Administrative Expenses $ 189,000 ; Income Tax Expense $ 35,100 ; and Dividends $ 18,900 . Prepare the year-end closing entrie
To convert cash receipts from customers to revenue on an accrual basis , the following adjustments are made :
Cash receipts from customers Subtract beginning A / R Add ending A / R Add beginning Unearned Service Revenue Subtract ending Unearned Service Revenue At the time a company prepays a cost
Starr Co . had sales revenue of $ 540,000 in 2014 . Other items recorded during the year were
Portman Corporation has retained earnings of $ 675,000 at January 1 , 2014 . Net income during 2014 was $ 1,400,000 , and cash dividends declared and paid during 2014 totaled $ 75,000 . Prepare
On January 1 , 2014 , Richards Inc . had cash and common stock of $ 60,000 . At that date , the company had no other asset , liability , or equity balances . On January 2 , 2014 , it purchased for cash $ 20,000 of equity securities that it classified as available-for-sale . It received cash dividends of $ 3,000 during the year on these securities .
Harding Corporation has the following accounts included in its December 31 , 2014 , trial balance : Accounts Receivable $ 110,000 ; Inventory $ 290,000 ; Allowance for Doubtful Accounts $ 8,000 ; Patents $ 72,000 ; Prepaid Insurance $ 9,500 ; Accounts Payable $ 77,000 ; Cash $ 30,000 .