The adjusted trial balance for Mowgli Corporation contained the following accounts at December 31, 2015 the end of the company’s fiscal year:
|
Dr. |
Cr. |
|
|
Cash |
$26,000 |
|
|
Accounts Receivable |
$80,000 |
|
|
Inventory (beginning) |
$25,000 |
|
|
Land |
$9,000 |
|
|
Office equipment |
$22,000 |
|
|
Accumulated Depreciation-equip. |
|
$20,000 |
|
Building |
$233,000 |
|
|
Accumulated Depreciation-Bldg. |
|
$94,000 |
|
Patent |
$16,000 |
|
|
Accounts Payable |
|
$50,000 |
|
Interest Payable |
|
$14,000 |
|
Unearned Revenue |
|
$30,000 |
|
Notes Payable |
|
$100,000 |
|
Capital |
|
$60,000 |
|
Drawings |
$9,000 |
|
|
Sales |
|
$170,200 |
|
Sales Returns and Allowances |
$2,500 |
|
|
Sales Discounts |
$1,100 |
|
|
Purchases |
$66,000 |
|
|
Purchases Returns and Allowances |
|
$1,000 |
|
Purchase Discounts |
|
$500 |
|
Freight-in |
$300 |
|
|
Insurance Expense |
$6,000 |
|
|
Interest Expense |
$8,000 |
|
|
Repair Expense |
$5,000 |
|
|
Salaries Expense |
$17,600 |
|
|
Advertising Expense |
$1,200 |
|
|
Depreciation Expense |
$11,000 |
|
|
Utilities Expense |
$1,000 |
|
|
$539,700 |
$539,700 |
Other Information:
- Inventory on hand at December 31, 2015 is $40,000 (Hint: this is ending inventory).
- Administrative expenses include the following: Insurance expense, Repair Expense, Utilities expense, and Depreciation expense.
- Selling expenses include the following: Advertising expense and Salaries expense.
- $20,000 of the Notes Payable is payable next year (Hint: classified as current).
Instructions
Prepare a classified balance sheet (20pts), multiple step income statement (20pts), statement of owners’ equity (5pts), and closing entry (5pts).
