Determine the ending balance in cash

Assignment Help Accounting Basics
Reference no: EM13670986

A. Record the following journal entries for Clark Company:

1. Investors provided cash of $90,000 for stock.
2. Equipment of $100,000 was purchased with 20% paid in cash and the balance on a 6 percent note payable.
3. The company purchased $40,000 of inventory on account.
4. The company had sales on account of $50,000. The cost of the inventory sold was $30,000.
5. Wages of $10,000 were paid.
6. Cash sales were $20,000. The cost of the inventory sold was $12,000.
7. A utility bill of $1,500 was received.
8. The company collected $38,000 of sales on account.
9. The company paid $36,000 of previous inventory purchases on account.
10. Depreciation on equipment was $3,000.
11. One month ago, Clark Company purchased six months of insurance for $3,600, record the entry to recognize the amount of insurance used.
12. Record the interest expense on the note for one month.

B. Determine the ending balance in cash.
C. Determine the amount of net income before tax for the company.

Reference no: EM13670986

Questions Cloud

What are the several roles accountants play in managing : What are the several roles accountants play in managing government and not-for-profit organizations.
Distinguish between internal and external users in governmen : 1. Why is it more difficult to distinguish between internal and external users in governments than in businesses?
What is its adjusted basis in the new photocopying machine : What is its adjusted basis in the new photocopying machine?
What would be needed in order to bring : What would be needed in order to bring you to a level of confidence with allowing this item to become part of a return?
Determine the ending balance in cash : Determine the ending balance in cash
What is the consolidated balance for the equipment : What is the consolidated balance for the Equipment account as of December 31, 2013?
Development of human resource plan executive summary : Formulate strategies that are aligned with the core values and the core purpose of the company's vision and missions -  Development of Human Resource plan Executive summary.
Determine the minimum number of workstations require : Draw the precedence diagram of task to be performed and determine the cycle time - what is the maximum capacity of the line and determine the minimum number of workstations require
How the mind is studied and address the influence : Compare differing conceptualizations of the mind and how the mind is studied and address the influence of internal and environmental conditions on what is recalled from certain kinds of memory/representations (e.g., things remembered rote,

Reviews

Write a Review

Accounting Basics Questions & Answers

  What is the lifo reserve

What is the LIFO reserve, and why would an analyst be careful in interpreting the earnings of a company that has liquidated some of its LIFO reserve?

  A uniform time series of valua v is placed on the time axus

a uniform time series of valua v is placed on the time axus in the following manner the first value v at time s the

  Overhead based on direct labor hours

The actual manufacturing overhead cost for the year was $602,000 and the actual direct labor cost for the year was $456,000. Actual direct labor hours totaled 40,200 and machine hours totaled 79,000. Samli applies overhead based on direct labor ho..

  Suppose you could by a piece of software that is projected

suppose you could by a piece of software that is projected to increase profits by 5000year. the software costs 12000

  The following defined-benefit pension data of doreen corp

the following defined-benefit pension data of doreen corp. apply to year 2008. projected benefit obligation january 1

  A building with an appraisal value of 12918800 is made

a building with an appraisal value of 129188.00 is made available at an offer price of 158591.00. the purchaser

  What are temporary differences what gives rise to temporary

what are temporary differences? what gives rise to temporary differences? some accountants believe that deferred taxes

  Bradshaw inc is contemplating a capital investment of 85000

bradshaw inc. is contemplating a capital investment of 85000. the cash inflows over the projects four years are

  Dan has a 20 year old vintage car behind his residence he

1 janet and james purchased their personal residence 15 years ago for 300000. for the current year they have an 80000

  Proper accounting treatment of machine

Discuss the proper accounting treatment of $273,000 ($714,000 − $441,000) by which the cost of the first machine exceeded the cost of subsequent machines.

  Weatherspoon company has a product with a selling price

weatherspoon company has a product with a selling price per unit of 200 the unit variable cost is 90 and the total

  Two planes take off at the same exact moment they are

two planes take off at the same exact moment. they are flying across the atlantic. one leaves new york and is flying to

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd