I am confused on this problem. Need help on how to get the answer for the cash line and accounts receivables line? I can try to get the other ones myself. Just need the first two answers and explain how you got the answer so I can understand how you got the answer.
| Cash |
|
|
|
$ 44,300 |
|
Accounts payable |
|
$ 58,160 |
| Accounts receivable |
|
$94,400 |
|
|
|
Notes payable |
|
66,420 |
Less: Allowance for doubtful accounts
|
|
7,400 |
|
87,000 |
|
|
|
$124,580 |
| Inventory |
|
|
|
174,040 |
|
|
|
|
| Prepaid expenses |
|
|
|
9,210 |
|
|
|
|
| |
|
|
|
$314,550 |
|
|
|
|
The following errors in the corporation’s accounting have been discovered:
| 1. |
|
January 2018 cash disbursements entered as of December 2017 included payments of accounts payable in the amount of $39,900, on which a cash discount of 2% was taken. |
| 2. |
|
The inventory included $30,450 of merchandise that had been received at December 31 but for which no purchase invoices had been received or entered. Of this amount, $12,920 had been received on consignment; the remainder was purchased f.o.b. destination, terms 2/10, n/30. |
| 3. |
|
Sales for the first four days in January 2018 in the amount of $28,760 were entered in the sales journal as of December 31, 2017. Of these, $21,910 were sales on account and the remainder were cash sales. |
| 4. |
|
Cash, not including cash sales, collected in January 2018 and entered as of December 31, 2017, totaled $33,168. Of this amount, $21,168 was received on account after cash discounts of 2% had been deducted; the remainder represented the proceeds of a bank loan. |
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(a1)
Calculate the following adjusted balances.
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