Cornerstones of Financial Accounting, 2nd edition
Rich/Jones/Mowen/Hansen
Check Figures
Check figures are given for selected exercises, problems, and cases
Chapter 3
3-12(a)Total April cash-basis revenue= $37,650
Total April accrual-basis revenue = $48,120
3-13(a)Total May cash-basis expense = $110,450
(b)Total May accrual-basis expense = $132,600
3-14Revenue recognized in October = $940
3-15(a)Total July cash-basis expense = $33,050
(b)Total July accrual-basis expense = $31,960
3-222.Book value = $110,500
3-24Net income = $20,400
3-25Ending retained earnings = $12,155
3-26Total assets = $31,280
3-271.Debit to Retained Earnings = $10,500
2.Net increase in retained earnings = $9,900
3-281.February cash-basis expenses = $4,925
2.February accrual-basis expenses = $9,500
3-311.Accrual-basis net income = $40,125
2.Cash-basis net income = $66,650
3-32Sales revenue to report = $2,415,250
3-331.2011 expense recognized = $0
2.Assume remaining toothbrushes given out; 2013 expense
recognized = $939
3-341.Income before taxes = $124,100
2.Accounts Payable ending balance = $3,450
3-371.a.Debit to Unearned Service Revenue = $1,200
c.Debit to Accounts Receivable = $6,000
2.Cumulatively, revenue understatement = $104,700
3-381.a.Credit to Prepaid Insurance = $1,620
d. Credit to Prepaid Advertising = $2,900
2. Cumulatively, expenses understatement = $7,480
3-392.a.Debit to Insurance Expense = $8,750
c. Debit to Unearned Rent Revenue = $200,000
3-402. b. Credit to Prepaid Insurance = $1,050
d.Credit to Prepaid Repairs & Maintenance = $100
3-411.Supplies used = $11,620
3-421.a. Debit to Interest Expense = $3,200
c. Supplies used = 6,730
3-431.b.Credit to Prepaid Insurance = $2,040
d. Credit to Rent Payable = $390
3-44May 31 credit to Prepaid Insurance = $3,050
May 31 credit to Sales Revenue = $7,250
3-461 and 2.Net income = $33,347
3-472.Credit to Retained Earnings = $26,100
3-48Adjusted Trial Balance columns totals = 509,493
Net Income = 12,747
Ending Retained Earnings = 23,747
3-49A1. Cash-basis March loss = $(315)
2. Accrual-basis March income = $585
3-50A1 and 2. 2011 total expenses = $609,925
3-51A2.b.Credit to Service Revenue = $40,685
e.Credit to Prepaid Insurance = $2,000
g.Credit to Interest Payable = $450
i.Debit to Supplies Expense = $3,510
3-52A1.b. Debit to Accounts Receivable = $1,125
c.Debit to Rent Expense = $9,375
f.Debit to Supplies Expense = $17,900
2.Net overstatement of income would be $2,320
3-54A2.Total operating expenses = $476,489
Ending retained earnings = $166,591
Total current liabilities = $493,459
3-55A1. (a)Adjusted Accumulated Depreciation = $168,500
(c)Adjusted Insurance Expense = $17,120
(e)Adjusted Wages Expense = $50,950
2.(b)Debit to Unearned Service Revenue = $7,380
(d)Debit to Rent Expense = $1,500
3-56A1.Credit to Retained Earnings = $71,950
2.Net income = $71,950
3-57A1.b.Credit to Accounts Receivable = $2,332,028
e.Debit to Accounts Payable = $39,200
h.Debit to Interest Expense = $30,000
2.Ending Cash balance = $2,012,324
Ending Interest Payable balance = $30,000
3.Net income = $1,125,948
4.Ending retained earnings = $1,563,323
5.Total current liabilities = $578,707
3-58A1.Adjusted Trial Balance columns totals = 5,581,688
Net Income = 32,512
Ending Retained Earnings = 71,712
2.Total current liabilities = $159,438
3-49B1. Cash-basis March income = $1,950
2. Accrual-basis March income = $1,560
3-50B1 and 2.2011 total expenses = $51,670
3-51B2.b.Credit to Service Revenue = $2,825
d.Credit to Prepaid Insurance = $750
g.Debit to Supplies Expense = $175
3-52B1.b. Debit to Accounts Receivable = $17,640
e.Debit to Supplies Expense = $661
2.Net understatement of income would be $32,734
3-54B2.Total operating expenses = $923,890
Ending retained earnings = $67,730
Total current liabilities = $69,130
3-55B1. (a)Adjusted Prepaid Insurance = $4,144
(d)Adjusted Service Revenue = $132,130
(e)Adjusted Depreciation Expense = $10,500
2.(b)Credit to Interest Payable = $4,175
(c)Credit to Wages Payable = $17,600
3-56B1.Credit to Retained Earnings = $49,250
2.Net income = $49,250
3-57B1.b.Credit to Accounts Receivable = $199,100
g.Debit to Accounts Payable = $73,000
h.Debit to Interest Expense = $2,700
2.Ending Cash balance = $12,300
Ending Interest Payable balance = $2,700
3.Net income = $38,500
4.Ending retained earnings = $86,500
5.Total current liabilities = $36,800
3-58B1.Adjusted Trial Balance columns totals = 2,204,300
Net Income = 148,900
Ending Retained Earnings = 135,600
2.Total current liabilities = $88,600
3-663.Expenses = 365,550
3-674.Credit to Retained Earnings = $98,000,000
3-683.Abercrombie & Fitch debit to Income Summary (to close
expenses) = $2,943,503,000
3-692.Ending Cash balance $7,380
Ending Sales Revenue balance = $9,500
3.Trial balance totals = 93,300
5.Net income understatement would be $23,830
6. Net income = $1,210
Total current liabilities = $11,860