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CASH RECEIPTS JOURNAL PAGE
1 2 3 4 5 6 7
DATE ACCOUNT TITLE DOC.
NO.
POST.
REF.
GENERAL ACCOUNTS
RECEIVABLE
CREDIT
SALES
CREDIT
SALES TAX
PAYABLE
CREDIT
SALES
DISCOUNT
DEBIT
CASH
DEBIT
DEBIT CREDIT
1 1
2. a.
2. a.
3
Notes Receivable
Interest Income
20X2
23148_ch22_hr_683-754.indd 739 1/18/18 1:41 AM
3.
If the reversing entry is not recorded, Elert Company must take care to make the correct entry
when the note and interest are received. Interest Receivable must be credited for the amount of
Name Date Class
REINFORCEMENT ACTIVITY 3, Part B, p. 715
10.
Restaurant Warehouse, Inc.
Unadjusted Trial Balance
December 31, 20X4
Accumulated Depreciation—Office Equipment 14 3 2 0 00
Warehouse Equipment 92 2 2 0 00
Accumulated Depreciation—Warehouse Equipment 14 0 8 0 00
Accounts Payable 28 2 2 5 30
Sales Tax Payable 12 4 2 1 32
Dividends Payable 10 0 0 0 00
Bonds Payable 30 0 0 0 00
Capital Stock—Common 65 0 0 0 00
Paid-in Capital in Excess of Par—Common 20 0 0 0 00
Capital Stock—Preferred 15 0 0 0 00
REINFORCEMENT ACTIVITY 3, Part B (continued)
ACCOUNT TITLE DEBIT CREDIT
Restaurant Warehouse, Inc.
Unadjusted Trial Balance (Concluded)
December 31, 20X4
Paid-in Capital in Excess of Par—Preferred
Retained Earnings 47 7 7 8 40
Dividends 40 0 0 0 00
Income Summary
Sales 1558 4 2 1 80
Sales Discount 3 7 7 8 40
Sales Returns and Allowances 12 3 4 9 60
Purchases 1058 0 4 4 80
Rent Expense 42 0 0 0 00
Repairs Expense 2 7 8 9 60
Salary Expense 209 7 5 6 00
Supplies Expense
Uncollectible Accounts Expense
Name Date Class
REINFORCEMENT ACTIVITY 3, Part B (continued)
11., 15.
GENERAL JOURNAL PAGE 13
POST.
6 6
7 7
13 13
14 14
21 21
Interest Income 7105 5 2 80
31 Merchandise Inventory 1135 2 6 3 0 00
Accumulated Depr.—Office Equipment 1210 15 0 4 0 00
31 Depreciation Expense—Warehouse Equipment 6125 28 4 2 0 00
31 Federal Income Tax Expense 6205 5 3 6 2 49
Federal Income Tax Payable 2160 5 3 6 2 49
Adjusted Trial Balance amounts:
Total of Income Statement Credit amounts, including Income Summary, $1,580,086.76
Total of Income Statement Debit amounts, $1,494,461.80
REINFORCEMENT ACTIVITY 3, Part B (continued)
14.
Net Income before
Federal Income
–Of the Amount
Over =
Net Income
Subject to
×Marginal
Tax Rate =Marginal
Income Tax
13., 16.
(Note: Adjusted trial balance is continued on next page.)
Restaurant Warehouse, Inc.
Adjusted Trial Balance
December 31, 20X4
Accumulated Depreciation—Office Equipment 29 3 6 0 00
Warehouse Equipment 92 2 2 0 00
Accumulated Depreciation—Warehouse Equipment 42 5 0 0 00
Accounts Payable 28 2 2 5 30
Sales Tax Payable 12 4 2 1 32
Dividends Payable 10 0 0 0 00
Bonds Payable 30 0 0 0 00
Capital Stock—Common 65 0 0 0 00
Paid-in Capital in Excess of Par—Common 20 0 0 0 00
Capital Stock—Preferred 15 0 0 0 00
REINFORCEMENT ACTIVITY 3, Part B (continued)
ACCOUNT TITLE DEBIT CREDIT
Restaurant Warehouse, Inc.
Adjusted Trial Balance (Concluded)
December 31, 20X4
Paid-in Capital in Excess of Par—Preferred
Retained Earnings 47 7 7 8 40
Dividends 40 0 0 0 00
Income Summary 2 6 3 0 00
Sales 1558 4 2 1 80
Sales Discount 3 7 7 8 40
Sales Returns and Allowances 12 3 4 9 60
Purchases 1058 0 4 4 80
Rent Expense 42 0 0 0 00
Repairs Expense 2 7 8 9 60
Salary Expense 209 7 5 6 00
Supplies Expense 5 3 4 8 10
Uncollectible Accounts Expense 4 2 0 0 00
17.
Restaurant Warehouse, Inc.
Income Statement
For Year Ended December 31, 20X4
Purchases Returns and Allowances 6 4 7 2 00 13 6 6 4 16
Net Purchases 1044 3 8 0 64
Total Cost of Merchandise Available for Sale 1192 7 3 4 54
Less Merchandise Inventory, December 31, 20– 150 9 8 3 90
Rent Expense 42 0 0 0 00
Repairs Expense 2 7 8 9 60
Salary Expense 209 7 5 6 00
Supplies Expense 5 3 4 8 10
Loss on Plant Assets 5 8 0 00
Total Other Expenses 7 5 9 5 00
Net Deduction (2 2 2 4 20) (0.1)
Net Income before Federal Income Tax 85 6 2 4 96 5.6
18.
Restaurant Warehouse, Inc.
Common Stock:
$10.00 Par Value
January 1, 20–, 6,000 Shares Issued 60 0 0 0 00
Issued during Current Year, 500 Shares 5 0 0 0 00
$50.00 Par Value, 5%
January 1, 20–, 0 Shares Issued
Issued during Current Year, 300 Shares 15 0 0 0 00
Balance, December 31, 20–, 300 Shares Issued 15 0 0 0 00
Name Date Class
REINFORCEMENT ACTIVITY 3, Part B (continued)
19.
Restaurant Warehouse, Inc.
Balance Sheet
December 31, 20X4
Total Current Assets 208 2 1 6 10
Plant Assets:
Office Equipment 77 6 6 0 00
Less Accumulated Depreciation—Office Equipment 29 3 6 0 00 48 3 0 0 00
Employee Income Tax Payable 6 2 0 00
Social Security Tax Payable 1 3 8 3 84
Medicare Tax Payable 3 2 3 64
Medical Insurance Payable 2 2 1 0 00
Paid-in Capital in Excess of Par—Common 20 0 0 0 00
Capital Stock—Preferred 15 0 0 0 00
Retained Earnings 76 0 4 0 87
Total Stockholders’ Equity 176 0 4 0 87
Total Liabilities and Stockholders’ Equity 306 2 3 6 10
20.
Restaurant Warehouse, Inc.
Statement of Cash Flows
For Year Ended December 31, 20X4
Cash ows from operating activities:
Taxes (16 4 1 2 88)
Rent (48 0 0 0 00)
Other operating expenses (174 5 8 5 94)
Total cash payments (1495 69650)
Net cash provided/(used) by operating activities 49 2 5 1 15
Net change in cash 9 7 5 1 15
Cash balance, January 1, 20– 15 2 5 0 25
Cash balance, December 31, 20– 25 0 0 1 40
Name Date Class
21.
GENERAL JOURNAL PAGE 14
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13 13
14 14
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28 28
29 29
Interest Income 7105 8 8 0 80
Rent Income 7110 3 0 0 0 00
Advertising Expense 6105 19 2 1 3 40
Payroll Taxes Expense 6140 21 3 3 8 88
Rent Expense 6145 42 0 0 0 00
Interest Expense 8105 7 0 1 5 00
22.
Restaurant Warehouse, Inc.
Post-Closing Trial Balance
December 31, 20X4
Accumulated Depreciation—Office Equipment 29 3 6 0 00
Warehouse Equipment 92 2 2 0 00
Accumulated Depreciation—Warehouse Equipment 42 5 0 0 00
Accounts Payable 28 2 2 5 30
Dividends Payable 10 0 0 0 00
Bonds Payable 30 0 0 0 00
Capital Stock—Common 65 0 0 0 00
Paid-in Capital in Excess of Par—Common 20 0 0 0 00
23.
GENERAL JOURNAL PAGE 15
POST.
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18 18
19 19
20 20
21 21
Interest Expense 8105 3 1 5 00
1Federal Income Tax Payble 2160 5 3 6 2 49
