Ex. 2–4
(1) Cash ...................................................................... 40,000
Ira Janke, Capital ............................................
(2) Supplies ............................................................... 1,800
Cash ................................................................
(3) Equipment ............................................................ 24,000
Accounts Payable ..........................................
Cash ................................................................
(4) Operating Expenses ............................................ 3,050
Cash ................................................................
(5) Accounts Receivable .......................................... 12,000
Service Revenue ............................................
(6) Accounts Payable ................................................ 7,500
Cash ................................................................
(7) Cash ...................................................................... 9,500
Accounts Receivable .....................................
(8) Ira Janke, Drawing ............................................... 5,000
Cash ................................................................
(9) Operating Expenses ............................................ 1,050
Supplies ..........................................................
2-5 1. debit and credit (c)
2. debit and credit (c) 3. debit and credit (c) 4. credit only (b) 5. debit only (a) 6. debit only (a) 7. debit only (a)
2-6
a. Liability—credit f. Revenue—credit b. Asset—debit g. Asset—debit c. Asset—debit h. Expense—debit d. Owner's equity i. Asset—debit (Cindy Yost, Capital)—credit j. Expense—debit
e. Owner's equity
(Cindy Yost, Drawing)—debit 40,000 1,800 15,000 9,000 3,050 12,000 7,500 9,500 5,000 1,050
2-7
a. credit g. debit b. credit h. debit c. debit i. debit d. credit j. credit e. debit k. debit f. credit
l. credit
2-8
a. Debit (negative) balance of $1,500 ($10,500 – $4,000 – $8,000). Such a
negative balance means that the liabilities of Seth’s business exceed the assets.
b. Yes. The balance sheet prepared at December 31 will balance, with Seth Fite, Capital, being reported in the owner’s equity section as a negative $1,500. 2-9
a. The increase of $28,750 in the cash account does not indicate earnings of that amount. Earnings will represent the net change in all assets and liabilities from operating transactions. b. $7,550 ($36,300 – $28,750)
2-10
a. $40,550 ($7,850 + $41,850 – $9,150) b. $63,000 ($61,000 + $17,500 – $15,500) c. $20,800 ($40,500 – $57,700 + $38,000)
2-11 2005 Aug. 1 Rent Expense .......................................................
1,500
Cash ................................................................
2 Advertising Expense ........................................... 700
Cash ................................................................
4 Supplies ............................................................... 1,050
Cash ................................................................
6 Office Equipment ................................................. 7,500
Accounts Payable ..........................................
1,500 700 1,050 7,500
8 12 20 25 30 31 31
Cash ...................................................................... Accounts Receivable ..................................... Accounts Payable ................................................ Cash ................................................................ Gayle McCall, Drawing ........................................ Cash ................................................................ Miscellaneous Expense ...................................... Cash ................................................................ Utilities Expense .................................................. Cash ................................................................ Accounts Receivable .......................................... Fees Earned .................................................... Utilities Expense .................................................. Cash ................................................................
3,600
1,150
1,000
500
195
10,150
380
3,600 1,150 1,000 500 195 10,150 380
a.
2-12
Description
JOURNAL
Post. Ref.
Debit
Page 43
Credit
Date
2006
Oct. 27 Supplies .................................................. Accounts Payable .............................. Purchased supplies on account.
b., c., d.
15 21 1,320
1,320
Supplies
Date
Post. Balance Ref.
Dr.
Cr.
Dr.
15
Item Cr.
2006
Oct. 1 Balance ................................. 27 ...............................................
? 43 ? 43
........... ........... 585 ........... 1,320 ........... 1,905 ...........
21
........... ........... ........... 6,150 ........... 1,320 ........... 7,470
Accounts Payable
2006
Oct. 1 Balance ................................. 27 ...............................................
2-13
Inequality of trial balance totals would be caused by errors described in (b) and (d). 2-14
ESCALADE CO. Trial Balance December 31, 2006
Cash ................................................................... 13,375 Accounts Receivable ......................................................... Prepaid Insurance .............................................................. Equipment .......................................................................... Accounts Payable .............................................................. Unearned Rent ................................................................... Erin Capelli, Capital ........................................................... Erin Capelli, Drawing ......................................................... Service Revenue ................................................................ Wages Expense .................................................................. Advertising Expense ......................................................... Miscellaneous Expense ..................................................... 181,600 181,600 2-15
24,600 8,000 75,000 10,000 42,000 7,200 1,425 11,180 4,250 82,420 83,750
a. Gerald Owen, Drawing ........................................ Wages Expense .............................................. 15,000
4,500
15,000 4,500
b. Prepaid Rent ........................................................ Cash ................................................................ 2-16
题目的资料不全, 答案略. 2-17 a.
KMART CORPORATION Income Statement
For the Years Ending January 31, 2000 and 1999
(in millions)
Increase (Decrease) 2000 1999 Amount Percent 1. Sales .................................................. $ 37,028 $ 35,925 $ 1,103 3.1% 2. Cost of sales ..................................... (29,658) (28,111) 1,547 5.5%
3. Selling, general, and admin. expenses ........................................... (7,415) (6,514) 901 13.8% 4. Operating income (loss)
before taxes ...................................... $ (45) $ 1,300 $(1,345) (103.5%)
b. The horizontal analysis of Kmart Corporation reveals deteriorating
operating results from 1999 to 2000. While sales increased by $1,103 million, a 3.1% increase, cost of sales increased by $1,547 million, a 5.5% increase. Selling, general, and administrative expenses also increased by $901 million, a 13.8% increase. The end result was that operating income decreased by $1,345 million, over a 100% decrease, and created a $45 million loss in 2000. Little over a year later, Kmart filed for bankruptcy protection. It has now emerged from bankruptcy, hoping to return to profitability.
3-1
1. Accrued expense (accrued liability) 2. Deferred expense (prepaid expense) 3. Deferred revenue (unearned revenue) 4. Accrued revenue (accrued asset) 5. Accrued expense (accrued liability) 6. Accrued expense (accrued liability) 7. Deferred expense (prepaid expense) 8. Deferred revenue (unearned revenue) 3-2
Supplies Expense ................................................................. 801
Supplies ...............................................................
3-3
$1,067 ($118 + $949) 3-4
a. Insurance expense (or expenses) will be understated. Net income will
be overstated.
b. Prepaid insurance (or assets) will be overstated. Owner’s equity will
be overstated. 3-5
801