Accounting Help

I need attached spreadsheets done by Friday evening.

E9-20

E9-20

cash, expecting the fixtures to remain in service for five years. Repeat

, Repeat sold the fixtures for $6,200 cash.

E9-20
2013

Oct 31

DDB =

$11,000

Accounting, 9e

Partial year depreciation and sale of an asset

LO 2, 3 [10-15 minutes]

Students please fill-in areas that are shaded

Student Name

Course Name

Student ID:

Date:

On January 2, 2012, Repeat Clothing Consignments purchased showroom fixtures

for

$11,000

has depreciated the fixtures on a double-declining-balance basis, with zero residual

value. On October 31,

2013

Requirements

1.

Record both depreciation for 2013 and sale of the fixtures on October 31, 2013.

Test Your Knowledge

Req. 1

Journal

DATE

ACCOUNTS AND EXPLANATIONS

DEBIT

CREDIT

Depreciation for 10 months:

Oct 31

Sale of fixtures:

Gain on sale of fixtures

1,800

Calculate 2012 depreciation:

You can also use DDB function in excel:

DDB =

$4,400

for 2012

for 10 mo. 2013

Calculate 2013 depreciation

Gain is computed as follows:

Sale price of old fixtures

$ 6,200

Book value of old fixtures:

Cost

Less: Accm depreciation

Accm. Depr.

Gain on sale………………………………………………….

Jennie April 23

E9-24

E9-24

the purchase of the patent and

amortization for year 1.

E9-24
Req. 1

(a)
(b)

$600,000

600,000

Accounting, 9e
Acquisition of patent, amortization, and change in useful life
LO 5 [10-15 minutes]
Students please fill-in areas that are shaded
Student Name
Course Name
Student ID:
Date:
Miracle Printers (MP) manufactures printers. Assume that MP recently paid	$	600,000
for a patent on a new laser printer. Although it gives legal protection for 20 years, the
patent is expected to provide a competitive advantage for only eight years.
Requirements
1.	Assuming the straight-line method of amortization, make journal entries to
record	(a)	(b)
2.	After using the patent for four years, MP learns at an industry trade show that
another company is designing a more efficient printer. On the basis of this new
information, MP decides, starting with year 5, to amortize the remaining cost of
the patent over two remaining years, giving the patent a total useful life of six
years. Record amortization for year 5.
Test Your Knowledge
	Req. 1
Journal
DATE	ACCOUNTS AND EXPLANATIONS	DEBIT	CREDIT
Purchase of patent
Amortization for one year:
Req. 2	Amortization for year 5:
Calculate book value
Orginal cost
Accm Depreciation:
Year 1
Year 2
Year 3
Year 4	– 0
Book value at beg of Yr 5
New estimated useful life remaining
New annual amortization

Jennie April 23

E10-11

E10-11

izing current liabilities

E10-11
Journal
2012

Accounting, 9e

Journal

LO 1 [15 minutes]

Students please fill-in areas that are shaded

Student Name

Course Name

Student ID:

Date:

Edmund O’Mally Associates reported short-term notes payable and salary payable

as follows:

2012

2011

Current liabilities (partial)

Short-term notes payable

$ 16,400

$ 15,600

Salary payable

3,400

3,100

During 2012, O’Mally paid off both current liabilities that were left over from 2011,

borrowed money on short-term notes payable, and accrued salary expense.

Requirements

1.

Journalize all four of these transactions for O’Mally during 2012.

Test Your Knowledge

Req. 1

DATE

ACCOUNTS AND EXPLANATIONS

DEBIT

CREDIT

Jennie April 23

E10-13

E10-13

ize Frosty Boy’s wage expense accrual for Striker’s work. An explanation

E10-13

– 0

5.00

Journal

Journal
DATE ACCOUNTS AND EXPLANATIONS DEBIT CREDIT

Accounting, 9e

Computing and recording gross and net pay

LO 3,4 [10-15 minutes]

Students please fill-in areas that are shaded

Student Name

Course Name

Student ID:

Date:

Henry Striker manages a Frosty Boy drive-in. His straight-time pay is $10 per hour,

with time-and-a-half for hours in excess of 40 per week. Striker’s payroll deductions

include withheld income tax of 8%, FICA tax of 7.65%, and a weekly deduction

of $5 for a charitable contribution to the United Fund. Striker worked 52

hours during the week.

Requirements

1.

Compute Striker’s gross pay and net pay for the week. Carry amounts to the

nearest cent.

2.

Journal

is not required.

3.

Journalize the subsequent payment of wages to Striker.

Test Your Knowledge

Req. 1

Straight-time earnings for 40 hours (40 X $10)

$ 400.00

Overtime pay for the next 12 hours:

Deductions:

Withheld income tax 8%

– 0

FICA tax 7.65%

United Fund contribution

5.00

Total deductions

Net pay

Req. 2

DATE

ACCOUNTS AND EXPLANATIONS

DEBIT

CREDIT

Req. 3

Good student getting tired April 23

P9-29A

P9-29A

and

,

2012
2013
Jan 1

P9-29A

2012

Sept. 1

Dec. 31

2013

Jan. 1

Accounting, 9e

Lump sum asset purchases, partial year depreciation, and impairments

LO 2,3 [20-25 minutes]

Students please fill-in areas that are shaded

Student Name

Course Name

Student ID:

Date:

Gretta Chung Associates surveys American eating habits. The company’s accounts

include Land, Buildings, Office equipment, and Communication equipment, with a

separate accumulated depreciation account for each asset. During

2012

2013

Gretta Chung completed the following transactions:

Jan 1

Traded in old office equipment with book value of $40,000 (cost of $132,000

and accumulated depreciation of $92,000) for new equipment. Chung also

paid $80,000 in cash. Fair value of the new equipment is $119,000.

Apr 1

Acquired land and communication equipment in a group purchase. Total

cost was $270,000 paid in cash. An independent appraisal valued the land

at $212,625 and the communication equipment at $70,875.

Sep 1

Sold a building that cost $555,000 (accumulated depreciation of $255,000

through December 31 of the preceding year). Chung received $370,000

cash from the sale of the building. Depreciation is computed on a

straight-line basis. The building has a 40-year useful life and a residual

value of $75,000.

Dec 31

Recorded depreciation as follows:

→Communication equipment is depreciated by the straight-line method over a

five-year life with zero residual value.

→Office equipment is depreciated using the double-declining-balance method over

five years with $2,000 residual value.

The company identified that the communication equipment suffered significant

decline in value. The fair value of the communication equipment was

determined to be $55,000.

Requirements

1.

Record the transactions in the journal of Gretta Chung Associates.

Test Your Knowledge

Req. 1

Journal

DATE

ACCOUNTS AND EXPLANATIONS

DEBIT

CREDIT

Jan. 1

Office equipment (new)

Apr. 1

Sept. 1

Dec. 31

Jennie April 23

P9-30A

P9-30A

P9-30A

Accounting, 9e

Natural resource accounting

LO 4 [15-20 minutes]

Students please fill-in areas that are shaded

Student Name

Course Name

Student ID:

Date:

McCabe Oil Company has an account titled Oil and gas properties. McCabe paid

$6,200,000 for oil reserves holding an estimated 500,000 barrels of oil. Assume the

company paid $510,000 for additional geological tests of the property and $490,000

to prepare for drilling. During the first year, McCabe removed 90,000 barrels of oil,

which it sold on account for $39 per barrel. Operating expenses totaled $850,000, all

paid in cash.

Requirements

1.

Record all of McCabe’s transactions, including depletion for the first year.

Test Your Knowledge

Req. 1

Journal

DATE

ACCOUNTS AND EXPLANATIONS

DEBIT

CREDIT

Jennie April 23

P10-15A

P10-15A

izing liability transactions

and

:

2011
31

2012
payable.
29

P10-15A
Journal

2011

Jan 9
Feb 5
Feb 28
Jul 9
Dec 31
31

31

2012
Feb 28

Feb 28

Accounting, 9e

Journal

LO 1, 2 [30-40 minutes]

Students please fill-in areas that are shaded

Student Name

Course Name

Student ID:

Date:

The following transactions of Denver Pharmacies occurred during

2011

2012

Jan 9

Purchased computer equipment at a cost of $9,000, signing a six-month,

6% note payable for that amount.

29

Recorded the week’s sales of $64,000, three-fourths on credit, and

one-fourth for cash. Sales amounts are subject to a 6% state sales tax.

Feb 5

Sent the last week’s sales tax to the state.

28

Borrowed $204,000 on a four-year, 10% note payable that calls for $51,000

annual installment payments plus interest. Record the current and

long-term portions of the note payable in two separate accounts.

Jul 9

Paid the six-month, 6% note, plus interest, at maturity.

Aug

31

Purchased inventory for $12,000, signing a six-month, 9% note

payable.

Dec 31

Accrued warranty expense, which is estimated at 2% of sales of $603,000.

Accrued interest on all outstanding notes payable. Make a separate

interest accrual for each note payable.

Feb 28

Paid the first installment and interest for one year on the four-year note

Paid off the 9% note plus interest at maturity.

Requirements

1.

Journalize the transactions in Denver’s general journal. Explanations are not

required.

Test Your Knowledge

Req. 1

DATE

ACCOUNTS AND EXPLANATIONS

DEBIT

CREDIT

Jan 29

Cash ($64,000 X 1/4 X 1.06)

16,960

Aug 31

Interest payable

– 0

Student name here Date here

P10-16A

P10-16A

izing liability transactions

:

?

P10-16A
Journal
2012
Apr 30
Jun 30
Jul 28
Sep 30
Dec 31
Estimated warranty payable
Jul 28

Jun 30 – 0

Dec 31 – 0

– 0

Accounting, 9e

Journal

LO 2 [20-25 minutes]

Students please fill-in areas that are shaded

Student Name

Course Name

Student ID:

Date:

The following transactions of Brooks Garrett occurred during

2012

Apr 30

Garrett is party to a patent infringement lawsuit of $200,000. Garrett’s attorney

is certain it is remote that Garrett will lose this lawsuit.

Jun 30

Estimated warranty expense at 2% of sales of $400,000.

Jul 28

Warranty claims paid in the amount of $6,000.

Sep 30

Garrett is party to a lawsuit for copyright violation of $100,000. Garrett’s

attorney advises that it is probable Garrett will lose this lawsuit.

Dec 31

Garrett estimates warranty expense on sales for the second half of the year of

$500,000 at 2%.

Requirements

1.

Journalize required transactions, if any, in Garrett’s general journal.

Explanations are not required.

2.

What is the balance in

Estimated warranty payable

Test Your Knowledge

Req. 1

DATE

ACCOUNTS AND EXPLANATIONS

DEBIT

CREDIT

Req. 2

– 0

End Bal

student. date

2

>

E

1

1-1

4

e

E

-14

-1

minutes]

:

Number

Date Payment

X

% X 1/

)

Principal

1

.30

,90

70

2

3

3,597.30

61

4

3,597.30

46

5

3,597.30

6

3,597.30

7

3,597.30

8

3,597.30

9

3,597.30

10

3,597.30

11

3,597.30

12

3,597.30

totals

1.

ize the note issuance and the reclassification of the current portion on

2.

3.

Journal
2013

Jan 1

Journal
DATE ACCOUNTS AND EXPLANATIONS DEBIT CREDIT
2013

Journal
DATE ACCOUNTS AND EXPLANATIONS DEBIT CREDIT
2013

																																																												Accounting,	9
11	Recording mortgage payable entries from an amortization schedule
LO 1 [	10	5
Students please fill-in areas that are shaded
Student Name
Course Name
Student ID:
	Date
Kaiser Company’s partial amortization schedule follows:
	Payment	Interest Expense (	Principal	6	12	Mortgage Balance
Loan	1/1/1	3	$ 500,000.00
1/31/13						3,59	7	2,500.00	1,097.30	49	8	2.
2/28/13						3,597.30	2,494.51	1,102.79	497,799.91
3/31/13	2,489.00	1,108.30	496,69	1.
4/30/13	2,48	3.	1,113.84	495,577.77
5/31/13	2,477.89	1,119.41	494,458.36
6/30/13	2,472.29	1,125.01	493,333.35
7/31/13	2,466.67	1,130.63	492,202.72
8/31/13	2,461.01	1,136.29	491,066.43
9/30/13	2,455.33	1,141.97	489,924.46
10/31/13	2,449.62	1,147.68	488,776.78
11/30/13	2,443.88	1,153.42	487,623.36
12/31/13	2,438.12	1,159.18	486,464.18
			2013	43,167.60	29,631.78	13,535.82
Requirements
			Journal
January 1, 2013 (explanations are not required).
What is the balance in Estimated warranty payable?
Journalize the second payment on February 28, 2013 (do not round).
Test Your Knowledge
E11-14
Req. 1
		DATE			ACCOUNTS AND EXPLANATIONS			DEBIT			CREDIT
	Jan 1
Req. 2
Jan 31
Req. 3
Feb 28

E11-19

E11-19

izing bond transactions – year-end interest accrual

Filmore pays semiannual interest on March 31 and September 30.

.

2.

(do not round).

E11-19
Journal
2012

Journal
DATE ACCOUNTS AND EXPLANATIONS DEBIT CREDIT
2012

Journal
DATE ACCOUNTS AND EXPLANATIONS DEBIT CREDIT

2013

Accounting, 9e

Journal

LO 3 [10 minutes]

Students please fill-in areas that are shaded

Student Name

Course Name

Student ID:

Date:

Filmore Homebuilders issued $250,000 of 8%, 10-year bonds at par on September 30,

201

2.

Requirements

1.

Journalize the issuance of the bonds payable on September 30,

2012

Journalize the accrual of interest on December 31, 2012.

3.

Journalize the second payment on February 28,

2013

Test Your Knowledge

Req. 1

DATE

ACCOUNTS AND EXPLANATIONS

DEBIT

CREDIT

Jan 1

Issued bonds at par.

Req. 2

Dec 31

Req. 3

Mar 31

student. date

E

12

-17

, Inc., authorizes the company to issue 100,000 shares of

12

.

E12-17
KCAS-TV
September 30, 2012
– 0

– 0
– 0
– 0

Accounting, 9e

E12-17

Issuing stock and preparing the stockholders’ equity section of the balance sheet

LO 3 [15-20 minutes]

Students please fill-in areas that are shaded

Student Name

Course Name

Student ID:

Date:

The charter for

KCAS-TV

$4, no-par preferred stock and 500,000 shares of common stock with $1 par value.

During its start-up phase, KCAS completed the following transactions:

Sept 6

Issued 275 shares of common stock to the promoters who organized the corporation,

receiving cash of $8,250.

Issued 400 shares of preferred stock for cash of $20,000.

14

Issued 1,600 shares of common stock in exchange for land valued at $18,000.

30

Closed net income of $32,000 into Retained earnings.

Requirements

1.

Record the transactions in the general journal.

2.

Prepare the stockholders’ equity section of the KCAS-TV balance sheet at

September 30, 2012

Test Your Knowledge

Req. 1

Journal

DATE

ACCOUNTS AND EXPLANATIONS

DEBIT

CREDIT

Sep 6

Sep 12

Sep 14

Sep 30

Req. 2

Stockholders’ Equity

Paid-in capital:

Preferred stock, no par, 100,000 shares

authorized, 400 shares issued

$

– 0

Total stockholder’s equity

$ – 0

student name date here

E12-19

E12-19

, 201

8,000

5,000

, June 30, 2011

ize all required closing entries for the year.

2.

E12-19
Journal
June 30 Sales revenue
30 Income summary

30 Income summary

30 Retained earnings

114,000

114,000

Accounting, 9e

Calculating retained earnings

LO 4 [10-15 minutes]

Students please fill-in areas that are shaded

Student Name

Course Name

Student ID:

Date:

Oulette Publishing Company has the following selected account balances at

June

30

2.

Inventory

$ 112,000

Common stock, no par with $0.50

Machinery and equipment

10

8,000

stated value, 900 shares

Dividends

authorized and issued

450

Depreciation expense

9,000

Accumulated depreciation

61,000

Rent expense

19,000

Salary expense

8

5,000

Utilities expense

Retained earnings

114,000

Cost of goods sold

81,000

Sales revenue

240,000

Requirements

1.

Journal

Calculate the balance in Retained earnings at June 30, 2012. Use a T-account to

show your calculations.

Test Your Knowledge

Req. 1

DATE

ACCOUNTS AND EXPLANATIONS

DEBIT

CREDIT

Income summary

Close the revenue accounts

Cost of goods sold

Depreciation expense

Rent expense

Salary expense

Utilities expense

Close the expense accounts

Retained earnings

Close the income summary.

Dividends

Req. 2

Retained earings

Bal.

– 0

End Bal

JLM april

P11-27A

P11-27A

.

balance sheet, including

P11-27A
Route Maker Wireless
March 31, 2012

– 0

Accounting, 9e

Report liabilities on the balance sheet

LO 4 [10-15 minutes]

Students please fill-in areas that are shaded

Student Name

Course Name

Student ID:

Date:

Link Back to Chapter 4 (Classified Balance Sheet). The accounts of Taylor

Electronics Company are listed along with their balances before closing for the

month ended

March 31, 2012

Accounts payable

$ 76,000

Salary payable

$ 9,500

Mortgage note payable, long-term

80,000

Bonds payable, current installment

30,000

Interest payable

19,000

Premium on all bonds payable

Bonds payable, long-term

164,000

(all long-term)

11,000

Rory, capital

175,000

Unearned service revenue

3,000

Requirements

1.

Report these liabilities on the

Route Maker Wireless

headings and totals for current liabilities and long-term liabilities.

Test Your Knowledge

Req. 1

Balance Sheet (partial)

LIABILITIES

Current liabilities:

Total current liabilities

– 0

Long-term liabilities

Total long-term liabilities

Total liabilities

$ – 0

student name here date here

P11-27A

P11-27A

.

balance sheet, including

P11-27A
Route Maker Wireless
March 31, 2012

– 0

Accounting, 9e

Report liabilities on the balance sheet

LO 4 [10-15 minutes]

Students please fill-in areas that are shaded

Student Name

Course Name

Student ID:

Date:

Link Back to Chapter 4 (Classified Balance Sheet). The accounts of Taylor

Electronics Company are listed along with their balances before closing for the

month ended

March 31, 2012

Accounts payable

$ 76,000

Salary payable

$ 9,500

Mortgage note payable, long-term

80,000

Bonds payable, current installment

30,000

Interest payable

19,000

Premium on all bonds payable

Bonds payable, long-term

164,000

(all long-term)

11,000

Rory, capital

175,000

Unearned service revenue

3,000

Requirements

1.

Report these liabilities on the

Route Maker Wireless

headings and totals for current liabilities and long-term liabilities.

Test Your Knowledge

Req. 1

Balance Sheet (partial)

LIABILITIES

Current liabilities:

Total current liabilities

– 0

Long-term liabilities

Total long-term liabilities

Total liabilities

$ – 0

student name here date here

P12-2

9

A

izing corporate transactions and preparing the stockholders’ equity section of the balance sheet

needed additional capital to expand, so the business incorporated.

9

is $92,000.

P12-29A
Journal
Oct 2
6
9
B-Mobile Wireless
Retained earnings

Accounting, 9e

P12-29A

Journal

LO 3 [20-25 minutes]

Students please fill-in areas that are shaded

Student Name

Course Name

Student ID:

Date:

B-Mobile Wireless

The charter from the state of Georgia authorizes B-Mobile to issue 70,000 shares

of 5%, $100-par preferred stock, and 110,000 shares of no-par common stock.

B-Mobile completed the following transactions:

Oct 2

Issued 19,000 shares of common stock for equipment with a market value

of $110,000.

6

Issued 800 shares of preferred stock to acquire a patent with a market

value of $80,000.

Issued 15,000 shares of common stock for cash of $90,000.

Requirements

1.

Record the transactions in the general journal.

2.

Prepare the stockholders’ equity section of the B-Mobile balance sheet at

October 31. The ending balance of

Retained earnings

Test Your Knowledge

Req. 1

DATE

ACCOUNTS AND EXPLANATIONS

DEBIT

CREDIT

Issued common stock to acquire equipment.

Issued preferred stock to acquire patent.

Issued common stock.

Req. 2

Stockholders’ Equity

Paid-in capital:

Total paid-in capital

Total stockholder’s equity

$ – 0

student name goes here date turned in goes here

P12-30A

P12-30A

, was organized in 201

At

, the Lincoln-

December 31, 2011
1.

ize each transaction. Explanations are not required.

Issued for cash 1,300 shares of preferred stock at par value.

Issued for cash 2,400 shares of common stock at a price of $5 per share.

P12-30A
Journal
a.
b.
c.
LINCOLN-PRIEST, INC.
Stockholders’ Equity

41,000

Retained earnings

Accounting, 9e

Issuing stock and preparing the stockholders’ equity section of the balance sheet

LO 3 [15-20 minutes]

Students please fill-in areas that are shaded

Student Name

Course Name

Student ID:

Date:

Lincoln-Priest, In

c.

1.

December 31, 2011

Priest balance sheet reported the following stockholders’ equity:

LINCOLN-PRIEST, INC.

Stockholders’ Equity

Paid-in Capital:

Preferred stock, 7%, $40 par, 110,000 shares authorized, none issued

$0

Common stock, $1 par, 520,000 shares authorized, 61,000 shares issued

and outstanding

$61,000

Paid-in capital in excess of par – common

41000

Total paid-in capital

$102,000

Retained earnings

29000

Total stockholders’ equity

$131,000

Requirements

During 2012, the company completed the following selected transactions.

Journal

a.

b.

c. Net income for the year was $74,000, and the company declared no dividends.

Make the closing entry for net income.

2.

Prepare the stockholders’ equity section of the Lincoln-Priest balance sheet at

December 31, 2012.

Test Your Knowledge

Req. 1

DATE

ACCOUNTS AND EXPLANATIONS

DEBIT

CREDIT

Req. 2

Paid-in capital:

Paid-in capital in excess of par – common

41,000

Total paid-in capital

Total stockholder’s equity

$ 41,000

*61,000 + 2,400 = 63,400 shares