The following trial balance has been prepared for you for the year ended September 30, 2022, including any necessary journal entries. Cash Accounts Receivable Allowance for Doubtful Accounts Inventory Equipment Equipment - Accumulated Amortization Accounts Payable Share Capital Retained Earnings Dividends paid Sales revenue Cost of goods sold Amortization Expense Cassidy's Concrete Ltd. Trial Balance May 31, 2023 Utility Expenses Rent Expense Wage Expense Questions: $ $ $ $ DR $ $ $ $ $ 72,330 48,210 96,350 410,000 $ 25,000 108,200 6,500 13,280 8,400 64,350 $ $ $ $ $ $ CR 6,300 63,000 15,970 500 333,910 432,940 $ 852,620 $ 852,620 1. Prepare the multi-step income statement, statement of retained earnings and balance sheet (using the classified method) for the year-ending September 30, 2022. 2. Calculate the gross profit percentage to one decimal point. 3. If opening inventory was $63,950, calculate the inventory turnover for 2023. Round to the nearest single decimal point.
The Effect Of Prepaid Taxes On Assets And Liabilities
Many businesses estimate tax liability and make payments throughout the year (often quarterly). When a company overestimates its tax liability, this results in the business paying a prepaid tax. Prepaid taxes will be reversed within one year but can result in prepaid assets and liabilities.
Final Accounts
Financial accounting is one of the branches of accounting in which the transactions arising in the business over a particular period are recorded.
Ledger Posting
A ledger is an account that provides information on all the transactions that have taken place during a particular period. It is also known as General Ledger. For example, your bank account statement is a general ledger that gives information about the amount paid/debited or received/ credited from your bank account over some time.
Trial Balance and Final Accounts
In accounting we start with recording transaction with journal entries then we make separate ledger account for each type of transaction. It is very necessary to check and verify that the transaction transferred to ledgers from the journal are accurately recorded or not. Trial balance helps in this. Trial balance helps to check the accuracy of posting the ledger accounts. It helps the accountant to assist in preparing final accounts. It also helps the accountant to check whether all the debits and credits of items are recorded and posted accurately. Like in a balance sheet debit and credit side should be equal, similarly in trial balance debit balance and credit balance should tally.
Adjustment Entries
At the end of every accounting period Adjustment Entries are made in order to adjust the accounts precisely replicate the expenses and revenue of the current period. It is also known as end of period adjustment. It can also be referred as financial reporting that corrects the errors made previously in the accounting period. The basic characteristics of every adjustment entry is that it affects at least one real account and one nominal account.
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