assets
$35
0
5
0
Owner’s Equity
$35
0
5
0
FINANCIAL REPORT PROBLEM SOLUTION—2013 Kellogg’s Annual Report
Year
Accounts Payable
2013
$1,432 million
2012
$1,402 million
Increase
$30 million
2-27
ON THE JOB—Smith Computer Center Solution
Computer Shop Equipment 1080
Feldman, Capital 3000
6,000 (bal)
Rent Expense 5020
Insurance Expense 5060
1,800 (bal)
500 (bal)
450 (l)
Supplies 1030
Accounts Payable 2000
80(k)
300(s)
655______
430
Advertising Expense 5010
Supplies Expense 5050
200 (bal)
300 (s)
500
75 (q)
225
900(n)
0
Accounts Receivable 1020
Office Equipment 1090
Service Revenue 4000
3,200 (bal)
1,700(o)
1,300 (p)
6,200
Phone Expense 5040
1,700 (o)
80(k)
Cash 1000
450 (l)
150 (m)
900 (n)
75 (q)
70 (r)
1,645
Feldman, Withdrawals 3010
Utilities Expense 5030
Postage Expense 5070
3,425 (bal)
1,300 (p)
4,725
3080 bal
175 bal
75 bal
70 (r)
SMITH COMPUTER CENTER
TRIAL BALANCE
AUGUST 31, 201X
Dr.
Cr.
Cash
3
0
8
0
00
Accounts Receivable
1
7
0
0
00
Supplies
5
0
0
00
Computer Shop Equipment
1
8
0
0
00
Office Equipment
3
3
0
0
00
Accounts Payable
4
3
0
00
Feldman, Capital
6
0
0
0
00
Feldman, Withdrawals
1
7
5
00
Service Revenue
6
2
0
0
00
Advertising Expense
9
0
0
00
Rent Expense
5
0
0
00
Utilities Expense
7
5
00
Phone Expense
8
0
00
Insurance Expense
4
5
0
00
Postage Expense
7
0
00
Totals
12
6
3
0
00
12
6
3
0
00
SMITH COMPUTER CENTER
INCOME STATEMENT
FOR THE TWO MONTHS ENDED AUGUST 31, 201X
Revenue:
Service Revenue
$6
2
0
0
00
Operating Expenses:
Advertising Expense
$
9
0
0
00
Rent Expense
5
0
0
00
Utilities Expense
7
5
00
Phone Expense
8
0
00
Insurance Expense
4
5
0
00
Postage Expense
7
0
00
Total Operating Expenses
2
0
7
5
00
Net Income
$4
1
2
5
00
SMITH COMPUTER CENTER
STATEMENT OF OWNER‘S EQUITY
FOR THE TWO MONTHS ENDED AUGUST 31, 201X
Feldman, Capital, July 1, 201X
$
0
00
Investment in July
6
0
0
0
00
Total investment for July
6
0
0
0
00
Net Income
$4
1
2
5
00
Less: Feldman Withdrawals
(1
7
5
00)
Net Increase Capital
3
9
5
0
00
Feldman, Capital, August 31, 201X
$9
9
5
0
00
SMITH COMPUTER CENTER
BALANCE SHEET
AUGUST 31, 201X
ASSETS
LIABILITIES AND OWNER’S EQUITY
Cash
$3
0
8
0
00
Liabilities:
Accounts Receivable
1
7
0
0
00
Accounts Payable
$
4
3
0
00
Supplies
5
0
0
00
Computer Shop Equipment
1
8
0
0
00
Owner’s Equity:
Office Equipment
3
3
0
0
00
Feldman, Capital
9
9
5
0
00
Total Liabilities and
Total Assets
$10
3
8
0
00
Owner’s Equity
$10
3
8
0
00