ri File Edit View History Bookmarks Window Help HW 42 Krug S

ri File Edit View History Bookmarks Window Help HW 4-2 Krug Service Company Expenses Revenues Dividends Cash Prepaid rent $9,300 9,000 10 1,400 650 520 Accounts payable 200 710 Retained earnings 2.840 1,600 Common stock Roferences Equipment Kleiner Merchandising Company Accumulated depreciation $ 700 7500 200 800 2,700 1,700 7900 Beginning inventory Common stock Retained earnings Ending inventory Operating expenses Purchases 14.500 Sales 101 10 ii Next > 4

Solution

Krug Service Company 19000-9300 9700 KLEINER MERCHANDISING COMPANY sales 14500 COGS (opening stock +purchases-closing stock) 7500+7900-2700 12700 Operating expenses 1700 Net income 100 2.KLEINER MERCHANDISING COMPANY Gross profit Sales-cogs (14500-12700) 1800 Cost of goods available for sale 7500+7900 15400 COGS 12700 Date General Journal Debit Credit 05-Nov Merchandise inventory 58000 Accounts payable 58000 1450*40 07-Nov Accounts payable 1200 Merchandise inventory 1200 30*40 15-Nov Accounts payable 58000-1200 56800 Cash 55096 Merchandise inventory 56800*3/100 1704