90.2K

Verified Solution

Link Copied!

Using the adjusted trial balance (pink column), prepare the closing entries as well as compute the ratios for YUMMY CHIP COMPANY.

Enter your student number first in Instructions tab or you will have brackets around all numbers Unadjusted Trial Balance at December 31, 2020 Adjusting entires for Decebmer 31, 2020 are to be entered here see below in additional info Adjusted Trial Balance for December 31, 2020 Credit Letter Ref Debit Credit Letter Ref Credit $ Debit 55953.55 52180.35 5,500 a) Debit 55,953.55 46,680.35 9,430.37 26,640.80 196,466.10 285,661.71 1,200 d) 3,200 e) -8230.37 -23440.80 196466.10 285661.71 2,000 b) 22,318.55 19,646.61 40,550.60 9,823.31 Cash Accounts Receivable Prepaid Rent Supplies Land Equipment Accumulated Amortization- Equipment Unearned Revenue Accounts Payable Note Payable (due in 5 years) Salaries Payable Lee, Capital Lee, Withdrawals Service Revenue Amortization Expense-equipment Salaries Expense Rent Expense Utilities Expense Supplies Expense Totals 24318.55 19646.61 40550.60 9823.31 2500.00 479613.05 2,500 c) 479,613.05 23,575.93 23575.93 92,732.00 5,500 a) 98232.00 14,145.56 2,000 b) 2,500) 1,200 d) 2000.00 16645.56 1200.00 6129.74 3200.00 643,013 6,129.74 e) 3,200 14,400 $ 664,684.12$ 664,684.12 14,400 643,013 PART A: Prepare the closing entries for YUMMY CHIPS COMPANY - make sure to cell reference your accou amounts from the Adjusted Trial Balance (do not retype anything in your cells!!!) Account Name Debit Credit Revenues: Expenses: Account Name Debit Credit Income Summary: Account Name Debit Credit Withdrawals: Account Name Debit Credit PART B: Compute the Current Ratio - ensuring to cell reference your numbers from the Adjusted Trial Balance (Do not retype any information !) 3 marks Compute the Debt Ratio - ensuring to cell reference your numbers from the Financial Statements (Do not retype any information !) 3 marks

Answer & Explanation Solved by verified expert

See Answer