The Boston Trading Company, whose accounting year ends on December 31, had the following normal balances in its general ledger at December 31.
| Cash | $19,500 |
| Accounts Receivable | 84,900 |
| Inventory | 109,500 |
| Prepaid Insurance | 9,000 |
| Office Supplies | 6,300 |
| Furniture & Fixtures | 31,500 |
| Accumulated Depreciation – Furn. & Fixtures | 7,500 |
| Delivery Equipment | 126,000 |
| Accumulated Depreciation – Delivery Equipment | 18,000 |
| Accounts Payable | 61,500 |
| Long-term Notes Payable | 45,000 |
| Common Stock | 112,500 |
| Retained Earnings | 77,100 |
| Sales Revenue | 945,000 |
| Cost of Goods Sold | 606,000 |
| Utilities Expense | 7,200 |
| Salaries Expense | 207,000 |
| Delivery Expense | 16,200 |
| Advertising Expense | 8,400 |
| Rent Expense | 21,600 |
| Income Tax Expense | 13,500 |
During the year, the accounting department prepared monthly statements but no adjusting entries were made in the journals and ledgers. Data for the year-end procedures are as follows:
| Prepaid insurance, December 31 | $1,200 |
| Depreciation Expense on furniture and fixures for year | 1,800 |
| Depreciation Expense on delivery equip. for the year | 14,000 |
| Salaries Payable, December 31 | 3,000 |
| Unused office supplies on December 31 | 1,000 |
What are the total operating expenses for the year ended December 31st?
Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.
You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.
Read moreEach paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.
Read moreThanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.
Read moreYour email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.
Read moreBy sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.
Read more