!Required informationP6-4 (Algo) Preparing an Income Statement and Computing the Receivables Turnover Ratio withDiscounts, Returns, and Bad Debts LO6-1, 6-2, 6-3[The following information applies to the questions displayed below.]Tungsten Company, Incorporated, sells heavy construction equipment. There are 11,500 shares of capital stockoutstanding. The annual fiscal period ends on December 31. The following condensed trial balance was taken from thegeneral ledger on December 31, Current Year:Account TitlesCashAccounts receivable (net)Inventory, endingOperational assets.Accumulated depreciationLiabilitiesCapital stockRetained earnings, January 1, CurrentYearSales revenueSales returns and allowancesCost of goods soldSelling expenseAdministrative expenseBad debt expenseSales discountsIncome tax expenseTotalsP6-4 Part 1Debit$34,40016,40052,30040,5007,40078,50015,800Credit$18,30025,50072,10016,180148,80017,0002,9007,4008,280$280,880 $280, 880Required:1. Beginning with the amount for net sales, prepare an income statement (showing both gross profit and income from operations).Note: Round "Earnings per share" to 2 decimal places. P6-4 Part 1Required:1. Beginning with the amount for net sales, prepare an income statement (showing both gross profit and income from operations).Note: Round "Earnings per share" to 2 decimal places.TUNGSTEN COMPANY, INCORPORATEDIncome StatementFor the Year Ended December 31, Current YearSelling, general, and administrative expenses:Total selling, general, and administrative expensesEarnings per share on capital stock outstanding

Income statement is prepared in order to calculate sales, cost of goods sold and net income…

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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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PLEASE DONT CUT OFF THE ANSWER AND USE THE EXACT ACCOUNT TITLES On October 31, Pidgeon Stones Inc., a marble contractor, issued for cash 70,300 shares of $10 par common stock at $15, and on November 19, it issued for cash 18,450 shares of preferred stock, $45 par at $56. Required: a. Journalize the entries for October 31 and November 19. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered. b. What is the total amount invested (total paid-in capital) by all stockholders as of November 19? CHART OF ACCOUNTS Pidgeon Stones Inc. General Ledger ASSETS 110 Cash 120 Accounts Receivable 131 Notes Receivable 132 Interest Receivable 141 Merchandise Inventory 145 Office Supplies 151 Prepaid Insurance 181 Land 193…
The following accounts, with the balances indicated, appear in the ledger of Garcon Co. on December 1 of the current year: The following transactions relating to payroll, payroll deductions, and payroll taxes occurred dur ing December:Dec 2. Issued Chedc No. 410 for $3,400 to Jay Bank to purchase U5. savings bonds for employees.2. Issued Check Na 411 to Jay Bank for $27,046 in payment of $9,273 of social security tax, $2,318 of Medicare tax, and $15,455 of employees'federal income tax due. Dec. 13. Journalized the entry to record the biweekly payroll. A summary of the payroll record follows: 13. Issued Check No. 420 in payment of the net amount of the biweekly payroll.13. Journalized the entry to record payroll taxes on employees' eamings of December 13: social security tax, $4,632; Medicare tax, $1,158; state unemployment tax, $350; federal unemployment tax. $125.16. Issued Check No. 424 to Jay Bank for $27,020, in payment of $9,264 of social security tax. $2316 of Medicare tax. and…
Nexis Corp. issues 1,900 shares of $12 par value common stock at $17 per share. When the transaction is recorded, what credit entry or entries are made?
Clothing Frontiers began operations on January 1 and engages in the following transactions during the year related to stockholders' equity. January 1 Issues 700 shares of common stock for $34 per share. April 1 Issues 110 additional shares of common stock for $38 per share. 2. Record the transactions, assuming Clothing Frontiers has either $1 par value or $1 stated value common stock. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 1 2 Record the issuance of 700 shares of common stock for $34 per share. Note: Enter debits before credits. Date General Journal Debit Credit January 01
On July 1, Culver Corporation purchases 500 shares of its $5 par value common stock for the treasury at a cash price of $10 per share. On September 1, it sells 250 shares of the treasury stock for cash at $12 per share. Journalize the two treasury stock transactions. (List all debit entries before credit entries. Record journal entries in the order presented in the problem. Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date > Account Titles and Explanation Debit Credit
Biscayne Bay Water Inc. bottles and distributes spring water. On May 14 of the current year, Biscayne Bay Water Inc. reacquired 2,700 shares of its common stock at $53 per share. On September 6, Biscayne Bay Water Inc. sold 2,100 of the reacquired shares at $57 per share. The remaining 600 shares were sold at $50 per share on November 30. a. Journalize the transactions of May 14, September 6, and November 30. If an amount box does not require an entry, leave it blank. May 14 fill in the blank 5100910d601a073_2 fill in the blank 5100910d601a073_3 fill in the blank 5100910d601a073_5 fill in the blank 5100910d601a073_6 Sept. 6 Cash fill in the blank 5100910d601a073_8 fill in the blank 5100910d601a073_9 fill in the blank 5100910d601a073_11 fill in the blank 5100910d601a073_12 fill in the blank 5100910d601a073_14 fill in the blank 5100910d601a073_15 Nov. 30 fill in the blank 5100910d601a073_17 fill in the blank 5100910d601a073_18 fill in the…
Tarrant Corporation was organized this year to operate a financial consulting business. The charter authorized the following stock: common stock, $18 par value, 12,700 shares authorized. During the year, the following selected transactions were completed: a. Sold 6,300 shares of common stock for cash at $36 per share. b. Sold 2,300 shares of common stock for cash at $41 per share. c. At year-end, the company reported net income of $7,200. No dividends were declared. E11-5 Part 2 2. Prepare the stockholders' equity section of the balance sheet at the end of the year. Note: Amounts to be deducted should be indicated by a minus sign. Stockholders' equity Contributed capital: TARRANT CORPORATION Balance Sheet (Partial) At December 31, This year Total contributed capital Total stockholders' equity $ 0 0
On February 1 of the current year, Motor, Inc., issued 600 shares of $3 par common stock to an attorney in return for preparing and filing the articles of incorporation. The value of the services is $8,700. Journalize this transaction. If an amount box does not require an entry, leave it blank. Feb. 1
Give journal entries for the following: On February 1, Your Company’s board authorized 250,000 shares and issued 12,200 shares of $1 par common stock for $170,800 cash. On February 1, Your Company received $142,500 as prepayment for 15 months of consulting services that will be provided evenly over the contract, beginning in October. On March 1, Your Company paid $36,000 in cash as prepayment for 1 year of rent on an office building, beginning in March. On May 1, Your Company’s board authorized 200,000 shares of $50 par, cumulative preferred stock with a 4% coupon rate. It issued 2,000 shares for $100,000 On June 1, Your Company purchased merchandise inventory costing $350,000 on credit, 2/10,n/30. Your Company paid for the inventory on day seven. Your Company repurchased 450 shares of its own common stock from an unhappy shareholder for $15 per share. Your Company…
On May 10, Ayayai Corp. issues 1,000 shares of $4 par value common stock for cash at $11 per share. Journalize the issuance of the stock. (Credit account titles are automatically indented when 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.) Date Account Titles and Explanation Debit Credit May 10
The articles of incorporation for Peahen Corp. authorize the company to issue 100,000 $6 preferred shares and 500,000 common shares. During first year of operations, Peahen Corp. completed the following selected transactions: (Click the icon to view the transactions.) Required 1. Record the transactions in the general journal. 2. Prepare the shareholders' equity section of the Peahen Corp. balance sheet at November 30, 2020. Requirement 1. Record the transactions in the journal. (Record debits first, then credits. Explanations are not required.) Dec. 4, 2019: Issued 6,000 common shares to the consultants who formed the corporation, receiving cash of $180,000. Date Dec. Journal Entry Accounts Debit Credit
Marigold Inc. has outstanding 10,600 shares of $10 par value common stock. On July 1, 2020, Marigold reacquired 105 shares at $87 per share. On September 1, Marigold reissued 62 shares at $91 per share. On November 1, Marigold reissued 43 shares at $84 per share. Prepare Marigold's journal entries to record these transactions using the cost method. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation Debit Credit 11/1/20

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