Description of this paper

...

Description

Solution


Question

ACT 410 Project Given the following account information for Leong Corporation at December 31, 2012. All accounts have normal balances. Equipment Interest Expense Interest Payable Retained Earnings,1/1/2012 Dividends Land Patent Marketable securities Spare parts Inventory Bonds Payable Notes Payable (due in 6 months) Share capital–ordinary Accumulated Depreciation - Eq. Prepaid Advertising Sales Revenue Maintenance revenues Rent revenues Beginning inventory Buildings Supplies Purchases returns Sales returns Taxes Payable Accumulated dep. of equipment under capital lease Transportation - out expense Utilities Expense Advertising Expense Salary Expense (70% sales and 30% offices) Salaries Payable Accumulated Dep. - Buildings. Cash Depreciation Expense: Building& Equipment Losses due to an earthquake damage Purchases Lands kept for sale in the future Goodwill Restricted cash Loss of (X) division from operations (pre-tax) Gain on disposition of (X) division’s assets (pre-tax) Dividends revenues Franchise Spare used during the period Purchase discount Sales discount Sales allowance Sales commission Transportation - in expense Patent amortization expense Goodwill impairment expense Available for sale securities Investment in bonds Share capital (300,000 ordinary shares, par 1KD) Share capital(5,000 preference shares , 8%, 10KD par) Share premium – ordinary Share premium – preference Treasury shares (at cost) Accumulated other comprehensive income components Supplies expense Account payable of capital lease Equipment under capital lease Account receivable (due in two years) Research cost Development cost (verifiable) 40,000 2,400 600 ? 50,400 137,320 120,000 42,000 32,000 78,000 14,400 60,000 10,000 5,000 831,400 125,600 34,000 82,000 80,400 8,860 12,000 22,000 3,000 4,000 4,850 5,320 3,560 153,040 3,900 15,000 30,000 14,000 55,000 458,000 20,000 85,000 15,000 35,000 80,000 10,000 65,000 12,000 14,000 28,000 10,000 18,480 11,520 4,000 5,000 42,000 50,000 300,000 50,000 30,000 10,000 20,000 18,500 2,420 22,800 31,000 12,000 44,500 72,000 Additional information: - Ending inventory was evaluated at 102,000 KD at cost using FIFO method and at 97,500 KD at NRV. - All items are subject to 25% income tax. Required: Step (1) : Prepare Trial Balance for year 2012 Step (2): Prepare income statement at December 2012 for the company Step (3): Prepare a classified statement of financial position at December 2012.

 

Paper#6769 | Written in 18-Jul-2015

Price : $25
SiteLock