On July 9, 2024, Blossom Enterprises Inc. discovered it had recorded the $83,000 purchase of land as a legal expense on November 8, 2023. The company had reported retained earnings of $631.000 at its previous year end, December 31, 2023. During 2024, Blossom had profit of $212.000 and it declared and paid cash dividends of $238,000. Blossom has a 25% income tax rate. (a) Prepare the journal entry to correct the error. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter 0 for the amounts. List all debit entries before credit entries.) Date Account Titles Jan. 1 Debit Credit

On July 9, 2024, Blossom Enterprises Inc. discovered it had recorded the $83,000 purchase of land as a legal expense on November 8, 2023. The company had reported retained earnings of $631.000 at its previous year end, December 31, 2023. During 2024, Blossom had profit of $212.000 and it declared and paid cash dividends of $238,000. Blossom has a 25% income tax rate. (a) Prepare the journal entry to correct the error. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter 0 for the amounts. List all debit entries before credit entries.) Date Account Titles Jan. 1 Debit Credit

Fundamentals Of Financial Management, Concise Edition (mindtap Course List)

10th Edition

ISBN:9781337902571

Author:Eugene F. Brigham, Joel F. Houston

Publisher:Eugene F. Brigham, Joel F. Houston

Chapter3: Financial Statements, Cash Flow, And Taxes

Section: Chapter Questions

Problem 12P

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