Combines Statement... help me please
On December 1 , 2013 Superman corporation opened a branch to sell various types of contemporary jewelry. To assist in the planning of future expansion , Superman Corp. prepares monthly financial statement. The trial balances the home office and its branch of Dec 31,2013 , appear as follow :
Home Office Branch
Cash $ 25000 33000
Accounts receivable 16000 40000
Inventory 16000 12000
Branch 84000
PPE (net) 80000
Cost of goods sold 34000 24000
Other expenses 10000 11000
Accounts payable 35000 15000
Unrealized Profit in branch inventory 4000
Home Office 65000
Common stock 75000
Retained earnings 50000
Sales 92000 40000
Income from branch 9000
Additional information
- The home office shipped merchandise on Dec 29,2013 at a billed price of $ 12000 to the branch, but the branch has not received the merchandise.
- On Dec 30,2013 the branch forwarded $1250 cash to the home office ,but the home office has not received the cash.
- The branch purchased display cases for $750 cash at year-end. Notification of the branch’s action has been forwarded to the home office but has not yet been received. Accounts for the fixed assets used by the branch are maintained at the home office.
- All merchandise sold at the branch is received from home office. Billings to the branch are at cost plus 20% of cost to the home office. The $12000 inventory of the branch at Dec 31,2013, does not include the inventory transfer in transit from the home office at the end of December.
Prepare a working paper for combined financial statement
This problem is about Perpetual Inventory System. I have no idea to solve this problem.
Please help me to solve this problems :(
THANKS SO MUCH
