Problem 3-4 The trial balance of Blossom Fashion Center contained the following accounts at November 30, the...

70.2K

Verified Solution

Question

Accounting

Problem 3-4
The trial balance of Blossom Fashion Center contained thefollowing accounts at November 30, the end of the company’s fiscalyear.
BLOSSOM FASHION CENTER
TRIAL BALANCE
NOVEMBER 30, 2017
Debit
Credit
Cash $33,770
Accounts Receivable 37,390
Inventory 48,690
Supplies 9,190
Equipment 140,380
Accumulated Depreciation-Equipment $26,760
Notes Payable 54,690
Accounts Payable 52,190
Common Stock 93,690
Retained Earnings 11,690
Sales Revenue 765,960
Sales Returns and Allowances 4,200
Cost of Goods Sold 495,400
Salaries and Wages Expense 138,080
Advertising Expense 27,780
Utilities Expenses 15,920
Maintenance and Repairs Expense 12,100
Delivery Expense 16,700
Rent Expense 25,380
Totals
$1,004,980
$1,004,980

Adjustment data:
1. Supplies on hand totaled $5,190.
2. Depreciation is $17,070 on the equipment.
3. Interest of $10,440 is accrued on notes payable at November30.

Other data:
1. Salaries expense is 70% selling and 30% administrative.
2. Rent expense and utilities expenses are 80% selling and 20%administrative.
3. $30,000 of notes payable are due for payment next year.
4. Maintenance and repairs expense is 100% administrative
1- Journalize the closing entries
2-Prepare a post-closing trial balance.

Answer & Explanation Solved by verified expert

3.7 Ratings (689 Votes)

All working forms part of the answer For closing entries we need to have adjusted balance and figure of Net Income Loss Step 1 Calculation of adjusted balances Unadjusted Trial balance Adjustments Adjusted Trial balance NOVEMBER 30 2017 Debit Credit Debit Credit Debit Credit Cash 3377000 3377000 Accounts Receivable 3739000 3739000 Inventory 4869000 4869000 Supplies 919000 400000 519000 Equipment 14038000 14038000 Accumulated DepreciationEquipment 2676000 1707000 4383000 Notes Payable 5469000 5469000 Interest Payable 1044000 1044000 See Answer

Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:

Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!

Become a Member

Transcribed Image Text

Problem 3-4The trial balance of Blossom Fashion Center contained thefollowing accounts at November 30, the end of the company’s fiscalyear.BLOSSOM FASHION CENTERTRIAL BALANCENOVEMBER 30, 2017DebitCreditCash$33,770Accounts Receivable37,390Inventory48,690Supplies9,190Equipment140,380Accumulated Depreciation-Equipment$26,760Notes Payable54,690Accounts Payable52,190Common Stock93,690Retained Earnings11,690Sales Revenue765,960Sales Returns and Allowances4,200Cost of Goods Sold495,400Salaries and Wages Expense138,080Advertising Expense27,780Utilities Expenses15,920Maintenance and Repairs Expense12,100Delivery Expense16,700Rent Expense25,380Totals$1,004,980$1,004,980Adjustment data:1.Supplies on hand totaled $5,190.2.Depreciation is $17,070 on the equipment.3.Interest of $10,440 is accrued on notes payable at November30.Other data:1.Salaries expense is 70% selling and 30% administrative.2.Rent expense and utilities expenses are 80% selling and 20%administrative.3.$30,000 of notes payable are due for payment next year.4.Maintenance and repairs expense is 100% administrative1- Journalize the closing entries2-Prepare a post-closing trial balance.

BLOSSOM FASHION CENTER TRIAL BALANCE NOVEMBER 30, 2017
	Debit	Credit
Cash	$33,770
Accounts Receivable	37,390
Inventory	48,690
Supplies	9,190
Equipment	140,380
Accumulated Depreciation-Equipment		$26,760
Notes Payable		54,690
Accounts Payable		52,190
Common Stock		93,690
Retained Earnings		11,690
Sales Revenue		765,960
Sales Returns and Allowances	4,200
Cost of Goods Sold	495,400
Salaries and Wages Expense	138,080
Advertising Expense	27,780
Utilities Expenses	15,920
Maintenance and Repairs Expense	12,100
Delivery Expense	16,700
Rent Expense	25,380
Totals	$1,004,980	$1,004,980

1.		Supplies on hand totaled $5,190.
2.		Depreciation is $17,070 on the equipment.
3.		Interest of $10,440 is accrued on notes payable at November30.

1.		Salaries expense is 70% selling and 30% administrative.
2.		Rent expense and utilities expenses are 80% selling and 20%administrative.
3.		$30,000 of notes payable are due for payment next year.
4.		Maintenance and repairs expense is 100% administrative