1. A. Dr. Interest expense 123.000Cr. Interest payable 123.000

B. Dr. Salary expense 2.000.000Cr. Salary payable 2.000.000

c. Dr. Depreciation expense 2.100.000Cr. Accumulated depreciation 2.100.000

D. Dr. Supplies 800.000Cr. Supplies expense 800,000

E. Dr. Rent expense 4,400,000Cr. Prepaid rent 4,400,000

F. Dr. Account receivable 25,000,000Cr. Service revenue 25,000,000

G. Dr. Rent revenue 2,500,000Cr. Unearned rent revenue 2,500,000

H. Dr. Utilities expense 1,800,000Cr. Utilities payable 1,800,000

i. Dr. Prepaid advertising 700,000Cr. Advertising expense 700,000

J. Dr Bad debt expense 1.150.000

Cr. Allowance for doubtfull account 1,150,000

2.

PT PERAKINCOME STATMENT

FOR THE YEAR ENDED DECEMBER 31,2008

Sales 2.150.0000Sales discount (105.000)Net sales 2.045.000COGS :

Beggining Inventory 82.000Purchase 950.000Purchase return and allowance (90.000)Purchase discount (88.000)Freight-in 34.000COGP 888.000Ending Inventory (70.000) (818.000)

Gross profit 1.227.000Selling expense 243.000Administrative expense 187.000 (430.000)Other Income and expenseInterest revenue 50.000Gain on sale 11.000Loss on sale`` (31.000) 30.000Income From Operation 827.000Interest expense (76.000)Income before income tax 751,000Income tax (225.300)Income from continuing Operation 525.700Discontinued Operation

Loss on operation less aplicableIncome taxes 47.400 (110.600)

Loss on disposal less aplicable Income taxes 13.200 (30.800) (141.400)

Net Income 384.300EPS

Income from continuing Operation 0,6571Loss on operating (0,1382) Loss on disposal (0,0385)Net income 0,4804

3.

VIVALDI CORPORATIONStatement of Financial Position

December 31, 2010

Assets

Non-current assetsLong-term investments

Investments in bonds $299,000Investments in capital shares 277,000

Total long-term investments $ 576,000Property, plant, and equipment Land 260,000 Buildings $1,040,000

Less: Accum. depreciation 352,000 688,000 Equipment 600,000Less: Accum. depreciation 60,000 540,000Total property, plant, and equipment 1,488,000

Intangible assetsFranchise 160,000Patent 195,000Total intangible assets 355,000Total non-current assets 2,419,000Current assetsInventories 597,000Accounts receivable 435,000Less: Allowance for doubtfulAccounts 25,000 410,000Trading securities 153,000Cash 197,000Total current assets 1,357,000Total assets $3,776,000

Equity and LiabilitiesEquityShare capital—ordinary ($5 par) $1,000,000Retained earnings* 130,000Accumulated other comprehensiveIncome 80,000Less: Treasury shares 191,000Total equity $1,019,000

Non-current liabilitiesBonds payable $1,000,000Long-term notes payable 900,000Provision for pensions 80,000Total non-current liabilities 1,980,000Current liabilitiesShort-term notes payable $ 90,000

Accounts payable 455,000Dividends payable 136,000Accrued liabilities 96,000Total current liabilities 777,000Total liabilities 2,757,000Total equity and liabilities $3,776,000

*Computation of Retained Earnings:Sales $7,900,000Investment revenue 63,000Cost of goods sold (4,800,000)Selling expenses (2,000,000)Administrative expenses (900,000)Interest expense (211,000)Net income $ 52,000Beginning retained earnings $ 78,000Net income 52,000

Ending retained earnings $ 130,000

4.

7/1 Accounts Receivable—Sinulingga Co. 9,800

Sales ($10,000 X 98%) 9,800

7/5 Cash [$12,000 X (1 – .09)] 10,920

Loss on Sale of Receivables 1,080

Accounts Receivable ($12,000 X 98%) 11,760

Sales Discounts Forfeited 24

7/9 Accounts Receivable 180

Sales Discounts Forfeited 180

($9,000 X 2%)

Cash 5,640

Finance Charge ($6,000 X 6%) 360

Notes Payable 6,000

7/11 Accounts Receivable—Sinulingga Co. 200

Sales Discounts Forfeited 200

($10,000 X 2%)

12/29 Allowance for Doubtful Accounts 9,000

Accounts Receivable—Sinulingga Co. 9,000

[$9,800 + $200 = $10,000 – (10% X $10,000) = $9,000]

12/31 Bad Debt Expense 75,000

Allowance for Doubtful Accounts

($350,000 – $275,000) 75,000

5.

April 1 Petty Cash 200Cash 200

April 10 Inventory (Transportation in) 60Supplies Expense 25Postage Expense 40Accounts Receivable—Employees 17Miscellaneous Expense 36Cash Over and Short 10

Cash ($200 – $12) 188

April 20 Petty Cash 100Cash 100