financial accounting 494648

Bus Adm-201 Fall 2013 EXTRA CREDIT TWO Due in DS week of November 18 GRADING: Worth 15 points. Partially completed problems will not be accepted. If you complete all items requested, you will earn at least 5 points. The remaining points are dependent on accuracy of your answers! Green Bay Konkers Corporation prepares quarterly financial statements. The balance sheet at 12/31/13 is presented below. Balance Sheet 12/31/2013 Cash $ 26,500 Accounts payable $ 36,200 Accounts receivable 22,300 Common stock 130,000 Allowance for doubtful accounts (2,000) Retained earnings 50,600 Equipment 35,000 Accumulated depreciation – equipment (25,000) Land 40,000 Building 160,000 Accumulated depreciation – building (40,000) $ 216,800 $216,800 During the first quarter of 2014, the following transactions occurred: 1. Green Bay Konkers performed services during the first quarter for $162,000 on account. 2. On 2/1/14, Green Bay Konkers collected fees of $18,000 in advance for $1,500 of services to be performed each month from 2/1/14 to 1/30/15. 3. On 2/1/14, Green Bay Konkers purchased computer equipment for $15,000 plus sales taxes of $750. $5,000 cash was paid with the rest on account. Check #455 was used. 4. Green Bay Konkers collected $151,000 on 3/5/14 from customers on account. 5. Green Bay Konkers paid $42,300 on accounts payable. Check #456 was used. 6. Paid other operating expenses of $105,230. Check #457 was used. 7. Acquired a patent with a 10-year life for $12,000 cash on 3/1/14. Check #458 was used. 8. Wrote off a customer receivable of $500 who went bankrupt. 9. On 3/31/14, Green Bay Konkers sold for $2,780 cash equipment which originally cost $16,000. It had an estimated life of 5 years and salvage of $1,000. Accumulated depreciation as of 12/31/13 was $13,500 using the straight line method. Record depreciation on the equipment sold, then record the sale. 10. AJE 3/31/14: Record revenue earned from item 2…