Reference no: EM13378134

Services at December 31, 2011 are listed below:

Accounts Payable	$12,000	J. Trendsetter, Capital 1/1/11	$10,000
Accounts Receivable	6,000	Supplies	1,000
Cash	18,000	Taxes Expense	1,300
Computer Equipment	21,000	Utilities Expens	8,000
Fees Earned	70,000	Wages Expense	25,000
Rent Expense	10,000	Supplies Expense	1,700

Prepare an income statement, statement of owner's equity, and a balance sheet as of December 31, 2011.

Jacki Lopez started JVL Consulting on January 1, 2011. The following are the account balances at the end of the first month of business, before adjusting entries were recorded:

Accounts Payable	$350
Accounts Receivable	750
Cash	4,325
Consulting Revenue	4,925
Equipment	7,000
Jacki Lopez, Capital	15,000
Jacki Lopez, Drawing	1,400
Prepaid Rent	6,000
Supplies	800

Adjustment data:

Supplies on hand at the end of the month: $300

Unbilled Consulting Revenue: $850

Rent expense for the month: $2,000

Depreciation on equipment: $150

(a) Prepare the required adjusting entries, adding accounts as needed.

(b) Prepare an Adjusted Trial Balance for JVL Consulting as of January 31, 2011.

The following is the adjusted trial balance for ABC Company.

Sandeep Company
Adjusted Trial Balance
December 31, 2010
Cash	8,130
Accounts Receivable	3,300
Prepaid Expenses	2,750
Equipment	10,400
Accumulated Depreciation		2,200
Accounts Payable		2,700
Notes Payable		1,000
Rena Sandeep, Capital		11,200
Rena Sandeep, Drawing	4,870
Fees Earned		36,600
Wages Expense	12,450
Rent Expense	4,900
Utilities Expense	3,475
Depreciation Expense	2,150
Miscellaneous Expense	1,275
Totals	53,700	53,700

Prepare closing entries and the post- closing trial balance.

A copy machine acquired with a cost of $1,410 has an estimated useful life of 4 years. It is also expected to have a useful operating life of 13,350 copies. Assuming that it will have a residual value of $75, determine the depreciation for the first year by the

a. straight-line method

b. double declining-balance method

c. production method (4,500 copies were made the first year)

TThe Torre Company has the following balances in stockholders equity on December 31st.

Common Stock - $5.00 par, 60,000 issued $300,000

Additional paid in capital - common 600,000

Preferred stock - $100 par, 5,000 issued 500,000

Additional paid in capital - preferred 100,000

Retained earnings 200,000

Treasury stock (cost - $12.00 per share) 60,000

Answer the following questions:

1. How many shares of treasury stock are owned?

2. What was the average market price per share at which common stock was issued?

3. What was the average market price per share at which preferred stock was issued?

4. What is the total value of the Paid in Capital portion of stockholders equity?

5. What is the total value of stockholders equity?

6. How many shares of common stock are outstanding?

7. If net income for the year was $75,000 and a preferred stock dividend of $20,000 was paid, what was the beginning value of retained earnings? How much is earnings per share for the year?