E5.7 (LO 4), AP Juan Morales Company had the following account balances at year-end: Cost of Goods Sold $60,000, Inventory $15,000, Utilities Expense $29,000, Sales Revenue $115.000, Discounts $1,200, and Sales Returns and Allowances $1,700. A physical count of inventory determines that merchandise inventory on hand is $13,900. Instructions a. Prepare the adjusting entry necessary as a result of the physical count. b. Prepare closing entries.

E5.7 (LO 4), AP Juan Morales Company had the following account balances at year-end: Cost of Goods Sold $60,000, Inventory $15,000, Utilities Expense $29,000, Sales Revenue $115.000, Discounts $1,200, and Sales Returns and Allowances $1,700. A physical count of inventory determines that merchandise inventory on hand is $13,900. Instructions a. Prepare the adjusting entry necessary as a result of the physical count. b. Prepare closing entries.

Name: **Exercise 5.7 (Learning Objective 4)**AP Juan Morales Company had th
Uploaded: 2024-03-20T06:32:37.000Z
Channel: Bartleby
Description: **Exercise 5.7 (Learning Objective 4)**AP Juan Morales Company had the following account balances at year-end: - Cost of Goods Sold: $60,000- Inventory: $15,000- Utilities Expense: $29,000- Sales Revenue: $115,000- Sales Discounts: $1,200- Sales Ret

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

At year-end, the perpetual inventory records of Marigold Company showed merchandise inventory of $100,600. The company determined, however, that its actual inventory on hand was $96,900.Record the necessary adjusting entry. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Account Titles and Explanation Debit Credit eTextbook and Media
Records from FDNACCT Co. revealed the following data: Inventory, January 1 = P340,000 Physical count, December 31 = P440,000 The company uses the periodic inventory system and follows the calendar year. How much should be credited to Income Summary to reflect the ending inventory?
The company uses the periodic inventory system. A physical count of inventory on December 31 resulted in an inventory amount of $50,000. Instructions: 3. Prepare a Statement of Financial Position as at December 31, 2019. a. Report Form b. Account Form
SCC Company reported the following for the current year: $ 52,000 45,900 2,400 8,400 Net sales Cost of goods sold Beginning balance in inventory Ending balance in inventory Compute (a) Inventory turnover and (b) days' sales in Inventory. Hint Inventory turover uses average Inventory and days' sales in Inventory uses the ending balance in Inventory. Complete this question by entering your answers in the tabs below. Inventory Days Sales In Turnover Inventory Compute the inventory turnover. Numerator: 1 1 1 Inventory Turnover Denominator:
The accounting records of Skysong Electronics show the following data. Beginning inventory 1.000 units at $5 Purchases 9,000 units at $7 9.500 units at $10 Sales (a) Determine cost of goods sold during the period under a periodic inventory system using the FIFO method. (Round answer to O decimal places, e.g. 1,250.) Cost of goods sold during the period FIFO
A company reports the following: Cost of merchandise sold $3,120,750Average merchandise inventory 182,500 Determine (a) the inventory turnover and (b) the number of days' sales in inventory. Assume a 365-day year. Round your answers to one decimal place.
Freedman Company estimates that sales this year of $12,000 will be returned next year and customers will be granted a full refund. Which of the following journal entries would Freedman Company record as part of its year-end adjustments assuming it uses the perpetual inventory system? a.Debit Estimated Returns Inventory for $12,000 and credit Income Summary for $12,000 b.Debit Sales Returns and Allowances for $12,000 and credit Cost of Goods Sold for $12,000 c.Debit Inventory Short and Over for $12,000 and credit Merchandise Inventory for $12,000 d.Debit Sales Returns and Allowances for $12,000 and credit Customer Refunds Payable for $12,000
Please help with Question A
Valley Company's adjusted account balances from its general ledger on August 31, its fiscal year-end, follows. It categorizes the following accounts as selling expenses: sales salaries expense, rent expense-selling space, store supplies expense, and advertising expense. It categorizes the remaining expenses as general and administrative. Adjusted Account Balances Debit Credit Merchandise inventory (ending) $ 34,000 Other (non-inventory) assets 136,000 Total liabilities $ 39,270 Common stock 67,851 Retained earnings 45, 768 Dividends 8,000 Sales 232, 560 Sales discounts 3,558 Sales returns and allowances 15,349 Cost of goods sold 90, 401 Sales salaries expense 31,861 Rent expense-Selling space 10, 930 Store supplies expense 2, 791 Advertising expense 19,768 Office salaries expense 29,070 Rent expense-Office space 2,791 Office supplies expense 930 Totals $385, 449 $385, 449 Beginning merchandise inventory was $27,438. Supplementary records of merchandising activities for the year ended…
A company reported the following balances in some selected accounts: Inventory, 1 March $4,000, Transportation-in $200, Inventory, 31 March $6,000, Purchases $16,000, Purchase Returns and Allowances $500, Purchase discounts $700, Sales $35,000, Sales discounts $1,500. The Cost of Goods Sold for the period is: Group of answer choices $13,000 $16,000 $12,600 $13,400
7-5. End-of-period adjustments. boi వెంచం Local Hardware uses the periodic inventory method. At the end of the accounting period, the company takes a physical inventory and finds that $20,671 of goods are on hand. Purchases during the period were $76,216, and inventory at the beginning of the period was $25,632. Freight on merchandise coming into the business was $2,799, and returns of merchandise to suppliers amounted to $1,776. In the schedule below, record the journal entry to be made by Local at the end of the accounting period to close the old inventory and record the new one. 7-6. End-of-period adjustments. ba3 Gnu Company uses the perpetual method of recording inventory. Its records show the Inventory account balance of $15,889. A count of the inventory, however, finds only $14,278 of inventory on hand. Record the entry needed by Gnu to correct its records. Assume that inventory differences of more than 5% of the cost of inventory on hand will have a significant impact on the…
hrd.3