The following account balances are provided for eXacto Reproductions, Inc. at Ma
ID: 2330889 • Letter: T
Question
The following account balances are provided for eXacto Reproductions, Inc. at March 31, 2018 Balance Accounts payable Accounts receivable Note payable (due October 1, 2018) Cash Commissions payable Common stock (no par) Equipment (net) Interest payable Interest receivable Short-term investments Prepaid expenses Retained earnings S 84,000 70,000 202,000 50,000 46,000 250,000 74.850 150 38,000 24,000 84,700 40,000 30,000 Unearned revenue All April 2018 transactions follovw I. Provided services on account for a total of $355,000 2. Customers redeemed gift cards for $21,000 in services. 3. Used $28,000 in supplies. . Sold an investment costing S18,000 for $22,000 cash. 5. Paid accounts payable of $77,000 6. Collected $356,000 on customer accounts 7. Issued common stock for $125,000 8. Purchased a $75,000 printer in exchange for a note payable due on March 1, 2020 9. Paid $203,000 in salaries including a S13,000 advance on a May salary 10. Paid $86,000 in commissions including March commissions 11. Received a $1,500 bill for March utilities 12. Paid $2,350 for April and May radio advertisements. 13. Received an interest payment of S300 including the interest accrued at 3/31/2018. 14. Paid $9,000 for April rent. 15. Paid income tax expense of $33,000Explanation / Answer
3) being no opening Balance Sheet provided, so Cash Flow Statement is not possible as it shows movement of cash from opening balance sheet to the closing balance sheet.
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1) Classified Balance Sheet: Assets: Cash 142950 AR 69000 ST Investment 20000 Prepaid exp 24000 Supplies 12000 WIP 28000 Adva salary 13000 Current assets 308950 Equipments 549850 Total Assets 858800 Liabilities & SH Eq.: AP 8500 NP 277000 interest payable 300 Current liabili 285800 Unearned revenue 30000 CS 375000 RE 84700 Net Income 83300 SH Equity 543000 Total Liabilities 858800