Problem 1 - The following is the Bravo Unlimited adjusted Trail Balance.
|
Bravo Unlimited Adjusted Trial Balance December 31, 2016
|
|
Account Title
|
Debit
|
Credit
|
|
Cash
|
$88,450
|
|
|
Accounts Receivable
|
331,860
|
|
|
Supplies
|
11,255
|
|
|
Prepaid Rent
|
5,500
|
|
|
Equipment
|
295,285
|
|
|
Accumulated Depreciation
|
|
$236,260
|
|
Accounts Payable
|
|
72,555
|
|
Wages Payable
|
|
10,000
|
|
Capital Stock
|
|
220,000
|
|
Retained Earnings
|
|
111,145
|
|
Service Revenue
|
|
898,105
|
|
Interest Income
|
|
1,500
|
|
Rent Expense
|
66,000
|
|
|
Wages Expense
|
537,260
|
|
|
Supplies Expense
|
42,520
|
|
|
Depreciation Expense
|
164,595
|
|
|
Dividends
|
6,840
|
________
|
|
Totals
|
$1,549,565
|
$1,549,565
|
What are the dollar values that will appear in Bravo Unlimited year end financial statements for the following line items: (For any Net Loss the dollar value must be enclosed in brackets and do not use a minus sign.)
1. Total Current Assets
2. Total Quick Assets
3. Total Current Liabilities
4. Net Income or (Net Loss)
5. Retain Earnings
Problem 2 - Alpha Company uses the periodic inventory system for purchase & sales of merchandise. The value of inventory is based on periodic system. On January 1, 2016, beginning inventory consisted of 400 units of widgets costing $10 each. Alpha prepares monthly income statements. The following events occurred during the month of Jan.:
|
Date
|
Activity
|
|
a.
|
Jan. 3
|
Purchased on account 350 widgets for $11 each.
|
|
b.
|
Jan. 5
|
Sold on account 500 widgets for $30 each.
|
|
c.
|
Jan. 10
|
Purchased on account 650 widgets for $12 each.
|
|
d.
|
Jan. 12
|
Returned 50 widgets received from Jan. 10 purchase.
|
|
e.
|
Jan. 13
|
Paid for the purchases made on Jan. 3.
|
|
f.
|
Jan. 21
|
Sold on account 550 widgets for $30 each.
|
|
g.
|
Jan. 25
|
Received payment for the sale made on Jan. 5.
|
|
h.
|
Jan. 26
|
Paid for the purchases made on Jan. 10.
|
|
i.
|
Jan. 31
|
Received payment for the sale made on Jan. 21.
|
Using the FIFO method, determine the dollar values following for the month of January:
1. Ending Inventory
2. Cost of Goods Available for Sale
3. Cost of Goods Sold
Problem 3 - Alpha Company uses the periodic inventory system for purchase & sales of merchandise. The value of inventory is based on periodic system. On January 1, 2016, beginning inventory consisted of 350 units of widgets costing $10 each. Alpha prepares monthly income statements. The following events occurred during the month of Jan.:
|
Date
|
Activity
|
|
a.
|
Jan. 3
|
Purchased on account 350 widgets for $11 each.
|
|
b.
|
Jan. 5
|
Sold on account 400 widgets for $30 each.
|
|
c.
|
Jan. 10
|
Purchased on account 625 widgets for $12 each.
|
|
d.
|
Jan. 12
|
Returned 50 widgets received from Jan. 10 purchase.
|
|
e.
|
Jan. 13
|
Paid for the purchases made on Jan. 3.
|
|
f.
|
Jan. 21
|
Sold on account 550 widgets for $30 each.
|
|
g.
|
Jan. 25
|
Received payment for the sale made on Jan. 5.
|
|
h.
|
Jan. 26
|
Paid for the purchases made on Jan. 10.
|
|
i.
|
Jan. 31
|
Received payment for the sale made on Jan. 21.
|
Using the Weighted Average method, determine the dollar values following for the month of January: (Enter only whole dollar values.)
1. Ending Inventory
2. Cost of Goods Available for Sale
3. Cost of Goods Sold