WATERWAY FASHION CENTER TRIAL BALANCE NOVEMBER 30, 2017 Debit Credit $1,003,180
ID: 2535847 • Letter: W
Question
WATERWAY FASHION CENTER
TRIAL BALANCE
NOVEMBER 30, 2017
Debit
Credit
$1,003,180
$1,003,180
The trial balance of Waterway Fashion Center contained the following accounts at November 30, the end of the company’s fiscal year.WATERWAY FASHION CENTER
TRIAL BALANCE
NOVEMBER 30, 2017
Debit
Credit
Cash $33,410 Accounts Receivable 37,150 Inventory 48,450 Supplies 8,950 Equipment 139,900 Accumulated Depreciation-Equipment $26,520 Notes Payable 54,450 Accounts Payable 51,950 Common Stock 93,450 Retained Earnings 11,450 Sales Revenue 765,360 Sales Returns and Allowances 4,200 Cost of Goods Sold 495,400 Salaries and Wages Expense 138,400 Advertising Expense 27,660 Utilities Expenses 15,600 Maintenance and Repairs Expense 12,100 Delivery Expense 16,700 Rent Expense 25,260 Totals$1,003,180
$1,003,180
Adjustment data:
1. Supplies on hand totaled $4,950. 2. Depreciation is $16,890 on the equipment. 3. Interest of $11,720 is accrued on notes payable at November 30.
Other data:
1. Salaries expense is 70% selling and 30% administrative. 2. Rent expense and utilities expenses are 80% selling and 20% administrative. 3. $30,000 of notes payable are due for payment next year. 4. Maintenance and repairs expense is 100% administrative.
Explanation / Answer
a.the following are the adjusting entries:
(supplies expense = supplies balance - supplies on hand)
=> ($8950-4950=>$4,000)
S,no General journal debit credit 1 supplies expense a/c $4,000 .............To Supplies a/c $4,000(supplies expense = supplies balance - supplies on hand)
=> ($8950-4950=>$4,000)
2. Depreciation expense a/c $16,890 ..............To Accumulated depreciation - equipment a/c $16,890 (annual depreciation on equipment recorded) 3. Interest expense a/c $11,720 .............To Interest payable a/c $11,720 Interest accrued on notes payable now recorded)Related Questions
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