Reference no: EM132469019
Problem 1. Collected $276,000 cash for consulting revenue earned.
Problem 2. Paid $167,000 salaries expense; $48,000 rent expense; and $11,000 office expense.
Problem 3. Purchase equipment for $150,000 cash.
Problem 4. At December 31, the following adjustments were required:
a. Depreciation on the equipment, $15,000.
b. Consulting revenue earned but not yet invoiced, $25,000
c. Accrued salaries expense, $4,500
d. Income tax rate, 15%. No instalments were paid during the year.
Problem 5. Northwestern has elected to prepare its financial statements under ASPE.
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