ASSIGNMENT 1 (5 MARKS) PROBLEM 1 (MARKS 2 Juarcz Inc. has bccn opcrating for three ycars. At Dcccmber 31, 2017 the accounting records reflcctcd the following: Cash 38,000 Notes receivable 2,000 Accounts receivable 6,000 Equipment 96,000 Factory building Inventory 48,000 180,000 Intangibles Accounts Payable Investment 4,000 6,000 Long-Term Notes Payable Contributed Capital 92,000 30,000 Accrued liabilities payable 4,000 180,000 Retained Earnings 60,000 Notes payable 14,000 During the year 2018, the company had the following summarired activities: a. Purchased short term investment for 18,000 cash b. Lent 14,000 to a supplier who signed a 2 years note c. Purchased equipment that cost 36,000; paid 12,000 cash and signeda one year not for the balance. d. Hired a new president at the end of the year. The contract was for 170,000 per year c. Issucd an additional 2,000 sharcs of capital stock for 24,000 cash f. Borrowed 27,000 cash from a local bank. Payable in 3 Months g. Purchased a patent for 6,000 cash. h. Built an addition to the factory for 50,000; paid 18.000 cash and singed a 3 years note for the rest. i. Returned defcctive equipment to the manufacturer and received a cash refund of 2,000. Instructions 1. Record the above transactions in the GJ and post them to the GL 2. Prepare the balance sheet at 31 December, 2018. PROBLEM 2 MARK 1) The trial balance of JAS manufacturing company shows the following assets at the end of December 2018 Cash: $380,000 Prepaid insurance: $82,000 Raw materials: $670,000 Equipment: $2.200,000 Accounts rcccivable: $800,000 Work-in-process (WIP): $400,000 Finished goods: $150,000 Patents: $220,000 Instructions Prepare current assets section of the balance sheet of JAS Company PROBLEM 3 (MARK 2) Larson's Accounting Company has the following account balances: Cash, $10,000; Accounts Receivable, $2.000: Prepaid Rent $1,500: Supplies, $850; Equipment, $6,000; Trucks, $15,000; Accounts Payable, $2,500, Notes payable, $5,000; Common Stock, $20,000, Retained Earnings $7,850. Business transactions during December are presented as follows Larson paid the suppliers $500 Supplies were purchased on account, S650 Larson purchased short term investment for $2,000 Sold an old computed (listed under equipment's) for $100 cash. Sold 4,000 additional shares of stock for 20,000 cash. Purchascd new computers that cost 9,000 for 4,000 cash and thc rcst on account Instructions: 1. Record the above transactions in the GJ and post them to the GL 2. Prepare the balance sheet. ASSIGNMENT 1 (5 MARKS) PROBLEM 1 (MARKS 2 Juarcz Inc. has bccn opcrating for three ycars. At Dcccmber 31, 2017 the accounting records reflcctcd the following: Cash 38,000 Notes receivable 2,000 Accounts receivable 6,000 Equipment 96,000 Factory building Inventory 48,000 180,000 Intangibles Accounts Payable Investment 4,000 6,000 Long-Term Notes Payable Contributed Capital 92,000 30,000 Accrued liabilities payable 4,000 180,000 Retained Earnings 60,000 Notes payable 14,000 During the year 2018, the company had the following summarired activities: a. Purchased short term investment for 18,000 cash b. Lent 14,000 to a supplier who signed a 2 years note c. Purchased equipment that cost 36,000; paid 12,000 cash and signeda one year not for the balance. d. Hired a new president at the end of the year. The contract was for 170,000 per year c. Issucd an additional 2,000 sharcs of capital stock for 24,000 cash f. Borrowed 27,000 cash from a local bank. Payable in 3 Months g. Purchased a patent for 6,000 cash. h. Built an addition to the factory for 50,000; paid 18.000 cash and singed a 3 years note for the rest. i. Returned defcctive equipment to the manufacturer and received a cash refund of 2,000. Instructions 1. Record the above transactions in the GJ and post them to the GL 2. Prepare the balance sheet at 31 December, 2018. PROBLEM 2 MARK 1) The trial balance of JAS manufacturing company shows the following assets at the end of December 2018 Cash: $380,000 Prepaid insurance: $82,000 Raw materials: $670,000 Equipment: $2.200,000 Accounts rcccivable: $800,000 Work-in-process (WIP): $400,000 Finished goods: $150,000 Patents: $220,000 Instructions Prepare current assets section of the balance sheet of JAS Company PROBLEM 3 (MARK 2) Larson's Accounting Company has the following account balances: Cash, $10,000; Accounts Receivable, $2.000: Prepaid Rent $1,500: Supplies, $850; Equipment, $6,000; Trucks, $15,000; Accounts Payable, $2,500, Notes payable, $5,000; Common Stock, $20,000, Retained Earnings $7,850. Business transactions during December are presented as follows Larson paid the suppliers $500 Supplies were purchased on account, S650 Larson purchased short term investment for $2,000 Sold an old computed (listed under equipment's) for $100 cash. Sold 4,000 additional shares of stock for 20,000 cash. Purchascd new computers that cost 9,000 for 4,000 cash and thc rcst on account Instructions: 1. Record the above transactions in the GJ and post them to the GL 2. Prepare the balance sheet