The following is the adjusted trial balance data for Elm Connections as of December 31, 2019. A.
Question:
The following is the adjusted trial balance data for Elm Connections as of December 31, 2019.
A. Use the data provided to compute net sales for 2019.
B. Compute the gross margin for 2019.
C. Compute the gross profit margin ratio (rounded to nearest hundredth)
D. Prepare a simple income statement for the year ended December 31, 2019.
E. Prepare a multi-step income statement for the year ended December 31, 2019.
Cash Accounts Receivable Buildings Merchandise Inventory Accounts Payable Common Stock Sales Interest Revenue Rent Revenue Sales Salaries Expense Office Supplies Expense Sales Discounts ELM CONNECTIONS Adjusted Trial Balance Year Ended December 31, 2019 Debit Interest Expense Sales Returns and Allowances Cost of Goods Sold Rent Expense Depreciation Expense: Office Equipment Insurance Expense Advertising Expense Totals $596,823 34,672 350,000 263,909 25,180 5,942 99,651 3,566 110,285 180,630 15,485 9,000 9,324 19,193 $1,723,660 Credit $ 502,690 432,975 603,427 94,568 90,000 $1,723,660
Step by Step Answer:
A To compute net sales for 2019 we need to subtract sales returns and allowances from sales Net Sale...View the full answer
Principles Of Accounting Volume 1 Financial Accounting
ISBN: 9781593995942
1st Edition
Authors: Mitchell Franklin, Patty Graybeal, Dixon Cooper, OpenStax
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A trial balance is a list of all the general ledger accounts contained in the ledger of a business. This list will contain the name of each nominal ledger account and the value of that nominal ledger balance. Each nominal ledger account will hold either a debit balance or a credit balance
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