6:56 X Intro to Acctg test... @ E . K-Natty Co.,ltd. Has following financial statement at the beginning of 2019. 101 102 103 K-Natty Co.,ltd. Statement of Financial Position At 31st December 2018 Unit: USD Account name Account no. Debit Credit Cash 920,500 Receivables 574,500 Inventory 774,003 Land 104 600,000 Equipment 105 134,000 Accumulated Depreciation Equipment 106 13.400 Accounts Payable 201 500,000 Notes Payable 116,000 Common Stock 301 1,700,000 Retained Earnings 303 673,603 3,003,003 3,003,003 "The equipment has depreciation rate at 10% per year Land Improvement 107: Accumulated Depreciation-Machine 108: Accumulated Depreciation-Land improvement 109: Sales 401: Cost of goods sold 501: Depreciation 502: Loss on disposal of asset 503 202 During 2019, these following transaction took place: Jan 1, Purchased a land at a price of $190,000 by issuing $190,000 Note payable which tums maturity on 31 December 2020, with interest rate of 12%. The company spent the transfer fee on the amount of $10,000, by cash. Feb 1, Paying the construction of a fence in the amount of $50,000. The fence is expected to have a life-time benefit of 10 years and has a residual value of 10,000 baht. The depreciation method is straight-line. March 10, sale 30% of its' beginning balance for the amount of $900,000, on credit. The firm adopted FIFO, using perpetual inventory method. April 1. paid all accounts payable by issuing 12% note, duration for 6 months. May 1. paid $300,000 as dividend for it's shareholder June 1, Invested in WUIC co.,ltd's 1,000 bonds at par value of $10 each. Market price of the share was $10 each. The shares held for trading. June 10, received receivable payment from March 10 transaction. July 1, buy machinery in the gross amount of $250,000 with 20% trade discount. The machine is expected to be used in the production department for 50,000 hours. After that, the residual value will be $50,000. The company depreciates the machine according to working hours. Oct 1. paid initial and interest of note issued on April, 1. Nov 1. Beginning equipment was no longer used. Dec 31, Adjusting entries, the company spent 2,000 hour in the production department Market value of WUIC co.,ltd was $14 each. Required: Journal entries for the transaction during 2019. T-Account Trial balance at 31st December 2019 Financial Statements Edit in Google Docs 1. Journal entries 6:56 X Intro to Acctg test... @ E . K-Natty Co.,ltd. Has following financial statement at the beginning of 2019. 101 102 103 K-Natty Co.,ltd. Statement of Financial Position At 31st December 2018 Unit: USD Account name Account no. Debit Credit Cash 920,500 Receivables 574,500 Inventory 774,003 Land 104 600,000 Equipment 105 134,000 Accumulated Depreciation Equipment 106 13.400 Accounts Payable 201 500,000 Notes Payable 116,000 Common Stock 301 1,700,000 Retained Earnings 303 673,603 3,003,003 3,003,003 "The equipment has depreciation rate at 10% per year Land Improvement 107: Accumulated Depreciation-Machine 108: Accumulated Depreciation-Land improvement 109: Sales 401: Cost of goods sold 501: Depreciation 502: Loss on disposal of asset 503 202 During 2019, these following transaction took place: Jan 1, Purchased a land at a price of $190,000 by issuing $190,000 Note payable which tums maturity on 31 December 2020, with interest rate of 12%. The company spent the transfer fee on the amount of $10,000, by cash. Feb 1, Paying the construction of a fence in the amount of $50,000. The fence is expected to have a life-time benefit of 10 years and has a residual value of 10,000 baht. The depreciation method is straight-line. March 10, sale 30% of its' beginning balance for the amount of $900,000, on credit. The firm adopted FIFO, using perpetual inventory method. April 1. paid all accounts payable by issuing 12% note, duration for 6 months. May 1. paid $300,000 as dividend for it's shareholder June 1, Invested in WUIC co.,ltd's 1,000 bonds at par value of $10 each. Market price of the share was $10 each. The shares held for trading. June 10, received receivable payment from March 10 transaction. July 1, buy machinery in the gross amount of $250,000 with 20% trade discount. The machine is expected to be used in the production department for 50,000 hours. After that, the residual value will be $50,000. The company depreciates the machine according to working hours. Oct 1. paid initial and interest of note issued on April, 1. Nov 1. Beginning equipment was no longer used. Dec 31, Adjusting entries, the company spent 2,000 hour in the production department Market value of WUIC co.,ltd was $14 each. Required: Journal entries for the transaction during 2019. T-Account Trial balance at 31st December 2019 Financial Statements Edit in Google Docs 1. Journal entries