Current Attempt in Progress The current assets and current liabilities sections of the balance sheet of TealCompany appear as follows. TEAL COMPANY BALANCE SHEET (PARTIAL) DECEMBER 31, 2020 Cash $ 41,700 Accounts payable $ 65,040 Accounts receivable $96,400 Notes payable 70,200 Less: Allowance for doubtful accounts 7,080 89,320 $135,240 Inventory 177,510 Prepaid expenses 8,980 $317,510 The following errors in the corporation’s accounting have been discovered: 1. January 2021 cash disbursements entered as of December 2020 included payments of accounts payable in the amount of $43,500, on which a cash discount of 2% was taken. 2. The inventory included $31,970 of merchandise that had been received at December 31 but for which no purchase invoices had been received or entered. Of this amount, $10,290 had been received on consignment; the remainder was purchased f.o.b. destination, terms 2/10, n/30. 3. Sales for the first four days in January 2021 in the amount of $30,560 were entered in the sales journal as of December 31, 2020. Of these, $21,170 were sales on account and the remainder were cash sales. 4. Cash, not including cash sales, collected in January 2021 and entered as of December 31, 2020, totaled $33,756. Of this amount, $21,756 was received on account after cash discounts of 2% had been deducted; the remainder represented the proceeds of a bank loan. (a1) Calculate the following adjusted balances. Cash $ Accounts Receivable $ Inventory $ Accounts Payable $ Notes Payable $ Save for Later
Current Attempt in Progress The current assets and current liabilities sections of the balance sheet of TealCompany appear as follows. TEAL COMPANY BALANCE SHEET (PARTIAL) DECEMBER 31, 2020 Cash $ 41,700 Accounts payable $ 65,040 Accounts receivable $96,400 Notes payable 70,200 Less: Allowance for doubtful accounts 7,080 89,320 $135,240 Inventory 177,510 Prepaid expenses 8,980 $317,510 The following errors in the corporation’s accounting have been discovered: 1. January 2021 cash disbursements entered as of December 2020 included payments of accounts payable in the amount of $43,500, on which a cash discount of 2% was taken. 2. The inventory included $31,970 of merchandise that had been received at December 31 but for which no purchase invoices had been received or entered. Of this amount, $10,290 had been received on consignment; the remainder was purchased f.o.b. destination, terms 2/10, n/30. 3. Sales for the first four days in January 2021 in the amount of $30,560 were entered in the sales journal as of December 31, 2020. Of these, $21,170 were sales on account and the remainder were cash sales. 4. Cash, not including cash sales, collected in January 2021 and entered as of December 31, 2020, totaled $33,756. Of this amount, $21,756 was received on account after cash discounts of 2% had been deducted; the remainder represented the proceeds of a bank loan. (a1) Calculate the following adjusted balances. Cash $ Accounts Receivable $ Inventory $ Accounts Payable $ Notes Payable $ Save for Later
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Current Attempt in Progress
The current assets and current liabilities sections of the balance sheet of TealCompany appear as follows.
The following errors in the corporation’s accounting have been discovered:
TEAL COMPANY
BALANCE SHEET (PARTIAL) DECEMBER 31, 2020 |
||||||||
Cash | $ 41,700 | Accounts payable | $ 65,040 | |||||
$96,400 | Notes payable | 70,200 | ||||||
Less: Allowance for doubtful accounts | 7,080 | 89,320 | $135,240 | |||||
Inventory | 177,510 | |||||||
Prepaid expenses | 8,980 | |||||||
$317,510 |
The following errors in the corporation’s accounting have been discovered:
1. | January 2021 cash disbursements entered as of December 2020 included payments of accounts payable in the amount of $43,500, on which a cash discount of 2% was taken. | |
2. | The inventory included $31,970 of merchandise that had been received at December 31 but for which no purchase invoices had been received or entered. Of this amount, $10,290 had been received on consignment; the remainder was purchased f.o.b. destination, terms 2/10, n/30. | |
3. | Sales for the first four days in January 2021 in the amount of $30,560 were entered in the sales journal as of December 31, 2020. Of these, $21,170 were sales on account and the remainder were cash sales. | |
4. | Cash, not including cash sales, collected in January 2021 and entered as of December 31, 2020, totaled $33,756. Of this amount, $21,756 was received on account after cash discounts of 2% had been deducted; the remainder represented the proceeds of a bank loan. |
(a1)
Calculate the following adjusted balances.
Cash
|
$
|
|
Accounts Receivable
|
$
|
|
Inventory
|
$
|
|
Accounts Payable
|
$
|
|
Notes Payable
|
$ |
Save for Later
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education