Reineman Supply Company uses a periodic inventory system. During September, the following transactions and events occurred. Sept.3 Purchased 90 backpacks at $25 each from Zuzu Company, terms 2/10, n/30. Sept.6 Received credit of $150 for the return of 6 backpacks purchased on Sept. 3 that were defective. Sept.9 Sold 15 backpacks for $42 each to Bailey Books, terms 2/10, n/30. Sept.13 Paid Zuzu Company in full. Sept.19 Received payments from Bailey Books. Instructions Journalize the September transactions for Reinem
Create your own company describing the nature of the company and what it provides (should be providing services and assume it is a sole proprietorship) .
Show in details the Accounting cycle (journalizing in general journal, posting in general ledger and preparing financial statements ) taking into consideration the following :
- Transaction to start with not less than 25 transactions ( including at least one unearned and one prepaid transactions )
- Use the coding for the accounts used
- During the adjusting period please make sure you have covered all six categories discussed in class
- Make sure to show the method used to calculate the depreciation highlighting over the reason on choosing this specific method
- Assume you are using the allowance method in estimating the uncollectible accounts for
Accounts receivables .
Question Two :
Reineman Supply Company uses a periodic inventory system. During September, the following transactions and events occurred.
Sept.3 Purchased 90 backpacks at $25 each from Zuzu Company, terms 2/10, n/30.
Sept.6 Received credit of $150 for the return of 6 backpacks purchased on Sept. 3 that were defective.
Sept.9 Sold 15 backpacks for $42 each to Bailey Books, terms 2/10, n/30.
Sept.13 Paid Zuzu Company in full.
Sept.19 Received payments from Bailey Books.
Instructions
Journalize the September transactions for Reinem
Question 4 :
Assume that Swann Company uses a periodic inventory system and has these account balances: Purchases $630,000; Purchase Returns and Allowances $25,000; Purchase Discounts $11,000; and Freight-In $19,000; beginning inventory of $45,000; ending inventory of $55,000; and net sales of $750,000.
Instructions:
Determine the a) cost of goods sold and b)Gross profit ( show computations )
Question Six:
The following accounts appear in the ledger of Alico Corporation after the books are closed at December 31, 2019.
Common Stock, $2 par value, 700,000 shares authorized, 400,000 shares
issued …………………………………………………………………………$800,000
Paid-in Capital in Excess of Par Value—Common Stock ………………….....650,000
issued …………………………………………………………………………..200,000
Paid-in Capital in Excess of Par Value—Preferred Stock …………………….310,000
Required: Prepare the
Question 7 :
Adham Corporation was organized on January 1, 2019. During its first year, the corporation issued 40,000 shares of $50 par value preferred stock and 200,000 shares of $5 par value common stock. At December 31, the company declared the following cash dividends:
December 2017 $80,000
December 2018 195,000
December 2019 300,000
Required:
- Show the allocation of dividends to each class of stock, assuming that the
preferred stock is 9% and not cumulative.
- Show the allocation of dividends to each class of stock, assuming that the
preferred stock is 10% and cumulative.
Question 8 :
On January 1, 2019, Western Manufacturing Corporation issued $3,000,000, 10%, 5-year bonds dated January 1, 2019, at 104. The bonds pay semi-annual interest on January 1 and July 1. The company uses the straight-line method of amortization and has a December 31, year end.
Instructions:
Prepare the
- The issuance of bonds on January 1, 2019
- The payment of interest and the discount (or premium) amortization on July 1, 2019.
- The accrual of interest and the discount (or premium) amortization on December 31, 2019.
- The payment of interest on January 1, 2020
Question 9 :
Ratio analysis case:
Select a corporation and get its financial statements, evaluate the firms performance using the ratio analysis and briefly discuss your findings.
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
