Financial Accounting: An Integrated Statements Approach, 2nd Edition

(Greg DeLong) #1
Chapter 4 Accounting Information Systems 189

(a) Identify each account as either a balance sheet account or an income statement account. (b)
For each balance sheet account, identify it as an asset, a liability, or stockholders’ equity. For
each income statement account, identify it as a revenue or an expense. (c) Indicate the normal
balance of the account.

Using the data from Exercise 4-11, prepare a trial balance for Apple Computer, Inc., as of
September 25, 2004. List the accounts in the order they would appear in the ledger of Apple
Computer.

Using the data from Exercises 4-11 and 4-12, prepare (a) an income statement and (b) a retained
earnings statement for the year ending September 25, 2004, for Apple Computer, Inc.

Using the data from Exercises 4-11 and 4-12, (a) journalize the closing entries and (b) prepare a
post-closing trial balance for Apple Computer, Inc.

During the month, Wembley Co. received $212,500 in cash and paid out $183,750 in cash.

a. Do the data indicate that Wembley Co. earned $28,750 during the month? Explain.
b. If the balance of the cash account is $36,300 at the end of the month, what was the cash bal-
ance at the beginning of the month?

a. On April 1, the cash account balance was $7,850. During April, cash receipts totaled $41,850,
and the April 30 balance was $9,150. Determine the cash payments made during April.
b. On July 1, the accounts receivable account balance was $15,500. During July, $61,000 was
collected from customers on account. Assuming the July 31 balance was $17,500, determine
the fees billed to customers on account during July.
c. During January, $40,500 was paid to creditors on account, and purchases on account were
$57,700. Assuming the January 31 balance of Accounts Payable was $38,000, determine the
account balance on January 1.

Exercise 4-12


Trial balance


Goals3, 4


Total debit column, $16,110


Exercise 4-13


Income statement, retained
earnings statement


Goals3, 4


Net income, $276


Exercise 4-14


Closing entries, post-closing
trial balance


Goals3, 4


Total debit column, $8,050


Exercise 4-15


Cash account balance


Goals3, 4


b. 7,550


Exercise 4-16


Account balances


Goals3, 4


a. $40,550

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