5,017,000.00 Endless Company Income Statement For the year ended, Dec. 31, 2019
Notes Net Sales 1 8,600,000.00 Cost of Goods Sold 2 - 4,950,000.00 Gross Profit 3,650,000.00 Other Income 3 80,000.00 Total Income
Expenses: Distribution Costs 4 1,260,000.00 Administrative Costs 5 1,140,000.00 Other Losses 6 50,000.00 Income Before Tax Income Tax Net income 3,730,000.00
-2,450,000.00 1,280,000.00 -280,000 1,000,000.00 ChizMac Establishment Statement of Changes in Equity For the year ended, Dec. 31, 20X2
Mr. Cruz, Capital 01/01 256,800.00
Add: Net Income 1,000,000.00 Total 1,256,800.00 Less: Withdrawal 480,000.00 Mr. Cruz, Capital 12/31 776,800.00 Unadjusted Trial Balance Account Titles Debit Credit Cash 56,700.00 Accounts Receivable 371,000.00 Merchandise Inventory-1 January 605,000.00 Merchandise Inventory-31st of December Unused Office Supplies 39,300.00 Prepaid Rent 60,000.00 Furniture and Fixtures 265,000.00 Accumulated Depreciation-Furniture and Fixtures 212,000.00 Accounts Payable 463,400.00 Salary and Wages Payable - Interest Payable Unearned Sales Revenue 35,000.00 Notes Payable - Long Term 350,000.00 Mr. Cruz, Capital 256,800.00 Mr. Cruz, Withdrawal 480,000.00 Income Summary Sales 3,467,000.00 Sales Discount 103,000.00 Sales Returns and Allowances 82,000.00 Purchases 1,759,000.00 Purchase Discount 60,000.00 Purchase Returns and Allowances 74,300.00 Freight-in 93,000.00 Salaries and Wages Expense 827,500.00 Rent Expense 70,000.00 Depreciation Expense 20,000.00 Utilities Expense 58,000.00 Office Supplies Expense - Interest Expense 29,000.00 Total 4,918,500.00 4,918,500.00 ChizMac Establishment Worksheet For the year ended December 31, 20X Adjustments Adjusted Trial Balance Statement of Comprehensive Inc Debit Credit Debit Credit Debit 56,700.00 371,000.00 605,000.00 605,000.00 658,000.00 658,000.00 25,800.00 13,500.00 10,000.00 50,000.00 265,000.00 26,500.00 238,500.00 463,400.00 13,000.00 13,000.00 6,000.00 6,000.00 35,000.00 350,000.00 256,800.00 480,000.00 605,000.00 658,000.00 53,000.00 3,467,000.00 103,000.00 103,000.00 82,000.00 82,000.00 1,759,000.00 1,759,000.00 60,000.00 74,300.00 93,000.00 93,000.00 13,000.00 840,500.00 840,500.00 10,000.00 80,000.00 80,000.00 26,500.00 46,500.00 46,500.00 58,000.00 58,000.00 25,800.00 25,800.00 25,800.00 6,000.00 35,000.00 35,000.00 1,344,300.00 1,344,300.00 5,017,000.00 5,017,000.00 3,727,800.00 Net Income Mac Establishment Worksheet ended December 31, 20X2 ent of Comprehensive Income Statement of Changes in Equity Statement of Financial Position Credit Debit Credit 56,700.00 371,000.00
4,259,300.00 531,500.00 531,500.00 Mr. Cruz, Capital - End 308,300.00 308,300.00 Total 1,414,200.00 1,414,200.00 ChizMac Establishment Statement of Financial Position For the year ended, Dec. 31, 20X2
ASSETS Current Assets Cash 56,700.00 Accounts Receivable 371,000.00 Merchandise Inventory-31 December 658,000.00 Unused Office Supplies 13,500.00 Prepaid Rent 50,000.00 Total Current Assets Property, Plant and Equipment Furniture and Fixtures 265,000.00 Accumulated Depreciation- Furniture and Fixture - 238,500.00 Total Assets
LIABILITIES AND EQUITY
Current Liabilities Accounts Payable 463,400.00 Salary and Wages Payable 13,000.00 Interest Payable 6,000.00 Unearned Sales Revenue 35,000.00 Total Current Liabilities Noncurrent Liabilities Notes Payable-Long Term Total Liabilities
Mr. Cruz, Capital
Total Liabilities and Equity
1,149,200.00
26,500.00 1,175,700.00
517,400.00
350,000.00 867,400.00
776,800.00
1,644,200.00 ChizMac Establishment Closing Entries For the year ended, Dec. 31, 20X2
1. 12/31 Close Accounts of Credit Balance and Establishment of Ending inventory
Sales 3,467,000 Purchase Discounts 60,000 Purchase Returns and Allowances 74,300 Merchandising inventory, Ending: December 31 658,000 Income Summary 4,259,300 To close credit balances and establish the ending inventory
2. 12/31 Close Accounts of Debit Balance and Removal of Beginning Inventory
Income Summary 3,727,800
Merchandise Inventory- Beginning: 1 January 605,000 Sales Discounts 103,000 Sales Returns and Allowances 82,000 Purchases 1,759,000 Freight-in 93,000 Salaries and Wages Expense 840,500 Rent Expense 80,000 Depreciation Expense 46,500 Utilities Expense 58,000 Office Supplies Expense 25,800 Interest Expense 35,000 To close debit balances and remove beginning inventory
3. 12/31 Close Income Summary Account
Income Summary (4,259,300-3727,800) 531,500
Mr. Cruz Capital 531, 500 To close income summary
4. 12/31 Close Withdrawal account
Mr. Cruz Capital 256,800
Mr. Cruz, Drawings 256,800 To close withdrawals account Question? 1. Bakit income summary ung entry and paano naging ganun ung amount? Bakit 605,000? Kasi gets pa kung 685K saa inventor 2. Bakit 53,000 ang amount ni income summary sa adjusted trial balance?
Answer: 1. kaya 605k kasi diba angending nvenstory is 658k? Need mo ilagya sa t account and ipagmatch ung amont para maging 658k 2 kaya 53k kasi t account si income summary. Amli ka ng amount. Infi 685k kundi 658 tsk g 685K saa inventory and income summary and ano po ba ung income summary? Pang derecognize po ba yan ng inventory?
t para maging 658k siya. Ang income summary is para ma close ang accounts lalo na ang temporary account and need na idn kasi maderec n ng inventory?
and need na idn kasi maderecognize ung beginning inventory since may bago na tayong inventory nagaganitin next period which is ung en tin next period which is ung ending inventory
