Question 1 The following information is taken from the General Ledger of Ben's BMX Bikes at September 30, 2018. Accounts payable 3,900 Accounts receivable 2,150 B. Toews, Capital 6,920 B. Toews, Drawings 5,000 Cash 1,180 Cost of goods sold 45,800 Freight-out expense 1,000 Insurance expense 720 Merchandise inventory 5,800 Rent expense 4,800 Salaries expense 12,620 Sales revenue 68,500 Sales returns and allowances 250 A physical count of the inventory indicates that the actual amount on had is $5,450. Ben's uses the perpetual inventory system. Instructions (a) Prepare the journal entry to adjust inventory. (b) Prepare the closing entries. (c) Prepare the post-closing trial balance.

Question 1 The following information is taken from the General Ledger of Ben's BMX Bikes at September 30, 2018. Accounts payable 3,900 Accounts receivable 2,150 B. Toews, Capital 6,920 B. Toews, Drawings 5,000 Cash 1,180 Cost of goods sold 45,800 Freight-out expense 1,000 Insurance expense 720 Merchandise inventory 5,800 Rent expense 4,800 Salaries expense 12,620 Sales revenue 68,500 Sales returns and allowances 250 A physical count of the inventory indicates that the actual amount on had is $5,450. Ben's uses the perpetual inventory system. Instructions (a) Prepare the journal entry to adjust inventory. (b) Prepare the closing entries. (c) Prepare the post-closing trial balance.

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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