Acc 1

 

There are two homework problems this week.  The first is below and the second one is on the second tab at the bottom left of the screen
               
Below you will see an unadjusted trial balance run at year end followed by information needed to make adjusting entries.
               
Baltimore Glass Company        
Trial Balance        
December 31, 2015        
               
Acct.              
No. Account Title Debit Credit        
101 Cash           88,450          
110 Accounts Receivable        195,613          
120 Merchandise Inventory        256,250          
125 Supplies on Hand             3,252          
130 Prepaid Insurance             3,500          
131 Prepaid Rent             7,500          
150 Equipment        175,285          
160 Accumulated Depreciation             24,260        
202 Accounts Payable             72,555        
210 Wages Payable                                
301 Capital Stock          220,000        
302 Retained Earnings, January 1          211,144        
401 Sales          998,250        
405 Sales Returns and Allowances             5,145          
410 Interest Income               1,500        
500 Purchases        560,880          
501 Purchases Discounts               4,080        
502 Purchases Returns and Allowances               1,200        
505 Freight In             4,580          
520 Advertising Expense             1,000          
530 Sales Salaries Expense           88,600          
532 Supplies Expense                                
540 Office Salaries Expense        124,500          
550 Utilities Expense             8,594          
555 Insurance Expense                                
560 Professional Fees Expense             3,000          
570 Depreciation Expense                                
580 Interest Expense             6,840          
        1,532,989     1,532,989        
               
Adjusting items:              
1. The remaining prepaid insurance at year end is $3,000          
2. A physical inventory shows supplies on hand of $2,000 at year end          
3. The prepaid rent of $7,500 covers January 2016 rent             
4. Depreciation on equipment is $12,000 for the year            
5. At year end sales salaries of $3,000 were earned but unpaid          
6. At year end office salaries of $4,000 were earned but unpaid          
7. Inventory items with a cost of $35,400 were received on the last day of the year but no invoice was received yet.  
8. A physical count of inventory shows a value of $219,100.  The periodic inventory method is used.    
               
Do the following requirements below.  Create proper headings for each statement.      
1. Record adjusting journal entries from information above.  It is possible that an item may not require an entry  
2. Prepare an adjusted trial balance including the adjusting entries made        
3. Prepare a classified income statement.  Supplies is a sales expense.  January 1, 2015 merchandise inventory was 256,250.
4. Prepare a statement of retained earnings            
5. Prepare a classified balance sheet            
6. Prepare closing journal entries            
               

 

Compute the ending inventory using LIFO for both the  periodic and the perpetual methods below:  
                 
     units   price           
01-Jan Beginning inventory            3,500  $                     3.00          
14-Jan Bought            1,500  $                     3.15          
05-Feb Sold            1,000            
22-Feb Bought            2,000  $                     3.20          
07-Mar Sold            1,500            
15-Mar Sold            2,000            
05-Apr Bought            1,000  $                     3.25          
10-Apr Sold                800            
12-Apr Sold                800            
22-Apr Sold                500            
04-May Sold                600            
10-May Bought            2,000  $                     3.30          
25-May Sold                500            
                 
LIFO Periodic Inventory (scroll down to see Perpetual input area)