 |  Intermediate Accounting: Subtitle Test, 2/e J David Spiceland,
University of Memphis
James F Sepe,
Santa Clara University
Lawrence A Tomassini,
Ohio State University
Review of the Accounting Process
Check Figures|
E2-1 |
6. + $6,000, Prepaid insurance | |
E2-2 |
3. Dr. Inventory, $90,000 | |
E2-3 |
Total debits, $381,000 | |
E2-4 |
2. Cr. Cash, $40,000 | |
E2-5 |
6. b | |
E2-6 |
9. I | |
E2-7 |
None | |
E2-8 |
5. Dr. Interest expense, $2,000 | |
E2-9 |
6. Cr. Supplies, $5,250 | |
E2-10 |
Net income, $101,000; Total liabilities and shareholders' equity, $711,000 | |
E2-11 |
Cr. Retained earnings, $187,000 | |
E2-12 |
Req. 3, Accrued wages, $15,000 | |
E2-13 |
Req. 1, Nov. 1, Dr. Note receivable, $6,000 | |
E2-14 |
Adjusted net income, $31,150 | |
E2-15 |
Total other expenses, $134,000,
Total current assets, $105,000 | |
E2-16 |
None | |
E2-17 |
None | |
P2-1 |
Req. 3, Total debits, $172,000 | |
P2-2 |
Req. 4, Total debits, $40,150 | |
P2-3 |
2. Dr. Bad debt expense, $2,500 | |
P2-4 |
Req. 3, Total debits, $360,333
Req. 4, Net income, $23,883 | |
P2-5 |
Dr. Rent expense, Cr. Prepaid rent, $800 | |
P2-6 |
Req. 4, Total debits, $163,500
Req. 6, Total debits, $167,500
Req. 7, Net income, $31,000 | |
P2-7 |
Req. 2, Overstatement of net income, $3,600 | |
P2-8 |
4. Cr. Interest payable, $1,000 | |
P2-9 |
a. Sales revenue, $73,000 | |
P2-10 |
Req. 3, Total debits, $465,350 | |
P2-11 |
Net income, $25,400 | |
P2-12 |
Net income, $19,725; Total liabilities and shareholders' equity, $177,275 |
|
|
2001 McGraw-Hill Higher Education