The following balances are from the beginning of the year for Dezie Company as of December...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
The following balances are from the beginning of the year for Dezie Company as of December 31, 20X0: Cash Accounts Receivable 125,000 40,000 Allowance for Doubtful Accts 2,000 Inventory 45,000 (5 Jumbles) Prepaid Rent 3,000 Equipment 240,000 Accumulated Depreciation 80,000 Security Deposit 10,000 Accounts Payable 92,000 Wages Payable 5,000 Interest Payable 5,000 Taxes Payable 8,000 Note Payable 100,000 Common Stock ($1 each) 60,000 Retained Earnings 111,000 For 20X1: Received all beginning accounts receivable and paid all beginning accounts payable Bought six Jumbles at $20,000 each, 20% down, rest next year Sold eight Jumbles, $40,000 each, 60% down, 40% next year Paid cash wages of $40,000 and at the end of the year owed employees $2,000 Paid utilities of $12,000 and advertising of $10,000. On June 30st, they paid the annual payment of $10,000 principal plus interest on the Note Payable. The note was taken out on June 30th of the previous year. (Can you figure out the interest rate?) On August 1, purchased a new wagon for delivery of the Jumbles for $20,000. On December 1, they declared and paid a dividend of $7,000. On December 31, the company borrowed $75,000 from the bank and used the proceeds to purchase a piece of land. The note is payable in five years. The interest at 6% is payable annually on December 31 of each year starting in 20X1. During the year they paid $7,000 in rent (rent is $1,000 per month) The company uses the FIFO inventory flow assumption The depreciation for the year was $40,000 The company estimates that 4% of its accounts receivable will never be collected. During the year the company wrote off $1,500 in bad accounts. The tax rate is 30%. During the year the company paid all of last year's taxes and 50% of 20X1 taxes. Prepare Journal Entries, T-Accounts, and Financial Statements for the year 20X1. The following balances are from the beginning of the year for Dezie Company as of December 31, 20X0: Cash Accounts Receivable 125,000 40,000 Allowance for Doubtful Accts 2,000 Inventory 45,000 (5 Jumbles) Prepaid Rent 3,000 Equipment 240,000 Accumulated Depreciation 80,000 Security Deposit 10,000 Accounts Payable 92,000 Wages Payable 5,000 Interest Payable 5,000 Taxes Payable 8,000 Note Payable 100,000 Common Stock ($1 each) 60,000 Retained Earnings 111,000 For 20X1: Received all beginning accounts receivable and paid all beginning accounts payable Bought six Jumbles at $20,000 each, 20% down, rest next year Sold eight Jumbles, $40,000 each, 60% down, 40% next year Paid cash wages of $40,000 and at the end of the year owed employees $2,000 Paid utilities of $12,000 and advertising of $10,000. On June 30st, they paid the annual payment of $10,000 principal plus interest on the Note Payable. The note was taken out on June 30th of the previous year. (Can you figure out the interest rate?) On August 1, purchased a new wagon for delivery of the Jumbles for $20,000. On December 1, they declared and paid a dividend of $7,000. On December 31, the company borrowed $75,000 from the bank and used the proceeds to purchase a piece of land. The note is payable in five years. The interest at 6% is payable annually on December 31 of each year starting in 20X1. During the year they paid $7,000 in rent (rent is $1,000 per month) The company uses the FIFO inventory flow assumption The depreciation for the year was $40,000 The company estimates that 4% of its accounts receivable will never be collected. During the year the company wrote off $1,500 in bad accounts. The tax rate is 30%. During the year the company paid all of last year's taxes and 50% of 20X1 taxes. Prepare Journal Entries, T-Accounts, and Financial Statements for the year 20X1.
Expert Answer:
Related Book For
Using Financial Accounting Information The Alternative to Debits and Credits
ISBN: 978-1133161646
7th Edition
Authors: Gary A. Porter, Curtis L. Norton
Posted Date:
Students also viewed these accounting questions
-
The data analyst wanted to study the probability scenarios based on the processing time. Compute and comment the probability based on the scenario below. (Assume normal distribution). (1) P(X < 40)...
-
Resolve the force F1 into components acting along the u and v axes and determine the magnitudes of the components. Given: F1 = 250 N F2 = 150 N θ1 = 30 deg θ2 = 30 deg θ3 = 105 deg...
-
Write an essay on the significance of workflow systems to e-business, illustrating your answer with examples of organizations of your choice.
-
Referring to Example 15-12, suppose the flask with the wood tied to the bottom is placed on a scale. At some point the string breaks and the wood rises to the surface where it floats. (a) When the...
-
Generate the full set of clauses for the map-coloring graph in Figure 8.1. Resolve these clauses to prove that a three-coloring solution does exist for the graph. data from figure 8.1 A B C D
-
Here are comparative statement data for Duke Company and Lord Company, two competitors. All balance sheet data are as of December 31, 2017, and December 31, 2016. Instructions (a) Prepare a vertical...
-
You need cash of $15,100 to be received in 3 years, discounted at 7% compounded annually. Indicate the inputs to be entered into the financial calculator keys. What is the present value of the amount...
-
Question 1) Answer Qustin 1 Given the following JFET amplifier with loss = 12 mA and VGs(m)--5 V. Check reference list A to get the values of VDD, R, RD, Rs, and R. values. (7 pts) Find lixo). (4...
-
Implement a generic version of the selection sort algorithm.
-
Write a method public static Stream characters(String str) that yields a stream of strings of length 1 that contains the characters of the string str. Use the codePoints method and skip code points...
-
In Java, a program with a graphical user interface has more than one thread. Explain how you can prove that.
-
Write a toolkit that helps a cryptographer decrypt a file that was encrypted using a monoalphabet cipher. A monoalphabet cipher encrypts each character separately. Examples are the Caesar cipher and...
-
Modify the implementation of the MinHeap class so that the parent and child index positions and elements are computed directly, without calling helper methods.
-
Monitoring Employee E-mails: Is there any room for Privacy?" As an employee, how would you feel about having your employer monitor your e-mail? An employer, why would you choose to monitor employee...
-
Differentiate the following terms/concepts: a. Personality types and money attitudes b. Planners and avoiders c. Moderating and adapting to biases d. "Perfectible judges" and "incorrigible judges"
-
Following is a residual plot produced by MINITAB. Was it appropriate to compute the least-squares regression line? Explain. Residual -2 -3 1 2 3 5.0 5.5 09 6.0 Residuals Versus x 6.5 X 7.0 7.5 8.0
-
Following is a residual plot produced by MINITAB. Was it appropriate to compute the least-squares regression line? Explain. 50 50 Residuals Versus x 40 40 30 20 20 Residual 10 10 0 -10 -20 20 + -3 -2...
-
The following table presents the ages of the last 10 U.S. presidents and their wives on the first day of their presidencies. a. Compute the least-squares regression line for predicting the presidents...
Study smarter with the SolutionInn App