A) journalize the transactions B) activity that occurred, populate comparative b

Question

A) journalize the transactions B) activity that occurred, populate comparative balance sheet C) prepare statement of cash flows 6. Presented below is the balance sheet of Vanilla Corporation at November 30, 2013 Vanilla CORPORATION Balance Sheet 30-Nov-2013 ASSETS Current assets Cash Accounts receivable Inventories Prepaid ex Investments Total current assets 2013 S 595,000 350,000 140,000 35,000 penses Property, plant&equip.; Land $ 400,000 Building Equipment 700,000 440 S 1,540,000 Less: Accumulated depreciation Total property, plant&equipment; Total assets LIABILITIES Current liabilities Accounts payable Interest payable Total crrent liabilities Long-term liabilities Long-term note payable Total liabilities STOCKHOLDERS' EQUITY Common stock Retained earnings Total stockholders' equity Total Liabilities and equity 2,46000 S 2,460,000 S 102,000 104,000 80,000 S 184,000 S 1,500,000 2,276.000 776,000- These additional transactions occurred during December of 2013 12/1/2013 12/5/2013 12/7/2013 12/8/2013 12/31/2013 $10,000 depreciation expense was recorded for December $100,000 worth of land was sold for $55,000 $10,000 worth of inventory was purchased ON ACCOUNT Cash Sales of $14,000 were made $25,000 Sales were made ON ACCOUNT a. Jounalize the above transactions b. with the activity that occurred during December, populate the Comparative Balance Sheet c. Prepare Vanilla's statement of cash flows for the YE 2013 using the indirect method.

Explanation / Answer

a)

Journal entries:

b)

Balance sheet:

c)

Cashflow statement - Indirect method:

Date Accounts and explanations Debit ($) Credit ($) 12/1/2013 Cash 55,000 Loss on sale of land ($100,000 - $55,000) 45,000    Land 100,000 (To record the sale of land with loss by cash) 12/5/2013 Inventory 10,000 Accounts payable 10,000 (To record the purchase of inventory on credit) 12/7/2013 Cash 14,000    Sales 14,000 (To record the sales made by cash) 12/8/2013 Accounts receivable 25,000    Sales 25,000 (To record the sales made on credit) 12/31/2015 Depreciation expense 10,000    Accumulated depreciation 10,000 (To record the depreciation expense for the year)

Related Questions

Navigate

• Browse (All)
• Browse A
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.