Chapter
14
Distributing Dividends and Preparing a Work Sheet for
Merchandising Business
a
Di stributing Corporate Earnings to Stockholders
Financial Information
Stockholders' Equity Accounts Used by a Corporation
Declaring a Dividend
Paying a Dividend
Beginning an 8-Column Work Sheet for a Merchandising Business
Entering a Trial Balance on a Work Sheet
Planning Adjustments on a Work Sheet
Recording a Trial Balance on a Work Sheet
Analyzing and Recording Supplies Adjustments
Analyzing Supplies Adjustments
Recording Supplies Adjustments on a Work Sheet
Analyzing and Recording a Prepaid Insurance Adjustment
Analyzing a Prepaid Insurance Adjustment
Recording a Prepaid Insurance Adjustment
Planning and Recording a Merchandise Inventory Adjustment
Merchandise Inventory
Analyzing and Recording a Merchandise Inventory Adjustment
Analyzing an Adjustment When Ending Merchandise Inventory Is Greater Than
Beginning Merchandise Inventory
Planning and Recording an Allowance for Uncollectible Accounts Adjustment
Allowance Method of Recording Losses from Uncollectible Accounts
Estimating Uncollectible Accounts Expense
Analyzing and Recording an Adjustment for Uncollectible Accounts Expense
Planning and Recording Depreciation Adj ustments
Categories of Assets
Depreciating Plant Assets
Calculating Depreciation Expense and Book Value
Straight-Line Depreciation
Calculating Accumulated Depreciation
Calculating Book Value
Analyzing and Recording Adjustments for Depreciation Expense
Calculating Federal Income Tax and Completing a Work Sheet
Federal Income Tax Expense Adjustment
Calculating Federal Income Tax
Recording the Federal Income Tax Adjustment
Completing a Work Sheet
A Completed 8-Column Work Sheet
A 10-Column Work Sheet (left page)
A 1O-Column Work Sheet (right page)
@
2009 South-Western, Cengage Learning
Math Work Sheets and Solutions o 15
Name
Class
Date
MATH WORK SHEET
CHAPTER 14
A
PART
Calculating Estimated Uncollectible Accounts Expense
Calculate estimated uncollectible accounts expense using a percentage of total sales on account for each
of the following items.
Total
Percentage of
Sales on
TotalSales
on Account
Account
$ 502,800.00
$ 42,s70.00
$7,0s4,130.00
$ 71,988.00
$ 621,110.00
$ 3,346.00
$ t,o2s.oo
$ 70,500.00
Estimated
Uncollectible
Accounts
Expense
1.OO%
1.00o/o
1.00o/o
2.OOo/o
2.OO%
2.OO%
1.50%
1.25o/o
B
PART
Calculating Book Value of Accounts Receivable
Calculate the book value of accounts receivable for each of the following items.
Balance of
Accounts Receivable
Allowance for
Uncollectible Accounts
$
$
$
sto.s+
$ e,oso.zs
13,325.00
$334,642.00
4,257.00
$ 70,571.00
$ 71,800.00
$280,098.00
$629,934.00
$ 75,413.00
$
Book Value of
Accounts Receivable
1,599.00
50,196.30
$
$
9,621.20
35,236.33
$105,828.91
$ 10,143.05
$
C
PART
Calculating Net lncome Before Federal lncome Tax Expense
Calculate net income before federal income tax for the following three companies
Company
Sa|es.......,.
I
Gompany 2
Company 3
$57,280
38,950
15,240
$951,750
$354,080
Cost of merchandise sold ...............
Total expenses .............
Net income before federal income tax
228,420
108,230
654,320
245,980
(continued on next page)
@
South-Western, Cengage Leaming