Skills in Health Care Administration II -Spring 2014
June 30, 2020Campbell discusses his feelings on the abandonment of Greek, Latin, and biblical literature as a part of American education
June 30, 2020
| PROBLEM 1 ” JOURNAL ENTRIES AND ACCOUNT BALANCES |
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| On January 1, 2006, the Brian Toole Company Inc. had the following account balances in its accounting system. (all the below balances are normal balances) |
| Account |
Debit |
Credit |
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| Cash |
300 |
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| Accounts recivable |
1,200 |
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| Inventory Tools |
13,000 |
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| Machinery |
22,000 |
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| Accumulated Depreciation |
-5,500 |
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| Land |
8,000 |
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| Accounts Payable |
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2,000 |
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| Taxes Payable |
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1,500 |
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| Long term Note Payable |
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12,000 |
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| Common Stock |
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10,000 |
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| Retained Earnings |
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13,500 |
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39,000 |
39,000 |
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| The following transactions occurred during the month of January 2006. |
| a. The entire beginning inventory of tools was sold to customers for $22,000 cash |
| b. All outstanding taxes were paid in full. |
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| c. $600 was collected from customers accounts receivables. |
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| d. $1,000 was paid on the accounts payable. |
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| e. New inventory was acquired on account for $8,500. |
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| f. Wages were incurred for employees totaling $3,000 and $2,500 of this was paid in cash. |
| g. Depreciation expense of $2,000 was recorded on the machinery. |
| h. The note Payable incurrs interest at 12% and the interest was not paid in cash |
| i. Dividends of $1,000 were paid to stockholders |
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| REQUIRED: |
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| A. Provide Account Balances as indicated. |
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| 1. Total Assets |
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| 2. Total Liabilities |
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| 3. Total Stockholders equity |
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| 4. Total Net Income |
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| 5. Total Ending Retained earning |
