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As to Principal I charge myself with: Assets subsequently discovered: Total charges I redit myself with: Estate principal Estate principal: Estate principal As to Income I charge myself with: I credit myself with:

As to Principal I charge myself with: Assets subsequently discovered: Total charges I redit myself with: Estate principal Estate principal: Estate principal As to Income I charge myself with: I credit myself with:

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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As to Principal I charge myself with: Assets subsequently discovered: Total charges I redit myself with: Estate principal Estate principal: Estate principal As to Income I charge myself with: I credit myself with: Balance as to income Balance as to income:
Transcribed Image Text:As to Principal I charge myself with: Assets subsequently discovered: Total charges I redit myself with: Estate principal Estate principal: Estate principal As to Income I charge myself with: I credit myself with: Balance as to income Balance as to income:
The executor of Rose Shield's estate listed the following properties (at fair value): Cash $ 300,000 Life insurance receivable 200,000 Investments in stocks and bonds Rental property Personal property 100,000 90,000 130,000 Following are the transactions that occur in the months following the decedent's death: (1) Claims of $80,000 are made against the estate for various debts incurred before the decedent's death. (2) Interest of $12,000 is received from bonds held by the estate. Of this amount, $5.000 had been earned prior to death. (3) Ordinary repairs costing $6,000 are made to the rental property. (4) All debts ($80,000) are paid. (5) Stocks recorded in the estate at $16.000 are sold for $19.000 cash. (6) Rental income of $14,000 is collected. Of this amount, $2,000 had been earned prior to the decedent's death. (7) Cash of $6,000 is distributed to Jim Arness, an income beneficiary. (8) The proceeds from the life insurance policy are collected and the money is immediately distributed to Amanda Blake as specified in the decedent's will. (9) Funeral expenses of $10,000 are paid. a. Prepare journal entries to record the property held by Ms. Shield's estate and then each of the above transactions that occur in the months following the decedent's death: b. Prepare in proper form a charge and discharge statement. Complete this question by entering your answers in the tabs below. Required A Required B Prepare journal entries to record the property held by Ms. Shield's estate and then each of the above transactions that occur in the months following the decedent's death: (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
Transcribed Image Text:The executor of Rose Shield's estate listed the following properties (at fair value): Cash $ 300,000 Life insurance receivable 200,000 Investments in stocks and bonds Rental property Personal property 100,000 90,000 130,000 Following are the transactions that occur in the months following the decedent's death: (1) Claims of $80,000 are made against the estate for various debts incurred before the decedent's death. (2) Interest of $12,000 is received from bonds held by the estate. Of this amount, $5.000 had been earned prior to death. (3) Ordinary repairs costing $6,000 are made to the rental property. (4) All debts ($80,000) are paid. (5) Stocks recorded in the estate at $16.000 are sold for $19.000 cash. (6) Rental income of $14,000 is collected. Of this amount, $2,000 had been earned prior to the decedent's death. (7) Cash of $6,000 is distributed to Jim Arness, an income beneficiary. (8) The proceeds from the life insurance policy are collected and the money is immediately distributed to Amanda Blake as specified in the decedent's will. (9) Funeral expenses of $10,000 are paid. a. Prepare journal entries to record the property held by Ms. Shield's estate and then each of the above transactions that occur in the months following the decedent's death: b. Prepare in proper form a charge and discharge statement. Complete this question by entering your answers in the tabs below. Required A Required B Prepare journal entries to record the property held by Ms. Shield's estate and then each of the above transactions that occur in the months following the decedent's death: (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
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