Morrison CompanyBalance SheetJanuary 1AssetsCash$ 40,950Raw materialsWork in processFinished goodsPrepaid expensesProperty, plant, and equipment (net)$ 17,8006,60031,80056, 2003,350124,000$ 224,500Total assetsLiabilities and Stockholders' EquityAccounts payableRetained earnings$ 7,100217,400Total liabilities and stockholders' equity$ 224,500During January the company completed the following transactions:a. Purchased raw materials on account, $75,200.b. Raw materials used in production, $91,500 ($80,200 was direct materials and $11,300 was indirect materials).c. Paid $202.100 of salaries and wages in cash ($108,800 was direct labor, $41,700 was indirect labor, and $51,600 was related toemployees responsible for selling and administration).d. Various manufacturing overhead costs incurred (on account) to support production, $43,350.e. Depreciation recorded on property, plant, and equipment, $63,600 (70% related to manufacturing equipment and 30% related toassets that support selling and administration).f. Various selling expenses paid in cash, $41,600.g. Prepaid insurance expired during the month, $2,100 (80% related to production, and 20% related to selling and administration).h. Manufacturing overhead applied to production, $138,600.i. Cost of goods manufactured, $309,200.j. Cash sales to customers, $422,160.k. Cost of goods sold (unadjusted), $304,400.I. Cash payments to creditors, $64,200.m. Underapplied or overapplied overhead_$?Required:1. Calculate the ending balances that would be reported on the company's balance sheet on January 31St. (Hint: Be sure to calculatethe underapplied or overapplied overhead and then account for its affect on the balance sheet.)2. What is Morrison Company's net operating income for the month of January? k. Cost of goods sold (unadjusted), $304,400.I. Cash payments to creditors, $64,200.m. Underapplied or overapplied overhead _$?_Required:1. Calculate the ending balances that would be reported on the company's balance sheet on January 31st (Hint: Be sure to calculatethe underapplied or overapplied overhead and then account for its affect on the balance sheet.)2. What is Morrison Company's net operating income for the month of January?Complete this question by entering your answers in the tabs below.Required 1Required 2What is Morrison Company's net operating income for the month of January?Net operating income< Required 1Required 2 >

Net Income 1110 Ending Balance, 31 Dec 155210 1500 25000 36600 0 1250 60400 = 61450 218510

Required: 1. Calculate the ending balances that would be reported on the company's balance sheet on January 31St (Hint: Be sure to calculate the underapplied or overapplied overhead and then account for its affect on the balance sheet.) 2. What is Morrison Company's net operating income for the month of January?

Required: 1. Calculate the ending balances that would be reported on the company's balance sheet on January 31St (Hint: Be sure to calculate the underapplied or overapplied overhead and then account for its affect on the balance sheet.) 2. What is Morrison Company's net operating income for the month of January?

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

The following is a partial trial balance for General Lighting Corporation as of December 31, 2021: Account Title Sales revenue Interest revenue Loss on sale of investments Cost of goods sold Loss on inventory write-down (obsolescence) Selling expense General and administrative expense Interest expense Debits 29,500 1,330,000 340,000 440,000 220,000 93,000 Complete this question by entering your answers in the tabs below. Credits 3,050,000 94,000 There were 300,000 shares of common stock outstanding throughout 2021. Income tax expense has not yet been recorded. The income tax rate is 25%. Required: 1. Prepare a single-step income statement for 2021, including EPS disclosures. 2. Prepare a multiple-step income statement for 2021, including EPS disclosures.
The following revenue and expense account balances were taken from the Income Statement columns of the end-of-period spreadsheet for Fraser Services Co. for Dec Depreciation Expense $4,950 Insurance Expense 2,900 Miscellaneous Expense 1,200 Rent Expense 24,000 Service Revenue 92,500 Supplies Expense 3,150 Utilities Expense 5,000 Wages Expense 63,750 Prepare an income statement. Fraser Services Co. Income Statement For the Year Ended December 31 Operating Expenses: Total Operating Expenses
The ledger of Mai Company includes the following accounts with normal balances as of December 31: D. Mai, Capital $10,000; D. Mai, Withdrawals $1,300; Services Revenue $23,000; Wages Expense $13,400; and Rent Expense $3,600. Prepare its December 31 closing entries. View transaction list ¡ No 1 2 3 4 Date View journal entry worksheet December 31 December 31 December 31 December 31 Services revenue Income summary Income summary Wages expense Rent expense Income summary D. Mai, Capital D. Mai, Capital D. Mai, Withdrawals General Journal Debit 23,000 17,000 6,000 1,300 Credit 23,000 134,000 3,600 ********* Ⓒ 1,300
Journalize the above transactions for sandy Beach company. Post to T-accounts. Only manufacturing accoint required. Prepare an income statement as of December 31 2018.
Preparing and Analyzing Closing Entries At December 31, the ledger of Aulani Company includes the following accounts, all having normal balances: Sales Revenue, $63,500; Cost of Goods Sold, $33,300; Retained Earnings, $20,000; Interest Expense, $3,200; Dividends (declared and paid), $5,000; Wages Expense, $8,000, and Interest Payable, $2,100. Required: 1. Prepare the closing entries for Aulani at December 31. If an amount box does not require an entry, leave it blank. Dec. 31 Sales Revenue Retained Earnings Dec. 31 Retained Earnings Cost of Goods Sold Interest Expense Wages Expense Dec. 31 Retained Earnings Dividends Feedback Check My Work 000 00 00 2. How does the closing process affect Aulani's retained earnings?
19. A company's December 31 work sheet for the current period appears below. Based on the information provided, what is net income for the current period? Cash Accounts Receivable Prepaid insurance Supplies Unadjusted Trial Balance Debit 1,975 1,000 1,600 330 Credit Adjustments Debit Credit 875 650 115
Jones Supply Services paid $350 cash, the amount owed from the previous month, to a materials supplier. Which of the following accounts decrease? A. Office Supplies B. Accounts Payable C. Accounts Receivable D. Retained Earnings
Hankik Enterprises Worksheet For the Year Ended July 31, 2015 Adjusted Trial Trial Balance Adjustments Description Balance Debit Debit Credit Credit Debit Credit Cash 36 Prepaid Insurance 12 Fees Receivable 56 Supplies 12 Equipment 60 Accum. Depreciation 12 Uncarned Revenue 20 Accounts Payable 32 Wages Payable Ramon Hikik, Capital 84 Ramon Hikik, 4 Drawing Service Revenue 80 Advertising Expense 28 Wage Expense 20 Insurance Expense Supplies Expense Depreciation Expense 228 Totals 228
Use the following information for problems 3 to 5 LO P2 (Algo) [The following information applies to the questions displayed below.] As of December 31 of the current year, Armani Company's records show the following. Cash $12,000 11,000 Accounts receivable Supplies 8,000 Equipment 7,000 Accounts payable 15,000 Common stock 16,000 Retained earnings, Dec. 31, prior year Retained earnings, Dec. 31, current 5,000 7,000 year Dividends 15,000 Consulting revenue 37,000 Rental revenue 26,000 Salaries expense 22,000 Rent expense 14,000 Selling and administrative expenses 10,000
The following income statement was prepared by an office clerk hired for July. As the accounting supervisor, you recognize that it is incorrect and prepare a corrected multi-step income statement. Demo Sales Income Statement For Month Ended July 31, 2820 Sales $562,140 37,000 18,000 $617,140 Accounts receivable Unearned sales Net sales Operating expenses: Accumulated depreciation, equipment Advertising expense Cost of goods sold Depreciation expense, equipment Insurance expense Interest expense Interest payable Jen Conway, withdrawals Office supplies Prepaid insurance Prepaid rent Rent expense Salaries payable Sales discounts $ 30, 000 14,000 394, 000 3,00e 2,500 1,700 250 14,000 9,080 14,000 25,000 5,000 175, 000 2,80e 690,250 $ 73,110 Loss DEMO SALES Income Statement For Month Ended July 31, 2020 Operating expenses:
Required information Use the following information for the Problems below. (Algo) [The following information applies to the questions displayed below.] The following year-end information is taken from the December 31 adjusted trial balance and other records of Leone Company. Advertising expense Depreciation expense-Office equipment Depreciation expense-Selling equipment Depreciation expense-Factory equipment Raw materials purchases (all direct materials) Maintenance expense-Factory equipment Factory utilities Direct labor Indirect labor Office salaries expense Rent expense-Office space Rent expense-Selling space Rent expense-Factory building Sales salaries expense Problem 14-2A (Algo) Classifying costs LO C2 Costs $ 30,000 9,000 10,000 52,000 1. Advertising expense 2. Depreciation expense-Office equipment 620,000 36,600 33,400 408,000 61,000 37,000 22,000 53,000 Required: Identify each cost as either a product cost or a period cost. If a product cost, classify it as direct materials,…
The following items were selected from among the transactions completed by Sherwood Co. during the current year:Required:1. Journalize the transactions. Refer to the Chart of Accounts for exact wording of account titles. Assume a 360-day year. Round your answers to the nearest dollar.2. Journalize the adjusting entry for each of the following accrued expenses at the end of the current year (refer to the Chart of Accounts for exact wording of account titles):a. Product warranty cost, $29,000.b. Interest on the nine remaining notes owed to Greenwood Co. Assume a 360-day year.