Kasserine Sanchez Bags

Marian A. Polanco BABA 1 - G Worksheet

For the year ended Dec. 31, 2019

Trial Balance Adjustments

Account Title Debit Credit Debit Credit

Cash 72,000
Accounts Receivable 136,000
Merchandise Inventory 598,000
Prepaid Advertising 75,000 25,000
Office Supplies 42,000 25,000
Land 400,000
Office Building 1,600,000
Accu. Depreciation- O. Building 100,000 15,000
Office Equipment 570,000
Accu. Depreciation- O. Equipment 150,000 20,000
Accounts Payable 74,000
Mortgage Payable 1,100,000
Notes Payable Due in 2 years 200,000
Salaries Payable 21,000
Sanchez, Capital 1,510,000
Sanchez, Withdrawal 200,000
Sales 4,600,000
Sales Discounts 161,000
Sales Returns and Allow. 187,000
Purchases 2,643,000
Transportation In 72,000
Purchases Discounts 172,000
Purchases Returns and Allow. 133,000
Depreciation Expense-Equipment 20,000
Depreciation Expense-Building 15,000
Advertising Expense 25,000
Insurance Expense 25,000
Interest Expense 208,000
Salaries Expense 862,000 21,000
Travel Expense 188,000
Office Supplies Expense 17,000
Interest Expense
8,039,000 8,039,000 98,000 106,000
Profit

Adjusting Entries
Closing Entries
Office Supplies Expense 17,000
 Office Supplies 17,000 Mechandise Inventory, Dec.
Sales
Advertising Expense 25,000 Purchases Returns and A
Prepaid Advertising 25,000 Purchases Discounts
Income Summary
Salaries Expense 21,000
Salaries Payable 21,000 Income Summary
Mechandise Inventory, 1/1
Depreciation Expense - Building 15,000 Sales Returns and Allow.
Depreciation Expense - Equipment 20,000 Sales Discounts
Acc, Dep, Expense - Building 15,000 Purchases
Acc, Dep, Expense - Equipment 20,000 Transportation In
Salaries Expense
Office supplies Expense
Insurance Expense
Depreciation Expense - O
Depreciation Expense - O
Travel Expense
Advertising Expense
Interest Expense

Income Summary
Sanchez, Capital

Sanchez, Capital
Sanchez, Withdrawal
ec. 31, 2019

Income Statement Balance Sheet

Debit Credit Debit Credit
72,000
136,000
723,000
598,000 723,000 50,000
25,000
400,000
1,600,000
115,000
570,000
170,000
74,000
1,100,000
200,000
21,000
1,510,000
200,000

4,600,000

172,000
133,000
20,000
15,000
25,000
25,000
208,000
883,000
188,000
17,000

5,042,000 5,628,000 3,776,000 3,190,000

586,000 586,000
5,628,000 5,628,000 3,776,000 3,776,000

sing Entries
 handise Inventory, Dec. 31 723,000
ales 4,600,000
urchases Returns and Allow. 133,000
urchases Discounts 172,000
Income Summary 5,628,000

me Summary 5,042,000
Mechandise Inventory, 1/1 598,000
ales Returns and Allow. 187,000
ales Discounts 161,000
urchases 2,643,000
ransportation In 72,000
alaries Expense 883,000
Office supplies Expense 17,000
nsurance Expense 25,000
Depreciation Expense - OB 15,000
Depreciation Expense - OE 20,000
Travel Expense 188,000
Advertising Expense 25,000
nterest Expense 208,000

me Summary 586,000
Sanchez, Capital 586,000

chez, Capital 200,000

Sanchez, Withdrawal 200,000
 Kasserine Sanchez Bags
Statement of Income
For the year ended Dec. 31, 2019
Net Sales 4,600,000
Gross Sales 187,000
Less: Sales Returns and Allow. 161,000 348,000
Sales Discounts 4,252,000
Net Sales
Cost of Sales
Merchandise Inventory , 1/1/2019 598,000
Purchases 2,643,000
Less: Purchases Returns and Allow. 133,000
Purchases Discounts 172,000
Net Purchases 2,338,000
Transportation In 72,000
Net Cost of Purchases 2,410,000
Goods Available For Sale 3,008,000
Less: Merchandise Inventory, 12/31 723,000
Cost of Sales 2,285,000
Gross Profit 1,967,000
Operating Expenses
Depreciation Expense- Equipment 20,000
Depreciation Expense- Building 15,000
Advertising Expense 25,000
Insurance Expense 25,000
Salaries Expense 883,000
Travel Expense 188,000
Office Supplies Expense 17,000
Operating Expenses 1,173,000
Operating Profit 794,000
Finance Costs 208,000
Profit 586,000
 Kasserine Sanchez Bags
Statement of Financial Position
31-Dec-19
Assets
Current Assets
Cash 72,000
Accounts Receivable 136,000
Merchandise Inventory 723,000
Office Supplies 25,000
Prepaid Advertising 50,000
Total Current Assets 10,006,000
Property and Equipment
Land 400,000
Office Building 570,000
Less: Acc. Depreciation - Office Building 170,000
Office Equipment 1,600,000
Less: Acc. Depreciation - Office Equipment 115,000
Total Property and Equiment 2,285,000
Total Assets 3,291,000

Liabilities
Current Liabilities
Accounts Payable 74,000
Total Current Liabilities 21,000 95,000
Non- Current Liabilities
Notes Payble due in 2 yrs. 200,000
Mortgage Payable 1,100,000 1,300,000
Total Liabilities 1,395,000

Owner's Equity
Sanchez, Capital, 12/31 1,896,000
Total Liabilities and Owner's Equity 3,291,000
 Kasserine Sanchez Bags
Statement of Changes in Owner's Equity
For the year ended Dec. 31, 2019

Sanchez, Capital, Beg. 1,510,000

Add: Profit 586,000
Total 2,096,000
Less: Withdrawal 200,000
Sanchez, Owner's Equity 1,896,000