Kelompok 4 :

Almira Cahya S F1319004

Bella Rahmalinda W F1319012
Febriyanti Puspita F1319020
Irene Berliana F1319031

S1 AKUNTANSI TRANSFER - A

TUGAS LATIHAN
E11 4 Determining Income Statement Amounts

a. Journal entries recorded by home office:

H(1) Inventory 30,000
Accounts Payable 30,000
Purchase of inventory.
H(2) Investment in Branch 45,000
Inventory 20,000
Unrealized Intracompany Profit 25,000
Transfer of inventory to branch, billed in excess of cost.
H(3) Cash 11,000
Sales 11,000
Record sale of inventory to Separate Company.
H(4) Cost of Goods Sold 6,000
Inventory 6,000
Record cost of inventory sold to Separate Company.
H(5) Unrealized Intracompany Profit 17,500
Realized Profit on Branch Shipments 17,500
Recognize portion of intracompany profit realized: $25,000 x 0.70

Journal entries recorded by branch:

B(1) Inventory──From Home Office 45,000

Home Office 45,000
Transfer of inventory from home office.
B(2) Accounts Receivable 58,000
Sales 58,000
Record sale of inventory.
B(3) Cost of Goods Sold 31,500
Inventory──From Home Office 31,500
Record cost of inventory sold: $45,000 x 0.70

b. (1) Cost of goods sold by branch = $ 31,500

(2) Sales reported by branch = $ 58,000
(3) Cost of goods sold for Bean Corporation as a whole:
Recorded by home office $ 6,000
Recorded by branch $ 31,500
Less: Realized intracompany profit
recorded by home office (17,500) 14,000
Cost of goods sold for company as a whole $20,000

(4) Sales for Bean Corporation as a whole:

Total sales recorded by Bean Corporation $11,000
 Total sales recorded by branch 58,000
Total sales for company as a whole $69,000

E11 5 Inventory Transfers

a. Journal entries recorded by home office:
H(1) Finished Goods Inventory 200,000
Work In Process 200,000
Cost of inventory completed.
H(2) Investment in Branch 280,000
Inventory 200,000
Unrealized Intracompany Profit 80,000
Transfer of inventory to branch, billed in excess of cost.
H(3) Unrealized Intracompany Profit 20,000
Realized Profit on Branch Shipments 20,000
Recognize portion of intracompany profit realized: $80,000 x 0.25

Journal entries recorded by branch:

B(1) Inventory──From Home Office 280,000
Home Office 280,000
Transfer of inventory from home office.
B(2) Accounts Receivable 105,000
Sales 105,000
Record sale of inventory.
B(3) Cost of Goods Sold 70,000
Inventory──From Home Office 70,000
Record cost of inventory sold.

b. Eliminating entries:

E(1) Realized Profit on Branch Shipments 20,000

Cost of Goods Sold 20,000
Eliminate home office profit from cost of goods sold.
E(2) Unrealized Intracompany Profit 60,000
Inventory──From Home Office 60,000
Eliminate unrealized intracompany profit from inventory.
E(3) Inventory 150,000
Inventory──From Home Office 150,000
Reclassify inventory from home office:
$280,000 $70,000 $60,000
E11 6 Inventory Transfers in Consecutive Years
a. Journal entries recorded by home office:
H(1) Unrealized Intracompany Profit 33,000
Realized Profit on Branch Shipments 33,000
Recognize portion of 19X6 intracompany profit realized in 19X7: $60,000 x .55
H(2) Investment in Branch 225,000
Inventory 150,000
Unrealized Intracompany Profit 75,000
Transfer of inventory to branch, billed
in excess of cost.

H(3) Unrealized Intracompany Profit 25,000

Realized Profit on Branch Shipments 25,000
Recognize portion of 19X7 intracompany
profit realized in 19X7: $75,000 x 1/3

Journal entries recorded by branch:

B(1) Accounts Receivable 295,000

Sales 295,000
Record sale of inventory.

B(2) Cost of Goods Sold 165,000

Inventory──From Home Office 165,000
Record cost of inventory sold:
$300,000 x .55

B(3) Inventory──From Home Office 225,000

Home Office 225,000
Transfer of inventory from home office.

B(4) Accounts Receivable 140,000

Sales 140,000
Record sale of inventory.

B(5) Cost of Goods Sold 75,000

Inventory──From Home Office 75,000
Record cost of inventory sold:
$225,000 x 1/3
b. Eliminating entries:

E(1) Realized Profit on Branch Shipments 58,000

Cost of Goods Sold 58,000
Eliminate home office profit from cost of
goods sold: $33,000 + $25,000
 E(2) Unrealized Intracompany Profit 50,000
Inventory──From Home Office 50,000
Eliminate unrealized intracompany
profit from inventory: $75,000 $25,000

E(3) Inventory 100,000

Inventory──From Home Office 100,000
Reclassify inventory from home office:
$225,000 $75,000 $50,000

E11-9 Adjusting and Closing Entries

a.Journal entries recorded by home office:

H(1) Unrealized Intracompany Profit 11,200

Realized Profit on Branch Shipments 11,200
Recognize intracompany profit:
($96,000 - $80,000) x .70

H(2) Investment in Kansas City Branch 453,000

Kansas City Branch Income 453,000
Record Kansas City branch income.

H(3) Kansas City Branch Income 453,000

Income Summary 453,000
Close branch income to income summary.

Journal entries recorded by Kansas City branch:

B(1) Income Summary 453,000

Home Office 453,000
Close income summary.

b. The Kansas City branch's remaining inventory purchased from the home office would
be reported at $24,000 ($80,000 x .30) in Liz-Mark's balance sheet at the end of 19X9.

E11- 10 Transfers between Branches

Journal entries recorded by home office:

H(1) Investment in Dullesville Branch 90,000

Cash 40,000
Land 50,000
Transfer of cash and land to
Dullesville branch.
 H(2) Investment in Dullesville Branch 190,000
Investment in Brandenburg Branch 190,000
Transfer of inventory and equipment from
Brandenburg branch to Dullesville branch.

Journal entry recorded by Brandenburg branch:

B(1) Home Office 190,000

Inventory 70,000
Equipment 120,000
Transfer of inventory and equipment
to Dullesville branch.

Journal entries recorded by Dullesville Branch:

B(1) Cash 40,000

Land 50,000
Home Office 90,000
Transfer of cash and land from home office.
B(2) Inventory 70,000
Equipment 120,000
Home Office 190,000
Transfer of inventory and equipment from Brandenburg branch.
B(3) Inventory 22,000
Cash 22,000
Purchase of inventory.

P11-17 Trial Balance with Inventory Profits

a.
Dependable Appliance Corporation
Financial Statement Workpaper
December 31, 19X5
New York Eliminations
Item Home Office Combined
Branch Debit Credit
Sales 300,000 200,000 500,000
New York Branch Income 30,000 (1) 30,000
Realized Intracompany profit 24,000 (2) 24,000
Credits 354,000 200,000 500,000
Cost of Goods Sold 240,000 120,000 (2) 24,000 336,000
Depreciation Expense 30,000 15,000 45,000
Other Expenses 20,000 35,000 55,000
Debits (290,000) (170,000) (436,000)
Net Income, Carry forward 64,000 30,000 54,000 24,000 64,000

Ret. Earnings, Jan. 1 460,000 460,000

Home Office, preclosing bal. 400,000 (1)400,000
Net Income, from above 64,000 30,000 54,000 24,000 64,000
 524,000 430,000 524,000
Dividends Declared (20,000) (20,000)
Ret. Earnings, Dec. 31, car. fwd. 504,000 430,000 454,000 24,000 504,000
Cash 60,000 55,000 115,000
Accounts Receivable 70,000 40,000 110,000
Inventory 110,000 80,000 (3) 6,000 184,000
Land 80,000 40,000 120,000
Buildings and Equipment 700,000 400,000 1,100,000
Investment in New York Branch 430,000 (1)430,000
Debits 1,450,000 615,000 1,629,000

Accum. Depreciation 350,000 165,000 515,000

Accounts Payable 90,000 20,000 110,000
Bonds Payable 300,000 300,000
Common Stock 200,000 200,000
Ret. Earnings (and Home
504,000 430,000 454,000 24,000 504,000
Office), from above
Unrealized Intracompany Profit 6,000 (3) 6,000
Credits 1,450,000 615,000 460,000 460,000 1,629,000

b.
Dependable Appliance Corporation
Income Statement
Year Ended December 31, 19X5
Sales $500,000
Cost of Goods Sold $336,000
Other Expenses 45,000
Other Expenses 55,000
Total Expenses 436,000
Net Income $ 64,000

Dependable Appliance Corporation

Balance Sheet
December 31, 19X5

Cash $ 115,000
Accounts Receivable 110,000
Inventory 184,000
Total Current Assets $ 409,000
Land 120,000
Buildings and Equipment $1,100,000
Less: Accumulated Depreciation (515,000) 585,000
Total Assets $1,114,000

Accounts Payable $ 110,000

Bonds Payable 300,000
Common Stock $ 200,000
Retained Earnings 504,000 704,000
Total Liabilities and Stockholders' $1,114,000
Equity

P11-19 Comprehensive Workpaper

 a. Adjusted and corrected trial balance:

Martin Products Company

Adjusted Trial Balance
December 31
Philadelphia Branch Martin Home Office
Item Debit Credit Debit Credit
Cash $ 80,000 $ 35,000
Accounts Receivable 95,000 52,000
Inventory 210,000 90,000
Loan to Philadelphia Branch 10,000
Land 220,000 150,000
Buildings and Equipment 2,100,000 290,000
Investment in Philadelphia Branch 500,0001
Dividends Declared 25,000
Cost of Goods Sold 1,160,000 310,000
Depreciation Expense 88,0002 42,0003
Other Expenses 317,0004 93,0005
Accumulated Depreciation $ 555,000 $ 40,000
Accounts Payable 85,000 67,000
Payable to Home Office 10,000
Bonds Payable 400,000
Common Stock 1,000,000
Home Office 435,0006
Retained Earnings 630,000
Unrealized Intracompany Profit 15,0007
Unrealized Gain on Land Transfer 90,000
Sales Revenue 1,880,000 510,000
Other Income 25,000
Realized Intracompany Profit 60,0008
Philadelphia Branch Income 65,0009
$4,805,000 $4,805,000 $1,062,000 $1,062,000

1
$ 500,000 = $ 500,000 + $ 3,000 + $ 2,000 - $5,000
2
$ 88,000 = $ 90,000 - $ 2,000
3
$ 42,000 = $ 40,000 + $ 2,000
4
$ 317,000 = $ 320,000 - $ 3,000
5
$ 93,000 = $ 90,000 + $ 3,000
6
$ 435,000 = $ 430,000 + $ 2,000 + $ 3,000
7
$ 15,000 = $ 50,000 - $ 35,000
8
$ 60,000 = ($300,000 - $ 225,000) - ($50,000- $35,000)
9
$ 65,000 = $70,000 - $ 2,000 - $ 3,000

b. Workpaper for preparation of Martin Products Company financial statements:

Martin Products Company
Financial Statement Workpaper
December 31

Eliminations
Item Home Office Branch Combined
Debit Credit
Sales Revenue 1,880,000 510,000 2,390,000
Philadelphia Branch Income 65,000 (1) 65,000
Other Income 25,000 (5) 22,000 3,000
Realized Intracompany Profit 60,000 (3) 60,000
Credits 2,030,000 510,000 2,393,000
Cost of Goods Sold 1,160,000 310,000 (3) 60,000 1,410,000
Depreciation Expense 88,000 42,000 130,000
Other Expenses 317,000 93,000 (5) 22,000 388,000
Debits 1,565,000 445,000 1,928,000
Net Income, carry forward 465,000 65,000 465,000

Retained Earnings, Jan. 1 630,000 630,000

Home Office, preclosing
435,000 (1)435,000
balance
Net Income, from above 465,000 65,000 147,000 82,000 465,000
1,095,000 500,000 1,095,000
Dividends Declared 25,000 25,000
Retained Earnings,
1,070,000 500,000 582,000 82,000 1,070,000
Dec. 31, carry forward
Cash 80,000 35,000 115,000
Accounts Receivable 95,000 52,000 147,000
Inventory 210,000 90,000 (4) 15,000 285,000
Loan to Branch 10,000 (6) 10,000
Land 220,000 150,000 (2) 90,000 280,000
Buildings and Equipment 2,100,000 290,000 2,390,000
Investment in
500,000 (1)500,000
Philadelphia Branch
Debits 3,215,000 617,000 3,217,000
Accumulated Depreciation 555,000 40,000 595,000
Accounts Payable 85,000 67,000 152,000
Payable to Home Office 10,000 (6) 10,000
Bonds Payable 400,000 400,000
Common Stock 1,000,000 1,000,000
Retained Earnings and
1,070,000 500,000 582,000 82,000 1,070,000
Home Office, from above
Unrealized Intracompany
15,000 (4) 15,000
Profit
Unrealized Gain on Land
90,000 (2) 90,000
Transfer
Credits 3,215,000 617,000 697,000 697,000 3,217,000