Question : 27) Indicate if the account current asset (CA), long-term asset : 1230121

 

27) Indicate if the account is current asset (CA), long-term asset (LTA), current liability (CL), or long-term liability (LTL):

 

1.Accounts Payable________

2.Accounts Receivable________

3.Furniture________

4.Income Tax Payable________

5.Inventory________

6.Land________

7.Notes Payable due in 3 years________

8.Short-Term Investments________

9.Store Supplies________

10.Unearned Rent________

11.Intangible Assets________

12.Interest Payable________

 

28) The adjusted trial balance of Debit Company is shown below. Prepare the necessary closing entries. There were no dividends paid during the year.

 

Debit Company

Adjusted Trial Balance

December 31, 2012

 

Cash$6,500

Accounts receivable8,000

Supplies1,000

Prepaid Rent (3 months)2,500

Equipment, net46,000

Accounts payable$4,000

Salary payable2,000

Unearned revenue (2 month advance)2,000

Note payable — long term14,000

Common stock10,000

Retained earnings14,700

Service revenue75,000

Salary expense40,000

Rent expense10,000

Supplies expense1,500

Depreciation expense5,000

Utilities expense  1,200       ____

Total$121,700$121,700

 

 

29) Complete the chart below by putting an “X” in the appropriate box:

 

Account

Closed with a debit

Closed with a credit

Not closed

 

 

 

 

Accounts payable

 

 

 

Accumulated Depreciation

 

 

 

Capital Stock

 

 

 

Cash

 

 

 

Depreciation Expense

 

 

 

Dividends

 

 

 

Interest Expense

 

 

 

Interest Revenue

 

 

 

Rent Revenue

 

 

 

Retained Earnings

 

 

 

Salary Expense

 

 

 

Service Revenue

 

 

 

Unearned rent

 

 

 

Utilities expense

 

 

 

 

 

30) Heidi’s Hut, Inc. has the following adjusted trial balance as of March 31, 2012. Prepare a classified balance sheet as of that date.

 

Account

Debit

Credit

Cash

600

 

Accounts Receivable

1,800

 

Inventory

3,000

 

Store Supplies

1,900

 

Prepaid Rent

1,500

 

Land

23,000

 

Building

50,000

 

Accumulated Depreciation—Building

 

7,500

Store Equipment

27,000

 

Accumulated Depreciation—Store Equipment

 

15,625

Accounts Payable

 

6,000

Notes Payable

 

2,500

Salaries Payable

 

 

Unearned Revenue

 

8,000

Common Stock

 

31,650

Retained Earnings

 

2,520

Revenue

 

41,000

Rent Expense

1,000

 

Store Supplies Expense

2,000

 

Salaries Expense

1,000

 

Depreciation Expense—Building

1,500

 

Depreciation Expense—Store Equipment

500

 

Totals

$114,800

$114,800