Silmaril, Inc

Trial Balance
January 1, 2012
Debit

Credit

Cash $ 300
Account Receivable..........................................................2,500
Inventory..........................................................................1,900
Property, Plant, and Equipment........................................4,000
Accumulated Depreciation........................................................

$1,200

Accounts Payable......................................................................

1,700

Taxes Payable............................................................................

40

Long-Term Debt........................................................................

2,200

Common Stock..........................................................................

1,000

Retained Earnings.....................................................................

2,560

Totals..............................................................................$8,700

$8,700

The following transactions were conducted by Silmaril, Inc., during 2012:

1. Made sales on account, $13,500.
2. Collected payments on account, $14,000.
3. Purchased inventory on account, $7,900.
4. Recorded cost of goods sold, $8,000.
5. Paid accounts payable, $8,100.
6. Purchased property, plant, and equipment for cash, $1,700.
7. Sold property, plant, and equipment for cash, $500 (original cost, $1,200;
accumulated depreciation, $800).
8. Paid long-term debt, $200.
9. Issued stock at par value, $450.
10. Recorded depreciation expense, $500.
11. Paid interest on debt, $180.
12. Recorded interest owed (accrued) but not paid, $20.
13. Paid miscellaneous expenses (e.g., wages, supplies, etc.) for the period, $3,200.
14. Recorded tax expense for the period, $450.
15. Paid taxes during the period, $440.