Singleton Sports Products, which uses the perpetual inventory system, has the following account balances (in alphabetical order) on August 31, 2023:

Additional data at August 31, 2023:

a. A physical count of items showed $14,200 of supplies were on hand.

b. An inventory count showed inventory on hand at August 31, 2023, of $247,400.

c. The equipment is expected to last 5 years and to have no value at the end of this time.

d. Unearned sales of $9,600 were earned by August 31, 2023.

Required

1. Record all adjusting and closing entries required on August 31, 2023.

2. Prepare the multi-step income statement and statement of owner’s equity for the year ended August 31, 2023, and the classified balance sheet in report format as at August 31, 2023.

Transcribed Image Text:

Accounts Payable....... Accounts Receivable.. Accumulated Amortization-Equipment. Cash.............. C. Singleton, Capital......... C. Singleton, Withdrawals........ Cost of Goods Sold............. Equipment.......... Interest Earned........ Inventory......... Operating Expenses. Sales Discounts........ Sales Returns and Allowances Sales Revenue ........ Supplies........... Unearned Sales Revenue.. $ 61,500 64,700 124,000 14,400 305,100 62,400 789,900 336,000 2,600 248,400 541,200 36,200 48,600 1,640,000 27,600 36,200