19 nces Alison and Chuck Renny began operations of their furniture repair shop (Lazy Sofa Furniture,...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
19 nces Alison and Chuck Renny began operations of their furniture repair shop (Lazy Sofa Furniture, Incorporated) on January 1, 2020. The annual reporting period ends December 31. The trial balance on January 1, 2021, follows (amounts are rounded to thousands of dollars to simplify). Account Titles Debit $ 5 Credit Cash Accounts Receivable Supplies Equipment Accumulated Depreciation Software Accumulated Amortization Accounts Payable Notes Payable (short-term) Salaries and Wages Payable Interest Payable Income Tax Payable Deferred Revenue Common Stock Retained Earnings Service Revenue Supplies Expense Depreciation Expense Salaries and Wages Expense Amortization Expense Interest Expense Income Tax Expense Totals 4 2 6 12 4 8 0 15 $ 29 $ 29 Transactions during 2021 (summarized in thousands of dollars) follow: a. Borrowed $13 cash on July 1, 2021, signing a six-month note payable. b. Purchased equipment for $15 cash on July 2. c. Issued additional shares of common stock on July 3 for $5. d. Purchased additional equipment on August 4, $3 cash. e. Received supplies on account on supplies on September 5 for future use, $10. f. On December 6, recorded revenues in the amount of $57, including $9 on credit and $48 received in cash. g. Paid salaries and wages expenses on December 7, $27. h. Collected accounts receivable on December 8. $8. 10 9 of 9 Book n. Collected accounts receivable on December 8, 8. i. Paid accounts payable on December 9, $11. J. Received a $4 deposit on December 10 for work to start January 15, 2022. Data for adjusting journal entries on December 31: k. Amortization for 2021, $4. 1. Supplies of $4 were counted on December 31, 2021. m. Depreciation for 2021, $2. n. Accrued interest on notes payable of $3. o. Salaries and wages earned but not yet paid, $3. p. Income tax for 2021 was $5 and will be paid in 2022. b Print Required: 9-a. How much net income did Lazy Sofa Furniture, Incorporated, generate during 2021? 9-b. Is the company financed primarily by liabilities or stockholders' equity? erences Req 9A Req 98 How much net income did Lazy Sofa Furniture, Incorporated, generate during 2021? (Enter your answer in thousands of dollars.) Net Income Req9A Req 98> Check w 19 nces Alison and Chuck Renny began operations of their furniture repair shop (Lazy Sofa Furniture, Incorporated) on January 1, 2020. The annual reporting period ends December 31. The trial balance on January 1, 2021, follows (amounts are rounded to thousands of dollars to simplify). Account Titles Debit $ 5 Credit Cash Accounts Receivable Supplies Equipment Accumulated Depreciation Software Accumulated Amortization Accounts Payable Notes Payable (short-term) Salaries and Wages Payable Interest Payable Income Tax Payable Deferred Revenue Common Stock Retained Earnings Service Revenue Supplies Expense Depreciation Expense Salaries and Wages Expense Amortization Expense Interest Expense Income Tax Expense Totals 4 2 6 12 4 8 0 15 $ 29 $ 29 Transactions during 2021 (summarized in thousands of dollars) follow: a. Borrowed $13 cash on July 1, 2021, signing a six-month note payable. b. Purchased equipment for $15 cash on July 2. c. Issued additional shares of common stock on July 3 for $5. d. Purchased additional equipment on August 4, $3 cash. e. Received supplies on account on supplies on September 5 for future use, $10. f. On December 6, recorded revenues in the amount of $57, including $9 on credit and $48 received in cash. g. Paid salaries and wages expenses on December 7, $27. h. Collected accounts receivable on December 8. $8. 10 9 of 9 Book n. Collected accounts receivable on December 8, 8. i. Paid accounts payable on December 9, $11. J. Received a $4 deposit on December 10 for work to start January 15, 2022. Data for adjusting journal entries on December 31: k. Amortization for 2021, $4. 1. Supplies of $4 were counted on December 31, 2021. m. Depreciation for 2021, $2. n. Accrued interest on notes payable of $3. o. Salaries and wages earned but not yet paid, $3. p. Income tax for 2021 was $5 and will be paid in 2022. b Print Required: 9-a. How much net income did Lazy Sofa Furniture, Incorporated, generate during 2021? 9-b. Is the company financed primarily by liabilities or stockholders' equity? erences Req 9A Req 98 How much net income did Lazy Sofa Furniture, Incorporated, generate during 2021? (Enter your answer in thousands of dollars.) Net Income Req9A Req 98> Check w
Expert Answer:
Posted Date:
Students also viewed these accounting questions
-
1. Consider a household that has $300 to spend on back-to- school shoes. They visit one of the discount shoe stores where shoes are buy one pair for $50, get the second half off. a. Draw the budget...
-
What do we mean when we talk about convergence of physical and logical security? Why might this be important to an organization?
-
Understand protecting privacy in the context of cloud computing and transborder data flow in business.
-
The group concerned with establishing standards for flowchart symbols is ( _______________ ) (a) ASCII (b) EBCDIC (c) ANSI (d) AICPA
-
As the name implies, indoor air pollution deals with air contamination in enclosed spaces such as homes, offices, work areas, etc. Suppose that you are designing a ventilation system for a restaurant...
-
4. Rover on Mars. A robotic rover (initial temperature 300 K maintained by internal heating) was landed on Mars to probe the surface condition. The average surface temperature on Mars is 220 K....
-
20); print"> What is the output of the following code: define('FOO', 10) Sarray = array(10=> FOO "FOO => 20); print array[Sarray[FOO]]* $array["FOO"];
-
Johnny and Leon are adult partners in a business selling sporting goods. The partnership records, excluding GST , for the current income year disclose the following: Receipts ($): 400,000 New sales...
-
The following budget for August, 2020 was reported for the MAINTENANCE DEPARTMENT of YESYES Manufacturing Company: YESYES MANUFACTURING COMPANY Maintenance Department Cost Budget for August 2020...
-
You are a UK bank and some time ago you agreed the interest rate and sum of a loan for forward dates from the UK's Central Bank, the Bank of England (BoE is default free). Under this agreement you...
-
A cash flow for a pass-through typically is based on some prepayment benchmark Option. Describe the benchmark Option. What does a conditional prepayment rate of 8% mean? What does 150 PSA mean? How...
-
2. What would happen if Archer-Lock and Tabaczynski did not hedge at all? No hedging means full exposure to currency risk. The company could potentially lose all of their money if USD depreciated....
-
Punch Manufacturing Corporation owns 80 percent of the common shares of Short Retail Stores. The companies balance sheets as of December 31, 20X4, were as follows: Assets Cash. Accounts Receivable....
-
Why should you not model a decision variable as a random variable with a probability distribution?
-
The monopolist, like the perfect competitor, will maximize profits at that output where _________ = MC.
-
A barrier to entry is control over an important _________, such as Alcoas control over bauxite in the 1940s and De Beerss control over much of the worlds output of diamonds.
-
If at a monopolists profit-maximizing price and output, the price is less than _________, the monopolist is generating economic losses.
Study smarter with the SolutionInn App