PROBLEM 1. The accounts listed below appeared in the December 31, 2021 trial balance of the Lyceum Theaters. All accounts have normal balances. Equipment $192k Accumulated Depreciation-Equipment $60k Notes Payable $90k Admissions Rev $380k Advertising Exp $13,680 Salaries & Wages Exp $57,600 Interest Exp $1,400 **From the account balances listed above and the info given below, how would I go about making necessary annual adjusting entries on Dec 31. -The equipment has an estimated life of 16 years and a salvage value of $24k at the end of that time. (Straight-Line method.) -The note payable is a 90-day note given to the bank on October 20 and bearing interest at 8%. (360 days for the denominator.) -In December, 2,000 coupon admission books were sold at $30 each and recorded as Admissions Revenue. They could be used for admission any time after January 1. -Advertising exp paid in advance and included in Advertising exp $1,100. -Salaries & Wages accrues but unpaid $4,700. **How do I determine the amount that should be shown for each of the following on the income statement for the year: -interest exp -admissions rev -advertising exp -salaries & wages exp
PROBLEM 1.
The accounts listed below appeared in the December 31, 2021
Equipment $192k
Notes Payable $90k
Admissions Rev $380k
Advertising Exp $13,680
Salaries & Wages Exp $57,600
Interest Exp $1,400
**From the account balances listed above and the info given below, how would I go about making necessary annual
-The equipment has an estimated life of 16 years and a salvage value of $24k at the end of that time. (Straight-Line method.)
-The note payable is a 90-day note given to the bank on October 20 and bearing interest at 8%. (360 days for the denominator.)
-In December, 2,000 coupon admission books were sold at $30 each and recorded as Admissions Revenue. They could be used for admission any time after January 1.
-Advertising exp paid in advance and included in Advertising exp $1,100.
-Salaries & Wages accrues but unpaid $4,700.
**How do I determine the amount that should be shown for each of the following on the income statement for the year:
-interest exp
-admissions rev
-advertising exp
-salaries & wages exp
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