New Tab M Your question was answer MGaw Hill Connect Deep xCh11 GL Problem C ezt
ID: 2518476 • Letter: N
Question
New Tab M Your question was answer MGaw Hill Connect Deep xCh11 GL Problem C ezto.mheducation.com/hm.tpx?-0.4492297787613049 1523491976665 American Laser, Inc, reported the following account balances on January 1 S 5,000 30.000 90,000 Addnional Paid-in Capital Allowance for Doubtful Accounts Bonds Payable Common Stock, 10,000 shares of $1 par Notes Payable (longHerm) Retained Eamings Treasury Stock 247,000 10,000 10,000 0,000 20,000 The company enbered into the following transactions during the year Jan. 15 Issued 5,000 shares of $1 par common stock for $50.000 cash. Feb. 15 Reacquired 3,000 shares of $1 par common stock into treasury for $33,000 cash Mar. 15 Reissued 2.000 shares of treasury stock for $24,000 cash. Aug. 15 Reissued 600 shares of treasury stock for $4,600 cash Sept. 15 Declared Oct 1 Issued 100, 10-year, $1,000 bonds, at a quoted bond price of 101 Oct. 3 Wrote of a $500 baiance due from a customer who went bankrupt Requirementeneral General Ledger Trial Balance Balance Sheet General Journal tab Prepare the journal entries to record each transaction. Review the accounts as shown in the General Ledger and Trial Balance tabs General Ledger tab- Each journal entry is posted automatically to the general ledger. Use the drop-down button to view the unadjusted, adjusted, or post-closing balances in the General Ledger Trial Balance tab . You may view ether the unadjusted, adjusted, or post-closing trial balance by choosing from the drop-down Balance Sheet tab- Prepare the noncurrent liabilities and stockholders' equity sections of the balance sheet at December 31. At the end of the year, the adjusted net income was $20,000 tab - After preparing the financial statements, record the closing entry for Dividends. 888, 3 5 6Explanation / Answer
Answer a. Journal Entry Date Particulars Dr. Amt. Cr. Amt. 15-Jan Cash 50,000.00 Common Stock 5,000.00 5,000 Shares X $1 Additional Paid in Capital 45,000.00 5,000 Shares X $9 (record the issue of Common Stock) 15-Feb Treasury Stock 33,000.00 Cash 33,000.00 (Record the purchase of Common Stock) 15-Mar Cash 24,000.00 Treasury Stock 22,000.00 $33,000 X 2,000 / 3,000 Additional Paid in Capital - Treasury Stock 2,000.00 $24,000 - $22,000 (record the issue of Treasury Stock) 15-Aug Cash 4,600.00 Additional Paid in Capital 2,000.00 $6,600 - $4,600 Treasury Stock 6,600.00 $33,000 X 600 / 3,000 (record the issue of Treasury Stock) 15-Sep Cash Dividends 14,600.00 14,600 shares X $1 Cash Dividends Payable 14,600.00 14,600 shares X $1 (record the dividends declared) 1-Oct Cash 101,000.00 100 Nos X $1,000 X 101% Bonds Payable 100,000.00 100 Nos X $1,000 X 100% Premium on issue of Bonds Payable 1,000.00 100 Nos X $1,000 X 1% (record the issue of Bonds) 3-Oct Allowance fo Doubtful Accounts 500.00 Accounts Receivable 500.00 (record the amount written off) 31-Dec Retained Earnings 14,600.00 Cash Dividends 14,600.00 (record the closing entry for dividends) Answer b. Cash Accounts Receivable Allowance For Doubtful Accounts Beg. Bal. 10000 33,000.00 15-Feb Beg. Bal. 5000 500.00 3-Oct Beg. Bal. 2000 15-Jan 50,000.00 3-Oct 500.00 15-Mar 24,000.00 15-Aug 4,600.00 1-Oct 101,000.00 End. Bal 156,600.00 End. Bal 4,500.00 End. Bal 1500 Buildings Accumulated Depreciation - Buildings Notes payable - Long Term Beg. Bal. 247000 Beg. Bal. 30000 Beg. Bal. 10000 End. Bal 247,000.00 End. Bal 30000 End. Bal 10000 Common stock Additional Paid in Capital Retained earnings Beg. Bal. 10000 Beg. Bal. 90000 Beg. Bal. 120000 5,000.00 15-Jan 15-Aug 2,000.00 45,000.00 15-Jan 2,000.00 15-Mar End. Bal 15000 End. Bal 135000 End. Bal 120000 Bonds Payable Treasury Stock Cash Dividends Beg. Bal. 0 Beg. Bal. 0 22,000.00 15-Mar Beg. Bal. 0 100,000.00 1-Oct 15-Feb 33,000.00 6,600.00 15-Aug 15-Sep 14,600.00 0 End. Bal 100000 End. Bal 4,400.00 End. Bal 14,600.00 Cash Dividends Payable Premium on Issue of Bonds Beg. Bal. - Beg. Bal. 0 14,600.00 15-Sep 1,000.00 1-Oct End. Bal 14600 End. Bal 1000 Answer c. Trial Balance October 3, 2018 Dr. amt. Cr. Amt. Cash 156,600.00 Accounts Receivable 4,500.00 Allowance For Doubtful Accounts 1,500.00 Buildings 247,000.00 Accumulated Depreciation - Buildings 30,000.00 Notes payable - Long Term 10,000.00 Common stock 15,000.00 Additional Paid in Capital 135,000.00 Retained earnings 120,000.00 Bonds Payable 100,000.00 Treasury Stock 4,400.00 Cash Dividends 14,600.00 Cash Dividends Payable 14,600.00 Premium on Issue of Bonds 1,000.00 Total 427,100.00 427,100.00 Answer d. Balance Sheet (Partial) At Dec 31 Non-Current Assets Notes Payable 10,000.00 Bonds Payable 100,000.00 Premium on Issue of Bonds 1,000.00 101,000.00 Total Non-Current Assets 111,000.00 Stockholders' Equity Paid Up Capital Common Stock -$1 Par, 15,000 Share issued 15,000.00 Additional paid in Capital 135,000.00 Total Paid in Capital 150,000.00 Retained Earnings 125,400.00 Less: Treasury Stock (4,400.00) Total Stockholders' Equity 271,000.00