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Chrome File Edit View History Bookmarks Profiles Tab Window lifa1.lyryx.com/student-servlets/Case StudyServlet?ccid=11751 Help 2 Case Study 10 (Part 4) Lyryx Learning Inc a) The following bank statement was received. Prepare a bank reconciliation for April: Bank Statement To: Callaho Inc. April 30, 2024 Cheques/Charges/Debits Deposits/Credits #2972 01/Apr NSF Cheque #2973 06/Apr 5,200 44,976 01/Apr Balance 1,465,700.50 31,400 1,491,900.50 1,446,924.50 06/Apr 658,000 788,924.50 07/Apr 311,640 1,100,564.50 10/Apr #2974 15/Apr 51,000 15/Apr 19,250 1,119,814.50 1,019 1,069,833.50 #2975 15/Apr 27,000 1,042,833.50 #2977 19/Apr 9,600 1,033,233.50 24/Apr 155,820 1,189,053.50 #2978 25/Apr 784,000 405,053.50 #2980 30/Apr Service Charge 30/Apr 51,000 900 354,053.50 353,153.50 Additional Information: The NSF cheque was received in March from Oppong Corporation for a sale dated March 15. Callaho Inc. Bank Reconciliation April 30, 2024 Bank statement balance Add: Book balance Add: 74% Sat 10:10 PM a 000 FL d P Scree 2023-0. Deduct: Deduct: Outstanding cheques: Scre 2023-0. Adjusted bank balance Adjusted book balance b) Prepare the appropriate adjusting entries on April 30, 2024. Hint: Some additional information is provided below but where els might you look to find details relevant to preparing the adjusting entries? =idont lyryx Case Study Part 2 Solution Lyryx Learning Inc 000 Name: Jordan Cyr 000 Date: 2023-10-28 18:42 Part 2 [5 points] Print Printer Friendly Callaho Inc.'s April journal entries have been posted to the general ledger for you as shown below. This is similar to how an accounting software package posts automatically. Cash Date 31/Mar Opening balance_ Explanation Account No. 101 F Debit Credit Balance 1,465,700.50 1/Apr Paid cash for rent_ 1/Apr Sold all store equipment for cash 6/Apr Issued cheque for purchase 7/Apr Received customer payment 10/Apr Issued shares 15/Apr Collection of interest 15/Apr Paid cash for salaries 15/Apr Declared and paid dividends. 18/Apr Paid invoice for merchandise. 19/Apr Paid invoice for office furniture 24/Apr Received customer payment_ 25/Apr Paid invoice for merchandise 29/Apr Paid utility bill GJ1 5,200 1,460,500.50 GJ1 31,400 1,491,900.50 GJ1 658,000 833,900.50 GJ1 311,640 1,145,540.50 GJ1 19,250 1,164,790.50 GJ1 1,019 1,165,809.50 GJ1 51,000 1,114,809.50 GJ2 27,000 1,087,809.50 GJ2 640,000 447,809.50 GJ2 9,600 438,209.50 GJ2 1,558,200 1,996,409.50 GJ2 784,000 1,212,409.50 GJ2 30/Apr Paid cash for salaries GJ2 14,500 1,197,909.50 51,000 1,146,909.50 Date 31/Mar Opening balance Accounts Receivable Explanation Account No. 106 F Debit Credit Balance 224,300 2/Apr Stake Technology Inc.: Sold merchandise on credit 7/Apr Stake Technology Inc.: Received customer payment_ 15/Apr Stake Technology Inc.: Sold merchandise on credit 20/Apr Holden Corp.: Wrote off uncollectible account 22/Apr Gulf Corp.: Sold merchandise on credit GJ1 318,000 542,300 GJ1 318,000 224,300 GJ2 1,590,000 1,814,300 GJ2 224,300 1,590,000 GJ2 975,200 2,565,200 0790.0 24/Apr Stake Technology Inc.: Received customer payment_ GJ2 1,590,000 975,200 Date Allowance for Doubtful Accounts Explanation Account No. 107 F Debit Credit Balance 31/Mar Opening balance_ 20/Apr Wrote off uncollectible account GJ2 224,300 35,888 -188,412 Interest Receivable Account No. 109 Date 31/Mar Opening balance Explanation F Debit Credit Balance 96.50 15/Apr Collection of interest GJ1 96.50 0 https://lifal.lyryx.com/student-servlets/CaseStudyServlet?ccid=11751 1/4 10/28/23, 8:42 PM 10/28/23, 7:26 PM Case Study Part 2 Solution ~ Lyryx Learning Inc 2 Notes Receivable Account No. 111 F Debit Credit Date 31/Mar Opening balance_ Explanation Balance 33,000 15/Apr Collection of interest GJ1 826 32,174 Date 31/Mar Opening balance_ 2/Apr Sold merchandise on credit 7/Apr Purchased merchandise. 15/Apr Sold merchandise on credit Merchandise Inventory Explanation Account No. 119 F Debit Credit Balance 1,360,000 GJ1 120,000 1,240,000 GJ1 640,000 1,880,000 GJ2 600,000 1,280,000 20/Apr Purchased merchandise on credit GJ2 800,000 2,080,000 22/Apr Sold merchandise on credit GJ2 368,000 1,712,000 25/Apr Paid invoice for merchandise_ GJ2 encont 16,000 1,696,000 30/Apr Purchased merchandise inventory on credit GJ2 559,300 2,255,300 Prepaid Insurance Account No. 128 Date 31/Mar Opening balance. Explanation F Debit Credit Balance 35,000 Account No. 157 Office Furniture Date Explanation F Debit Credit Balance 10/Apr Purchased furniture on credit GJ1 12,000 12,000 13/Apr Received a credit memorandum. GJ1 2,400 9,600 Date Store Equipment Explanation Account No. 165 F Debit Credit 31/Mar Opening balance_ 1/Apr Sold all store equipment for cash GJ1 82,000 Balance 82,000 0 Date Accumulated Depreciation, Store Equipment Explanation Account No. 166 F Debit Credit 31/Mar Opening balance, 1/Apr Sold all store equipment for cash. GJ1 50,840 Balance 50,840 0 Date 31/Mar Opening balance Accounts Payable Explanation Account No. 201 F Debit Credit Balance 658,000 6/Apr Weber Inc.: Issued cheque for purchase. 7/Apr Velor Inc.: Purchased merchandise 10/Apr Global Filter Corp.: Purchased furniture on credit_ 13/Apr Global Filter Corp.: Received a credit memorandum 18/Apr Velor Inc.: Paid invoice for merchandise 19/Apr Global Filter Corp.: Paid invoice for office furniture 20/Apr Weber Inc.: Purchased merchandise on credit 25/Apr Weber Inc.: Paid invoice for merchandise GJ1 658,000 0 GJ1 640,000 640,000 GJ1 12,000 652,000 GJ1 2,400 649,600 GJ2 640,000 9,600 GJ2 9,600 0 GJ2 800,000 800,000 GJ2 800,000 0 30/Apr Allarco Inc.: Purchased merchandise inventory on credit GJ2 559,300 559,300 Utilities Payable Account No. 212 Date Explanation F Debit Credit 31/Mar Opening balance. 29/Apr Paid utility bill GJ2 14,500 Balance 14,500 0 Common Shares https://lifal.lyryx.com/student-servlets/CaseStudyServlet?ccid=11751 Account No. 307 2/4 Print 10/28/23, 7:26 PM Date Case Study Part 2 Solution Lyryx Learning Inc 31/Mar Opening balance_ 10/Apr Issued shares Explanation F Debit Credit Balance 99,500 GJ1 19,250 118,750 Retained Earnings Explanation Account No. 318 F Debit Credit Balance 2,341,369 Date 31/Mar Opening balance Date Cash Dividends Declared Explanation Account No. 319 F 15/Apr Declared and paid dividends. Debit GJ2 27,000 Credit Balance 27,000 Date 15/Apr Collection of interest Interest Earned Explanation Account No. 409 F Debit GJ1 Credit 96.50 Balance 96.50 Sales Account No. 413 Date 2/Apr Sold merchandise on credit_ 15/Apr Sold merchandise on credit 22/Apr Sold merchandise on credit_ Explanation F Debit Credit Balance GJ1 GJ2 318,000 1,590,000 318,000 1,908,000 GJ2 975,200 2,883,200 Date 7/Apr Received customer payment_ 24/Apr Received customer payment Sales Discounts Explanation Account No. 415 F Debit GJ1 6,360 GJ2 31,800 Credit Balance 6,360 38,160 Date Cost Of Goods Sold Explanation Account No. 502 2/Apr Sold merchandise on credit 15/Apr Sold merchandise on credit 22/Apr Sold merchandise on credit F Debit GJ1 120,000 GJ2 600,000 Credit Balance 120,000 720,000 GJ2 368,000 1,088,000 Date Office Salaries Expense Explanation Account No. 620 F Debit Credit Balance 15/Apr Paid cash for salaries 30/Apr Paid cash for salaries GJ1 13,000 13,000 GJ2 13,000 26,000 Date Sales Salaries Expense Explanation Account No. 621 F Debit Credit Balance 15/Apr Paid cash for salaries 30/Apr Paid cash for salaries GJ1 38,000 38,000 GJ2 38,000 76,000 Date Rent expense, office space Explanation Account No. 641 F 1/Apr Paid cash for rent GJ1 Debit 3,120 Credit Balance 3,120 Date Rent expense, selling space Explanation Account No. 642 1/Apr Paid cash for rent F Debit GJ1 2,080 Credit Balance 2,080 Gain on Sale of Property, Plant and Equipment Assets Date Explanation 1/Apr Sold all store equipment for cash F Debit GJ1 Credit 240 Account No. 7081 Balance 240 https://lifa1.lyryx.com/student-servlets/CaseStudyServlet?ccid=11751 3/4 yryx Name: Jordan Cyr Date: 2023-10-28 20:39 Case Study Part 3 Solution ~Lyryx Learning Inc Part 3 [45 points] a) Prepare the unadjusted trial balance at April 30, 2024. NOTE: Do not include '0' balance accounts Callaho Inc. Unadjusted Trial Balance April 30, 2024 Cash Accounts receivable Allowance for doubtful accounts_ Notes receivable Merchandise inventory. Prepaid insurance Office furniture Debit 1,146,909.50 975,200 188,412 32,174 2,255,300 Credit 35,000 9,600 Accounts payable. 559,300 Common shares 118,750 Retained earnings.. 2,341,369 Cash dividends declared_ 27,000 Interest earned 96.50 Sales 2,883,200 Sales discounts 38,160 Cost of goods sold, 1,088,000 Office salaries expense. 26,000 Sales salaries expense. Rent expense, office space Rent expense, selling space, 76,000 3,120 2,080 Gain on sale of property, plant and equipment assets 240 Totals 5,902,955.50 5,902,955.50 b) What is the next step in the accounting cycle? The correct answer is: Prepare bank reconciliation and adjusting entries https://lifal.lyryx.com/student-servlets/CaseStudyServlet?ccid=11751 Print Printer Friendly Chrome File Edit View History Bookmarks Profiles Tab Window lifa1.lyryx.com/student-servlets/Case StudyServlet?ccid=11751 Help 2 Case Study 10 (Part 4) Lyryx Learning Inc a) The following bank statement was received. Prepare a bank reconciliation for April: Bank Statement To: Callaho Inc. April 30, 2024 Cheques/Charges/Debits Deposits/Credits #2972 01/Apr NSF Cheque #2973 06/Apr 5,200 44,976 01/Apr Balance 1,465,700.50 31,400 1,491,900.50 1,446,924.50 06/Apr 658,000 788,924.50 07/Apr 311,640 1,100,564.50 10/Apr #2974 15/Apr 51,000 15/Apr 19,250 1,119,814.50 1,019 1,069,833.50 #2975 15/Apr 27,000 1,042,833.50 #2977 19/Apr 9,600 1,033,233.50 24/Apr 155,820 1,189,053.50 #2978 25/Apr 784,000 405,053.50 #2980 30/Apr Service Charge 30/Apr 51,000 900 354,053.50 353,153.50 Additional Information: The NSF cheque was received in March from Oppong Corporation for a sale dated March 15. Callaho Inc. Bank Reconciliation April 30, 2024 Bank statement balance Add: Book balance Add: 74% Sat 10:10 PM a 000 FL d P Scree 2023-0. Deduct: Deduct: Outstanding cheques: Scre 2023-0. Adjusted bank balance Adjusted book balance b) Prepare the appropriate adjusting entries on April 30, 2024. Hint: Some additional information is provided below but where els might you look to find details relevant to preparing the adjusting entries? =idont lyryx Case Study Part 2 Solution Lyryx Learning Inc 000 Name: Jordan Cyr 000 Date: 2023-10-28 18:42 Part 2 [5 points] Print Printer Friendly Callaho Inc.'s April journal entries have been posted to the general ledger for you as shown below. This is similar to how an accounting software package posts automatically. Cash Date 31/Mar Opening balance_ Explanation Account No. 101 F Debit Credit Balance 1,465,700.50 1/Apr Paid cash for rent_ 1/Apr Sold all store equipment for cash 6/Apr Issued cheque for purchase 7/Apr Received customer payment 10/Apr Issued shares 15/Apr Collection of interest 15/Apr Paid cash for salaries 15/Apr Declared and paid dividends. 18/Apr Paid invoice for merchandise. 19/Apr Paid invoice for office furniture 24/Apr Received customer payment_ 25/Apr Paid invoice for merchandise 29/Apr Paid utility bill GJ1 5,200 1,460,500.50 GJ1 31,400 1,491,900.50 GJ1 658,000 833,900.50 GJ1 311,640 1,145,540.50 GJ1 19,250 1,164,790.50 GJ1 1,019 1,165,809.50 GJ1 51,000 1,114,809.50 GJ2 27,000 1,087,809.50 GJ2 640,000 447,809.50 GJ2 9,600 438,209.50 GJ2 1,558,200 1,996,409.50 GJ2 784,000 1,212,409.50 GJ2 30/Apr Paid cash for salaries GJ2 14,500 1,197,909.50 51,000 1,146,909.50 Date 31/Mar Opening balance Accounts Receivable Explanation Account No. 106 F Debit Credit Balance 224,300 2/Apr Stake Technology Inc.: Sold merchandise on credit 7/Apr Stake Technology Inc.: Received customer payment_ 15/Apr Stake Technology Inc.: Sold merchandise on credit 20/Apr Holden Corp.: Wrote off uncollectible account 22/Apr Gulf Corp.: Sold merchandise on credit GJ1 318,000 542,300 GJ1 318,000 224,300 GJ2 1,590,000 1,814,300 GJ2 224,300 1,590,000 GJ2 975,200 2,565,200 0790.0 24/Apr Stake Technology Inc.: Received customer payment_ GJ2 1,590,000 975,200 Date Allowance for Doubtful Accounts Explanation Account No. 107 F Debit Credit Balance 31/Mar Opening balance_ 20/Apr Wrote off uncollectible account GJ2 224,300 35,888 -188,412 Interest Receivable Account No. 109 Date 31/Mar Opening balance Explanation F Debit Credit Balance 96.50 15/Apr Collection of interest GJ1 96.50 0 https://lifal.lyryx.com/student-servlets/CaseStudyServlet?ccid=11751 1/4 10/28/23, 8:42 PM 10/28/23, 7:26 PM Case Study Part 2 Solution ~ Lyryx Learning Inc 2 Notes Receivable Account No. 111 F Debit Credit Date 31/Mar Opening balance_ Explanation Balance 33,000 15/Apr Collection of interest GJ1 826 32,174 Date 31/Mar Opening balance_ 2/Apr Sold merchandise on credit 7/Apr Purchased merchandise. 15/Apr Sold merchandise on credit Merchandise Inventory Explanation Account No. 119 F Debit Credit Balance 1,360,000 GJ1 120,000 1,240,000 GJ1 640,000 1,880,000 GJ2 600,000 1,280,000 20/Apr Purchased merchandise on credit GJ2 800,000 2,080,000 22/Apr Sold merchandise on credit GJ2 368,000 1,712,000 25/Apr Paid invoice for merchandise_ GJ2 encont 16,000 1,696,000 30/Apr Purchased merchandise inventory on credit GJ2 559,300 2,255,300 Prepaid Insurance Account No. 128 Date 31/Mar Opening balance. Explanation F Debit Credit Balance 35,000 Account No. 157 Office Furniture Date Explanation F Debit Credit Balance 10/Apr Purchased furniture on credit GJ1 12,000 12,000 13/Apr Received a credit memorandum. GJ1 2,400 9,600 Date Store Equipment Explanation Account No. 165 F Debit Credit 31/Mar Opening balance_ 1/Apr Sold all store equipment for cash GJ1 82,000 Balance 82,000 0 Date Accumulated Depreciation, Store Equipment Explanation Account No. 166 F Debit Credit 31/Mar Opening balance, 1/Apr Sold all store equipment for cash. GJ1 50,840 Balance 50,840 0 Date 31/Mar Opening balance Accounts Payable Explanation Account No. 201 F Debit Credit Balance 658,000 6/Apr Weber Inc.: Issued cheque for purchase. 7/Apr Velor Inc.: Purchased merchandise 10/Apr Global Filter Corp.: Purchased furniture on credit_ 13/Apr Global Filter Corp.: Received a credit memorandum 18/Apr Velor Inc.: Paid invoice for merchandise 19/Apr Global Filter Corp.: Paid invoice for office furniture 20/Apr Weber Inc.: Purchased merchandise on credit 25/Apr Weber Inc.: Paid invoice for merchandise GJ1 658,000 0 GJ1 640,000 640,000 GJ1 12,000 652,000 GJ1 2,400 649,600 GJ2 640,000 9,600 GJ2 9,600 0 GJ2 800,000 800,000 GJ2 800,000 0 30/Apr Allarco Inc.: Purchased merchandise inventory on credit GJ2 559,300 559,300 Utilities Payable Account No. 212 Date Explanation F Debit Credit 31/Mar Opening balance. 29/Apr Paid utility bill GJ2 14,500 Balance 14,500 0 Common Shares https://lifal.lyryx.com/student-servlets/CaseStudyServlet?ccid=11751 Account No. 307 2/4 Print 10/28/23, 7:26 PM Date Case Study Part 2 Solution Lyryx Learning Inc 31/Mar Opening balance_ 10/Apr Issued shares Explanation F Debit Credit Balance 99,500 GJ1 19,250 118,750 Retained Earnings Explanation Account No. 318 F Debit Credit Balance 2,341,369 Date 31/Mar Opening balance Date Cash Dividends Declared Explanation Account No. 319 F 15/Apr Declared and paid dividends. Debit GJ2 27,000 Credit Balance 27,000 Date 15/Apr Collection of interest Interest Earned Explanation Account No. 409 F Debit GJ1 Credit 96.50 Balance 96.50 Sales Account No. 413 Date 2/Apr Sold merchandise on credit_ 15/Apr Sold merchandise on credit 22/Apr Sold merchandise on credit_ Explanation F Debit Credit Balance GJ1 GJ2 318,000 1,590,000 318,000 1,908,000 GJ2 975,200 2,883,200 Date 7/Apr Received customer payment_ 24/Apr Received customer payment Sales Discounts Explanation Account No. 415 F Debit GJ1 6,360 GJ2 31,800 Credit Balance 6,360 38,160 Date Cost Of Goods Sold Explanation Account No. 502 2/Apr Sold merchandise on credit 15/Apr Sold merchandise on credit 22/Apr Sold merchandise on credit F Debit GJ1 120,000 GJ2 600,000 Credit Balance 120,000 720,000 GJ2 368,000 1,088,000 Date Office Salaries Expense Explanation Account No. 620 F Debit Credit Balance 15/Apr Paid cash for salaries 30/Apr Paid cash for salaries GJ1 13,000 13,000 GJ2 13,000 26,000 Date Sales Salaries Expense Explanation Account No. 621 F Debit Credit Balance 15/Apr Paid cash for salaries 30/Apr Paid cash for salaries GJ1 38,000 38,000 GJ2 38,000 76,000 Date Rent expense, office space Explanation Account No. 641 F 1/Apr Paid cash for rent GJ1 Debit 3,120 Credit Balance 3,120 Date Rent expense, selling space Explanation Account No. 642 1/Apr Paid cash for rent F Debit GJ1 2,080 Credit Balance 2,080 Gain on Sale of Property, Plant and Equipment Assets Date Explanation 1/Apr Sold all store equipment for cash F Debit GJ1 Credit 240 Account No. 7081 Balance 240 https://lifa1.lyryx.com/student-servlets/CaseStudyServlet?ccid=11751 3/4 yryx Name: Jordan Cyr Date: 2023-10-28 20:39 Case Study Part 3 Solution ~Lyryx Learning Inc Part 3 [45 points] a) Prepare the unadjusted trial balance at April 30, 2024. NOTE: Do not include '0' balance accounts Callaho Inc. Unadjusted Trial Balance April 30, 2024 Cash Accounts receivable Allowance for doubtful accounts_ Notes receivable Merchandise inventory. Prepaid insurance Office furniture Debit 1,146,909.50 975,200 188,412 32,174 2,255,300 Credit 35,000 9,600 Accounts payable. 559,300 Common shares 118,750 Retained earnings.. 2,341,369 Cash dividends declared_ 27,000 Interest earned 96.50 Sales 2,883,200 Sales discounts 38,160 Cost of goods sold, 1,088,000 Office salaries expense. 26,000 Sales salaries expense. Rent expense, office space Rent expense, selling space, 76,000 3,120 2,080 Gain on sale of property, plant and equipment assets 240 Totals 5,902,955.50 5,902,955.50 b) What is the next step in the accounting cycle? The correct answer is: Prepare bank reconciliation and adjusting entries https://lifal.lyryx.com/student-servlets/CaseStudyServlet?ccid=11751 Print Printer Friendly