1. Recognized revenue from cash sale of products. 2. Recognized cost of goods sold from sale referenced in Event 1. 3. Acquired cash by issuing common stock. 4. Paid cash to purchase raw materials that were used to make products. 5. Paid wages to production workers. 6. Paid salaries to administrative staff. 7. Recognized depreciation on manufacturing equipment. 8. Recognized depreciation on office furniture. Required Use the following horizontal financial statements model to show how each event affects the GAAP-based balance sheet and income statement. Indicate whether the event increases (I), decreases (D), if an element was not affected by the event, leave the cell blank. The first transaction has been recorded as an example. Show accumulated depreciation as a decrease in the book value of the appropriate asset account. (For changes on the statement of cash flows, Indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). If an element was not affected by the event, leave the cell blank.) Balance Sheet Income Statement Event No. Assets Equity Statement Cash Flov Stockholders' BV Office Com. Ret. Cash Inventory Rev Eyn Net Inc

1. Recognized revenue from cash sale of products. 2. Recognized cost of goods sold from sale referenced in Event 1. 3. Acquired cash by issuing common stock. 4. Paid cash to purchase raw materials that were used to make products. 5. Paid wages to production workers. 6. Paid salaries to administrative staff. 7. Recognized depreciation on manufacturing equipment. 8. Recognized depreciation on office furniture. Required Use the following horizontal financial statements model to show how each event affects the GAAP-based balance sheet and income statement. Indicate whether the event increases (I), decreases (D), if an element was not affected by the event, leave the cell blank. The first transaction has been recorded as an example. Show accumulated depreciation as a decrease in the book value of the appropriate asset account. (For changes on the statement of cash flows, Indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). If an element was not affected by the event, leave the cell blank.) Balance Sheet Income Statement Event No. Assets Equity Statement Cash Flov Stockholders' BV Office Com. Ret. Cash Inventory Rev Eyn Net Inc

College Accounting (Book Only): A Career Approach

12th Edition

ISBN:9781305084087

Author:Cathy J. Scott

Publisher:Cathy J. Scott

Chapter4: Adjusting Entries And The Work Sheet

Section: Chapter Questions

Problem 9E: Determine on which financial statement each account listed below is reported. Use the following...

See similar textbooks

Similar questions

Indicate the section of an income statement in which each of the following is shown.a. Loss on inventory write-down. b. Loss from strike.c. Bad debt expense.d. Loss on disposal of a discontinued business. e. Gain on sale of machinery.f. Interest expense.g. Depreciation expense.h. Interest revenue
5. Which of the following is an element of a statement of comprehensive income? a. Accounts Payable b. Interest Receivable c. Interest Payable d. Gross Profit 6. Which of the following is classified as a selling expense? a. Salaries of salesmen b. Depreciation of office equipment c. Salaries of corporate executives d. Depreciation of administration building
Where, if at all, should the following items be classifiedon a balance sheet?(a) Goods out on approval to customers.(b) Goods in transit that were recently purchased f.o.b.destination.(c) Land held by a realty firm for sale.(d) Raw materials.(e) Goods received on consignment.(f) Manufacturing supplies.
In the Excel, or spreadsheet, approach to recording financial transactions, factory depreciation is recorded as a decrease in the Property, Plant, and Equipment column and as a decrease in the Retained Earnings column. True or False True False
Which of the following transactions should not be disclosed in the income statement?A. Purchase of an office buildingB. Depreciation of vehiclesC. Maintenance of machineryD. Sales discount offered to a customer
1. Historical cost 2. Revenue recognition 3. Going concern assumption 4. Reporting entity concept 5. Monetary unit concept a. b. C. d. e. Transactions are recorded in terms of units of money. Transactions are recorded based on the actual amount received or paid. Indicates that personal and business record keeping should be kept separate. Performance obligation has been satisfied. Businesses are expected to continue operating indefinitely.
Identify the accounting principle or assumption that best reflects each situation. Situation 1. Accounting information is based on actual cost. 2. Transactions and events are shown in monetary units. 3. The life of a company can be divided into time periods, and useful reports can be prepared for th periods. 4. Each business is accounted for separately from its owner or owners. 5. A company records the expenses incurred to generate the revenues reported. 6. A company reports details behind financial statements that would impact users' decisions.
From the following balances of Jamal Plc., as at 31.12.21 Prepare Financial statement. Administration expenses Selling and Distribution Expenses - Director's remunerations paid Motor vehicles (cost) Accumulated depreciation: Motor vehicles (1.1.21) Trade receivables - Trade payables - Interest paid - Revenue- Cost of sales- Equipment (31.12.21) Accumulated depreciation: Equipment (1.1.21) Audit fees Cash at bank Retained earnings (1.1.21) Reserves and surplus Share capital (£1) Dividend paid Inventories (31.12.21) Bank loan (10%) DEBIT CREDIT RO'000 RO'000 3600 5670 324 25920 4140 900 44874 30780 2880 108 720 4860 124776 6480 7038 65934 11340 8004 2400 14580 9000 124776
which of the following items is listed as a current asset on a balance sheet a. accounts receivable b. accelerated depreciation c. company use of a persons vehicle d. employers full name
State where each of the following items would appear on (1) a multiple-step income statement and on (2) a single-step income statement. Multiple-Step Income Statement Single-Step Income Statement Item Section Section (a) Gain on sale of equipment (b) Interest expense Expenses Operating Expenses (c) Casualty loss from vandalism Gross Profit Cost of Goods Sold Other Expenses and Losses Revenues (d) Cost of goods sold Other Revenues and Gains > > >
Select all the items that are not relevant for decision making from the list below: A. Loss in gross margin B. Direct advertising C. General advertising D. Rent E. Depreciation: Store fixtures F. Depreciation: Delivery equipment G. Store management salaries H. General office salaries I. General office - other J. Insurance K. Utilities L. Employment taxes
State whether the following items are Capital or Revenue expenditures: 1.Replacement of old furniture 2.Salary paid to staff 3.Carriage paid on goods purchased 4.Legal expenses paid for raising of loans