Chapter 4-7 In class assignment- submitted in Canvas

1. The companys bank statement shows a cash balance of $15,000. Comparing the company's cash records with the monthly bank statement reveals several additional cash transactions such as checks outstanding of $4,500, deposits outstanding of $5,000, NSF check of $250, and service fee of $60 and a $1,000 note receivable collected by the bank. Calculate the correct balance of cash: $__________

2. At December 31, the company had account balances in Accounts Receivable of $50,000 and in Allowance for Uncollectible Accounts (AUA) of $600 (credit) before any adjustments. An analysis of the companys December 31 accounts receivable suggests that the allowance for uncollectible accounts should be 6% of accounts receivable. After the adjusting entry, what is the balance in the AUA account? $__________

3. The company had $25,000 of inventory on December 31, Year 2. During the year they purchased $650,000 and cost of goods was $665,000. What was the companys beginning inventory for Year 2? $_________

Interest revenue	$2,000	Sales revenue	$120,000
Income tax expense	8,200	Cost of goods sold	62,000
Selling expenses	1,800	Salaries expense	17,500
Utilities expense	900	Rent expense	1,200

4. Use the following to calculate Net income: $_______
5. The company purchased new equipment at the beginning of year 1 for $125,000. Management estimated they would use the equipment for 5 years and when they were done using it they estimated the residual value would be $25,000. What is the equipments book valueat the end of year 3 assuming the company uses straight-linedeprecation? $_______