arch angry animal animal Alternates are 337 339 and 341 thr

arch angry, animal, animal (Alternates are 3-37. 3-39 , and 3-41 through 3-44.) Robert Kapela owned and managed a franchise of Ithaca Espresso, Incorporated. The company\'s balance sheet accounts had the following balances on September 1, 20X0, the beginning of a fiscal year: Ithaca Espresso Balance Sheet Accounts, September 1, 20xO Cash $13,000 Accounts receivable 5,200 77,800 Merchandise inventory Prepaid rent Store equipment Accumulated depreciation, store equipment Accounts payable Paid-in capital 4,000 21,000 $ 6,150 40,000 30,000

Solution

2) Journal Entries :

1) T-Accounts:

4) Income Statement :

250

4) Balance Sheet :

b

Date	Accounts Titles	Debit $	Credit $
a	M. Inventory	41000
	AP		41000
b	Cash	74250
	Sales		74250
c	AP	29000
	Cash		29000
d	AR	3000
	Sales		3000
e	Advertisement exp	3000
	Cash		3000
f	COGS	45000
	M Inventory		45000
g	Cash	6000
	AR		6000
h	Miscl. expense	8000
	Cash		8000
i	Wages expense	9000
	Cash		9000
j	Rent exp.	2000
	Prepaid rent		2000
k	Depreciation	250
	Acc. Dep. - Store Equipment		250