FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Greg Company has provided the following information for the second quarter of the calendar year 2021 (April 1 – June 30). Prepare a multiple-step Income Statement and the Asset section of a classified
|
Specific Account |
Balance |
Specific Account |
Balance |
|
Accounts Payable |
6,000 |
Freight-Out |
375 |
|
|
6,750 |
Gain on Sale of PPE |
75 |
|
|
1,250 |
Income Tax Expense |
1,005 |
|
Accumulated Depreciation (Equipment) |
1,400 |
Interest Expense |
100 |
|
Advertising Expense |
850 |
Inventory |
2550 |
|
Allowance for Doubtful Accounts |
60 |
Land |
2,250 |
|
|
50 |
Notes Payable (due December 31, 2021) |
3,750 |
|
Bank Service Charge Expense |
25 |
Prepaid Advertising |
1,500 |
|
Bonds Payable (due September 30, 2025) |
10,000 |
|
8,000 |
|
Buildings |
10,000 |
Sales Discounts |
750 |
|
Cash |
11,700 |
Sales Returns & Allowances |
225 |
|
Common Stock |
8,000 |
Sales Revenue |
12,250 |
|
Cost of Goods Sold |
5,075 |
Unearned Revenue |
290 |
|
Depreciation Expense |
775 |
Utilities Expense |
750 |
|
Dividends |
95 |
Utilities Payable |
750 |
|
Equipment |
7,000 |
1.Prepare, in good form, the multiple-step Income Statement for Greg Company for the second quarter of the calendar year 2021 (April 1 – June 30).
2.Prepare, in good form, the heading and Asset section only of the classified Balance Sheet for Greg Company.
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