Property, plant, and equipment (net) Retained earnings Accounts payable Prepaid expenses Accrued expenses payable Long-term notes payable Other non-current assets Common stock ($0.01 par value) $16,894 Receivables 12,606 1,557 258 2,370 1,790 3,002 1 Other current assets Cash Spare parts, supplies, and fuel Other non-current liabilities. Other current liabilities Additional Paid-in Capital f. Repaid $300 on a long-term note (ignore interest). g. Issued 200 million additional shares of $0.01 par value stock for $31 (that's $31 million). 4411-4A These accounts are not necessarily in good order and have normal debit or credit balances. (Note: Because these are not all of UPS's accounts, these will not balance in a trial balance.) Assume the following transactions (in millions, except for par value) occurred the next fiscal year beginning January 1 (the current year): a. Provided delivery service to customers, who paid $8,890 in cash and owed $34.304 on account. b. Purchased new equipment costing $3,734, signed a long-term note. c. Paid $10,864 cash to rent equipment and aircraft, with $5,386 for rent this year and the rest for rent next year (a prepaid expense). d. Spent $1,164 cash to repair facilities and equipment during the year. e. Collected $33,285 from customers on account. h. Paid employees $13,026 for work during the year. 1. Purchased spare parts, supplies, and fuel for the aircraft and equipment for $11,064 cash. j. Used $7,200 in spare parts, supplies, and fuel for the aircraft and equipment during the year. ----- $2,299 1,029 1,184 694 3,740 2,239 1,057 k. Paid $1,084 on accounts payable. 1. Ordered $118 in spare parts and supplies. Required: 1. Prepare journal entries for each transaction. 2. Enter the ending balances from December 31 as the respective beginning balances for January 1 of the current year Record in the T-accounts the effects of each transaction. Label each using the letter of the transaction. 3. Prepare an unadjusted income statement for the current year ended December 31. S 21 my
These accounts are not necessarily in good order and have normal debit or credit balances. (Note: Because these are hot all of UPS's accounts, these will not balance in a trial balance) Assume the following transactions (in milions, except for par yalue) occurred the next fiscal year beginning January 1 (the current year]: a. Provided delivery service to customels, who paid $8.890 in cash and owed $34.304 on account b. Purchased new equipment costing $3,734; signed a long-term note c. Paid $10,864 cash to rent equipment and aircraft, with $5,386 for rent this year and the rest for rent next year (o prepoid expense). d. Spent $1,164 cash to repair facilties and equipment during the year e. Collected $33.285 from customers on account 7. Repaid $300 on a long-term note (ignore interest) g lssued 200 miltion additional shares of $0.01 par value stock for \$31 (that's \$31 million). h. Paid employees $13.026 for work duting the year i Purchased spare parts, supplies, and fuel for the arclatt and equipment for $11,064 cash 1. Used $7,200 in spare parts, supplies, and fuel for the alccroft and equipment during the vear. k. Paid $1084 on accounts payable 1 Ordered $118 in spore parts and supplies. Required: 1. Prepare journal entries for each transaction: 2. Enter the ending bolonces fram December 31 os the respective beginning balances for Joavary 1 or the cumentuvar Record in the Traccounts the effects of each transaction Lobel sach using the letter of the tarisactor 3. Prepare an unadjusted income statement for the current year ended December 31
