Accounting
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accounting.docx
Bob Company has the following balances on January 31, 2013:
Cash $6,000
Supplies 900
Prepaid Insurance 4,800
Equipment 6,000
Accumulated Depreciation – Equipment 500
Accounts Payable 1,800
Notes Payable 2,600
Bob, Capital 9,000
Bob, Drawings 1,200
Service Revenue 6,000
Rent Expense 1,000
All of the accounts have normal balances. Additional information for the month of January resulted in the following adjusting entries:
Date
Account
Debit
Credit
January 31
Supplies Expense
300
Supplies
300
January 31
Insurance Expense
400
Prepaid Insurance
400
January 31
Depreciation Expense - Equipment
100
Accumulated Depreciation - Equipment
100
January 31
Utilities Expense
200
Accounts Payable
200
Instructions: Prepare in journal form, without explanation, the end of month closing entries for Bob Company in the answer section provided below.
Date
Account
Debit
Credit
Quiz #2 Part B Question #2 (Worth 1.5 Points)
The following information is available for Bob Company:
Beginning inventory 300 units at $3First purchase 800 units at $4Second purchase 100 units at $4.60
Assume that Bob Company uses a periodic inventory system and that there are 400 units left at the end of the month.
Instructions: Compute the cost of ending inventory and Cost of Goods Sold under each of the following methods: LIFO, FIFO, Average Cost.
a) LIFO Ending Inventory Cost =
COGS =
(b) FIFO Ending Inventory Cost =:
COGS =
(c) Average Cost Ending Inventory =
COGS =
