Ivanhoe Corporation's trial balance at December 31, 2022, is presented below. All 2022 transactions have been recorded
Question:
Ivanhoe Corporation's trial balance at December 31, 2022, is presented below. All 2022 transactions have been recorded except for the items described below. Need Instructions for all
Cash | 27,540 | |
Accounts Receivable | 55,080 | |
Inventory | 24,516 | |
Land | 70,200 | |
Buildings | 102,600 | |
Equipment | 43,200 | |
Allowance for Doubtful Accounts | 486 | |
Accumulated Depreciation-Buildings | 32,400 | |
Accumulated Depreciation-Equipment | 15,552 | |
Accounts Payable | 20,844 | |
Interest Payable | 0 | |
Dividends Payable | 0 | |
Unearned Rent Revenue | 8,640 | |
Bonds Payable (10%) | 54,000 | |
Preferred Stock ($20) | 0 | |
Paid- in Capital in Excess of Par-Preferred Stock | 0 | |
Common Stock ($10) | 32,000 | |
Paid-in-Capital in Excess of Par-Common Stock | 6,480 | |
Retained Earnings | 81,054 |
Treasury Stock 0
Cash Dividends 0
Sales Revenue 615,600
Rent Revenue 0
Bad Debt Expense 0
Interest Expense 0
Cost of Goods Sold 432,000
Depreciation Expense 0
Other Operating Expenses 42,120
Salaries and Wages Expense 70,200
Total 867,456 867,456
Unrecorded transactions and adjustments:
1. On January 1, 2022, Ivanhoe issued 1,080 shares of $20 par, 6% preferred stock for $23,760.
2.On January 1, 2022, Ivanhoe also issued 1,080 shares of common stock for 24,840,
3. Ivanhoe reacquired 324 shares of its common stock on July 1,2022, for $49 per share.
4. On December 31, 2022, Ivanhoe declared the annual cash dividend on the preferred stock and a $1.50 per share dividend on the outstanding common stock, all payable on January 15, 2023.
5. Ivanhoe estimates that uncollectible accounts receivable at year-end are 5,508.
6. The building is being depreciated using the straight-line method over 10 years. The salvage value is 4,320.
7. The equipment is being depreciated using the straight-line method over 10 years. The salvage value is 4,320.
8. The unearned rent was collected on October 1, 2022. It was receipt of 4 months rent in advance (October 1, 2022 through January 31, 2023).
9. The 10% bonds payable pay interest every January 1. The interest for the 12 months ended December 31, 2022, has not been paid or recorded.
(a) Prepare journal entries for the transactions and adjustments listed above.
(b) Prepare an updated December 31, 2022, trial balance, reflecting the journal entries in part (a)
(c) Prepare a multiple-step income statement for the year ending December 31, 2022.
(d) Prepare a retained earnings statement for the year ending December 31, 2022
(e) Prepare a classified balance sheet as of December 31, 2022
Accounting Principles
ISBN: 9781119707110
14th Edition
Authors: Jerry J. Weygandt, Paul D. Kimmel, Jill E. Mitchell