yvonnelife
Jan 22, 2011, 01:27 PM
1. Sales for March were $122,000. At the end of the month $19,000 of these sales remained uncollected.
2. The inventory value of march's sales was $82,350. Inventory of $22,000 was purchased in the month on credit (perpetual method used)
3. accounts receivable of $42,000 was collected for the previous months
4. Salaries and wages were $10,000 for March, $1,200 was unpaid to staff at the month end.
5. Other miscellaneous expenses of $1,200 were incurred on credit.
6.Rent of $6000 for March was paid.
7. Accounts Payable from the prevous month was all paid during March.
8. Semi-annual interest for the loan was paid on March 31 for the six months ending on that date. The annual interest rate is 6%. The loan is not due until 2012.
9. Dividend of %40,000 were declared and paid to shareholders.
Additional DAta:
1. Shoe performed a full inventory count at close of business on March 31, 2011. The value of inventory on hand was $102,550.
2. The insurance Expense account includes $12,000 for the full year premium payment made on Jan1,2011 for annual insurance beginning on that date.
3. Shoe leases on space only. Prepaid Rent account comprises 1) an opening balance of $15,000 for rent for Apr to June of 2010 and 2) rental deposit of $6000. Shoe now pays rent monthly
4. A $700 receivable is deemed uncollectible and needs to be written off. Shoe estimates a bad debt expense for the year of $2000
5. There were no additions or disposals of equipment during the year. The equipment is amortized straight line over 10 years with no residual value expected.
6. Taxes are accrued at 25% of accounting net income.
2. The inventory value of march's sales was $82,350. Inventory of $22,000 was purchased in the month on credit (perpetual method used)
3. accounts receivable of $42,000 was collected for the previous months
4. Salaries and wages were $10,000 for March, $1,200 was unpaid to staff at the month end.
5. Other miscellaneous expenses of $1,200 were incurred on credit.
6.Rent of $6000 for March was paid.
7. Accounts Payable from the prevous month was all paid during March.
8. Semi-annual interest for the loan was paid on March 31 for the six months ending on that date. The annual interest rate is 6%. The loan is not due until 2012.
9. Dividend of %40,000 were declared and paid to shareholders.
Additional DAta:
1. Shoe performed a full inventory count at close of business on March 31, 2011. The value of inventory on hand was $102,550.
2. The insurance Expense account includes $12,000 for the full year premium payment made on Jan1,2011 for annual insurance beginning on that date.
3. Shoe leases on space only. Prepaid Rent account comprises 1) an opening balance of $15,000 for rent for Apr to June of 2010 and 2) rental deposit of $6000. Shoe now pays rent monthly
4. A $700 receivable is deemed uncollectible and needs to be written off. Shoe estimates a bad debt expense for the year of $2000
5. There were no additions or disposals of equipment during the year. The equipment is amortized straight line over 10 years with no residual value expected.
6. Taxes are accrued at 25% of accounting net income.