Question

CHAPTER 5 Activities Accounting for Merchandising Activitie During the year, Additional Information Store Supplies account. A as $50. Office supplies of An examination of the The balance on Januaru 1. 2017 in the Store Supplies account was $180. During t 30 of store supplies were purchased and debited to the Store Supplies physical count on December 31, 2017, shows an ending balance of $180. b. The balance on Januaru 1. 2017 in the Office Supplies account was $50. Office su $595 were bought in 2017 and added to the Office Supplies account. An examinatio office supplies at year-end revealed that $590 had been used. urchased on September would last four years e. The balance in the Prenaid Insurance account represents a policy purchased on Se 1, 2017; it was valid for 12 months from that date. d. The store equipment was originally estimated to nave a use of years and a residual value of $3,615. e. When the office equipment was purchased, it was estimated that it would last for and have no residual value. f. Ending merchandise inventory, $29,000. Required Analyze and determine the impact of the adjustments from (a) to (I) on the unadjusted trial balancem Prepare a classified multi-step income statement, like Exhibit 5A.2 using your adjusted trial balance number * Problem 5-13A Sales taxes-perpetual L03,7 Journalize each of the following transactions assuming a perpetual inventory system and PST at B along with 5% GST. Note: Any available cash discount is taken only on the sale price before taxes. Aug. 1 2 5 12 15 17 19 Purchased $2,000 of merchandise for cash. Purchased $6,800 of merchandise; terms 2/10, n/30. Sold merchandise costing $3,600 for $5,200; terms 1/10, n/30. Paid for the merchandise purchased on August 2. Collected the amount owing from the customer of August 5. Purchased $6,000 of merchandise; terms n/15. Recorded $7,000 of cash sales (cost of sales $5,800).

problem 5-13 A

Answer 1

Anscoe Pege wlo Poblem 5-13A JocOnal entues Pnbiculan Debit Cvedit Aygi Merchandise alc 000 To carh a000 Acg& Menchandise afc 6800 To anccount payakle 68 00 Accounts receivable alc Aug 5 500 TO menchandise T profit and loos 43600 1600 Account payable alc 6800 46800 Ag15 $5000 Carh To account Seceivable 5200 Morchandise alC 6000 acco ont payable 10 6000 Cah alc To meichan die alc 5800 To profit &los a le