Whitelands Inc. had the following operating transactions during January 2020, its first month of operations. Date Transaction 1/1 Purchased 2 units of inventory costing $4 each on credit 1/3 Purchased 3 units of inventory costing $5 each on credit 1/10 Purchased 4 units of inventory costing $6 each on credit 1/21 Paid for the January 1 purchase 1/23 Paid for the January 3 purchase 1/30 Sold 7 units of inventory at $10 each on credit 1/30 Matched the inventory cost to January 30 on a FIFO basis 1/31 Estimated that 10% of credit sales will not be realized in cash A: Report accounts receivable, inventory, and accounts payable on Whitelands’ January 31, 2020 balance sheet (attached in the template below). Current Assets: Cash Accounts receivable, gross Less: allowance for uncollected accounts Accounts receivable, net Inventory Current Liabilities: Accounts payable
Whitelands Inc. had the following operating transactions during January 2020, its first month of operations.
Date Transaction
1/1 Purchased 2 units of inventory costing $4 each on credit
1/3 Purchased 3 units of inventory costing $5 each on credit
1/10 Purchased 4 units of inventory costing $6 each on credit
1/21 Paid for the January 1 purchase
1/23 Paid for the January 3 purchase
1/30 Sold 7 units of inventory at $10 each on credit
1/30 Matched the inventory cost to January 30 on a FIFO basis
1/31 Estimated that 10% of credit sales will not be realized in cash
A: Report
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Current Assets: |
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Cash |
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Accounts receivable, gross |
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Less: allowance for uncollected accounts |
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Accounts receivable, net |
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Inventory |
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Current Liabilities: |
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Accounts payable |
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