math work sheet chapter 4 - cengage work sheet chapter 4 calculating new account balances calculate...

Math Work Sheets and Solutions 1

Name ___________________________________ Date __________________ Class _________________________

MATH WORK SHEETCHAPTER 4

Calculating New Account BalancesCalculate and record the new balance for each of the following accounts.

ACCOUNT Cash ACCOUNT NO. 110_____

BALANCE______________________

DEBIT CREDIT DEBIT CREDIT…….. ……….. 1, 200.00 ………..3,900.00 ……….. ________ ________…….. 1,755.00 ________ ________

ACCOUNT Supplies ACCOUNT NO. 120_____

BALANCE______________________

DEBIT CREDIT DEBIT CREDIT…….. ……….. 750.00 ………..150.00 ……….. ________ ________

ACCOUNT Prepaid Insurance ACCOUNT NO. 130_____

BALANCE______________________

DEBIT CREDIT DEBIT CREDIT…….. ……….. 315.00 ………..65.00 ……….. ________ ________

ACCOUNT Accts. Pay .—Hatch Company AC COUNT NO. 210_____

BALANCE______________________

DEBIT CREDIT DEBIT CREDIT…….. ……….. ………… 900.00600.00 ……….. ________ ________

ACCOUNT John Robbins, Capital ACCOUNT NO. 310_____

BALANCE______________________

DEBIT CREDIT DEBIT CREDIT…….. ……….. …………. 1,365.00…….. 500.00 ________ ________

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2 Math Work Sheets and Solutions

ACCOUNT Sales ACCOUNT NO. 410_____

BALANCE______________________

DEBIT CREDIT DEBIT CREDIT…….. 3,400.00 ________ ________…….. 550.00 ________ ________

ACCOUNT Utilities Expense ACCOUNT NO. 550_____

BALANCE______________________

DEBIT CREDIT DEBIT CREDIT30.00 ……….. ________ ________70.00 ……….. ________ ________50.00 ……….. ________ ________

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Name ___________________________________ Date __________________ Class _________________________


PART A Calculating New Balances on a Check StubCalculate the amounts needed to complete the following check stub information. Write your answers onthe lines provided.

Check No. 151: Check No. 152:Bal. Bro’t For’d ............… -0- Bal. Bro’t For’d …………… ____________Amt. Deposited ............. 12,000.00 Amt. Deposited …………… -0-Subtotal ………………… __________ Subtotal ……………………. ____________Bank Charges ............… -0- Bank Charges …………….. -0-Subtotal ………………… __________ Subtotal ……………………. ____________Amt. This Check ……… 1,500.00 Amt. This Check ………….. 260.00Bal. Car’d For’d ………. __________ Bal. Car’d For’d …………… ____________

Check No. 153: Check No. 154:Bal. Bro’t For’d .............. __________ Bal. Bro’t For’d …………… ____________Amt. Deposited ............. 500.00 Amt. Deposited …………… 150.00Subtotal ………………… __________ Subtotal ……………………. ____________Bank Charges ............… -0- Bank Charges …………….. 10.00Subtotal ………………… __________ Subtotal ……………………. ____________Amt. This Check ……… 350.00 Amt. This Check …………... 119.00Bal. Car’d For’d ………. __________ Bal. Car’d For’d …………… ____________


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PART B Reconciling Bank StatementsReconcile the bank statement received on September 29 of the current year using the followinginformation.

Bank Statement Balance ………………… $7,987.00 Outstanding ChecksBank Service Charge …………………….. 10.00 No. 161, $375.00Dishonored Check ………………………... 175.00 No. 163, $17.00Outstanding Deposit, August 28, 20— .... 430.00 Balance on Check Stub No. 165 …….. 8,210.00

PART C Calculating Amount of Petty Cash ReplenishmentPortman Products has a $200.00 petty cash fund. The following petty cash slip amounts have been paid:$16.00, $22.50, $35.00, $7.00.

Reconcile the petty cash fund. There is $119.50 remaining in the petty cash fund.Petty cash on hand ………… ___________________Total of petty cash slips …… ___________________Petty cash fund total ………. ___________________

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Name ___________________________________ Date __________________ Class _________________________


PART A Analyzing AdjustmentsCalculate the adjustment amounts for the following information.

Supplies Account Supplies on Hand Adjustment Amount Balance

$4,831.00 $2,204.00 ________________$8,901.00 $7,658.00 ________________$1,099.00 $1,010.00 ________________

Prepaid Insurance Value of Adjustment AmountAccount Balance Prepaid Insurance

$1,300.00 $1,000.00 ________________$2,600.00 $ 500.00 ________________$ 900.00 $ 100.00 ________________

PART B Converting International Weights and MeasuresUse the following metric conversion chart and calculate the new weights and measures. Roundconversions to the nearest hundredth.

To Change To Multiply by Conversion

10 meters inches 39.37 __________ inches12 decimeters inches 3.94 __________ inches6 centimeters inches 0.39 __________ inches9 millimeters inches 0.04 __________ inches5 liters quarts (dry) 0.908 __________ quarts2 liters quarts (liquid) 1.057 __________ quarts

PART C Calculating Net Income/Net LossCalculate the net income or net loss for the following work sheet Income Statement column totals. Putparentheses around net loss amounts.

Income Statement Income Statement Net Income/(Loss)Debit Column Total Credit Column Total

$3,295.00 $4,191.00 _______________$7,295.00 $6,588.00 _______________$2,126.00 $5,090.00 _______________


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PART D Checking for Typical Arithmetic ErrorsFind and correct any errors in the following general ledger accounts.

ACCOUNT Cash ACCOUNT NO. 110_____

BALANCE______________________

DEBIT CREDIT DEBIT CREDIT…….. ……….. ……….. 3,700.001,400.00 ……….. ……….. 5,100.00…….. 2,000.00 ……….. 7,100.00

ACCOUNT Supplies ACCOUNT NO. 120_____

BALANCE______________________

DEBIT CREDIT DEBIT CREDIT…….. ……….. 1,100.00 ………..…….. 200.00 1,300.00 ………..

ACCOUNT Prepaid Insurance ACCOUNT NO. 130_____

BALANCE______________________

DEBIT CREDIT DEBIT CREDIT…….. ……….. 2,370.00 ………..…….. 1,180.00 2,290.00 ………..

ACCOUNT A/P—Best Supply Company ACC OUNT NO. 210_____

BALANCE______________________

DEBIT CREDIT DEBIT CREDIT…….. ……….. ………… 340.00…….. 173.00 ………… 413.00

ACCOUNT A/P—Wells Company ACCOUNT NO. 220_____

BALANCE______________________

DEBIT CREDIT DEBIT CREDIT…….. ……….. ………… 130.00…….. 56.00 ………… 186.00…….. 101.00 ………… 278.00

ACCOUNT Bart Nichols, Capital ACCOUNT NO. 310_____

BALANCE______________________

DEBIT CREDIT DEBIT CREDIT…….. ……….. …………. 4,117.00…….. 493.00 …………. 4,510.00280.00 ……….. …………. 4,330.00

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Name ___________________________________ Date __________________ Class _________________________


PART A Calculating Net IncomeCalculate net income for the following information.

Total Revenue Total Expenses Net Income$ 5,000.00 $3,985.00 ________________$ 2,793.00 $1,532.00 ________________$11,879.00 $8,440.00 ________________

PART B Calculating Component PercentagesCalculate component percentages for the following information. Round percentage calculations to thenearest 0.1%.

Total Sales Component Percentage$6,291.00 $4,395.00 total expenses ________________$6,291.00 $1,896.00 net income ________________$4,624.00 $3,550.00 total expenses ________________

PART C Calculating Owner’s EquityCalculate owner’s equity for the following information.

Capital Drawing CurrentAccount Net Account Owner’sBalance Income Balance Equity$10,000.00 $ 902.00 $ 400.00 _______________$15,250.00 $1,045.00 $ 600.00 _______________$32,750.00 $9,275.00 $1,500.00 _______________

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Name _______________________________________ Date __________________ Class _____________________


PART A Calculating Purchases DiscountsCalculate the trade discount and invoice amounts for the following five invoice items.

List Price Trade Discount Rate Trade Discount Invoice Amount$ 400.00 35% ________________ ________________$ 450.00 40% ________________ ________________$ 700.00 30% ________________ ________________$1,100.00 45% ________________ ________________$1,500.00 25% ________________ ________________

Calculate the purchase discount and invoice amounts to be paid for the following five invoices.

Invoice Purchases Discount Purchases Discount Invoice Amount Amount Rate Amount To Be Paid$2,400.00 2% ________________ ________________$1,600.00 3% ________________ ________________$8,700.00 1% ________________ ________________$1,500.00 2% ________________ ________________$2,520.00 2% ________________ ________________

PART B Calculating Petty Cash Short and OverFor each of the following companies, calculate the amount of petty cash short or petty cash over. Indicatepetty cash short by an amount followed by an S. Use an O to designate petty cash over.

Distribution of Payments Amount of Petty CashBeginning Advertising Miscellaneous Cash in Short or

Co. Balance Supplies Expense Expense Cash Box Over 1 $100.00 $ 27.20 $ 15.22 $31.00 $24.19 __________ 2 $200.00 $ 35.00 $127.00 $10.80 $31.90 __________ 3 $200.00 $ 72.00 $ 43.00 $75.00 $12.50 __________ 4 $300.00 $119.00 $107.00 $33.00 $37.00 __________

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Name ___________________________________ Date __________________ Class _________________________


PART A Calculating Sales TaxFor each invoice subtotal, calculate the sales tax and invoice total.

Invoice Sales Tax Sales Tax Invoice Subtotal Amount Total$ 58.00 6% ______________ ______________$ 399.00 6% ______________ ______________$17,538.00 6% ______________ ______________$ 14.83 6% ______________ ______________$ 58.00 7% ______________ ______________$ 399.00 7% ______________ ______________$17,538.00 7% ______________ ______________$ 14.83 7% ______________ ______________

PART B Calculating Sales DiscountsCalculate the sales discount for each of the following items.

Sales Sales Sales Invoice Discount Discount Amount Rate Amount$ 289.44 1% ___________$1,685.89 2% ___________$9,652.50 2% ___________$ 47.70 1% ___________$ 535.00 2% ___________$1,470.00 2% ___________$1,053.95 2% ___________$ 844.00 2% ___________

PART C Proving an Expanded JournalProve the equality of debits and credits for the following expanded journal totals. Write the totals under thecolumns and double rule them.

Column Column Title Debit Totals Credit Totals No.

1 General Debit ………………… ----2 General Credit ……………….. ----3 Accounts Receivable Credit ... $ 9,623.004 Sales Credit …………………... 27,615.505 Sales Tax Payable Credit …… 1,732.806 Sales Discount Debit ………… $ 177.507 Cash Debit ……………………. 38,793.80

Totals ………………………….. ____________ ____________


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PART D Proving Cash

Cash on hand at beginning of the month ……………………… $ 5,328.90Total cash received during the month …………………………. __________Total ……………………………………………………………….. __________Total cash paid during the month ………………………………. __________Cash balance on hand at end of month ……………………….. __________Checkbook balance on next unused check stub ……………… $10,586.70

PART E Calculating Sales Tax on Sales Returns and AllowancesCalculate the sales tax on the returned merchandise and the total amount of the return for each of thefollowing items.

Amount of Sales Tax Sales Tax Total Returned Rate on the Amount ofMerchandise Return Return$ 88.00 6.00% _________ _________$ 108.00 7.50% _________ _________$2,999.00 5.50% _________ _________$ 870.00 5.00% _________ _________$ 248.00 6.00% _________ _________$ 350.00 6.50% _________ _________$ 65.00 8.00% _________ _________$ 413.00 7.00% _________ _________

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Name ___________________________________ Date __________________ Class _________________________


Calculating International Time Zone Differences

Use the following World Time Zone map. Assume you are the accountant for your company and you mustcontact foreign customers about payment of their invoices. Based on the city in which you are located,what time would you have to call the following cities in order to talk to someone at 10:00 in the morning(their time)? You may need to use an atlas to locate some of the cities.

My City ___________________________

Time in My City Time in My City____________ London, England, 10:00 A.M. ____________ Helsinki, Finland, 10:00 A.M.____________ Frankfurt, Germany, 10:00 A.M. ____________ Athens, Greece, 10:00 A.M.____________ Taipei, Taiwan, 10:00 A.M. ____________ Canberra, Australia, 10:00 A.M.____________ Mexico City, Mexico, 10:00 A.M. ____________ Cape Town, S. Africa, 10:00 A.M.____________ Innsbruck, Austria, 10:00 A.M. ____________ Tokyo, Japan, 10:00 A.M.

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Name ___________________________________ Date __________________ Class _________________________


PART A Calculating Employee Hours WorkedUse the following time card information for two employees. Calculate the hours worked each day, the totalhours worked during the week, and the number of overtime hours. Overtime hours are hours over 40 hoursin one week.

Employee No. 1Monday Tuesday Wednesday Thursday Friday Saturday

IN ---- 05:30AM 05:30AM 05:00AM 05:15AM 06:00AMOUT ---- 09:30AM 09:45AM 10:00AM 09:45AM 10:00AMIN ---- 10:15AM 10:15AM 10:30AM 10:30AM 10:30AMOUT ---- 02:15PM 02:30PM 02:30PM 02:30PM 03:00PMTotal _______ _______ _______ _______ _______Total Hours _______Overtime Hours _______

Employee No. 2Monday Tuesday Wednesday Thursday Friday Saturday

IN 11:30AM 11:00AM 11:00AM 11:30AM 11:00AM 06:00PMOUT 03:30PM 03:30PM 03:00PM 03:15PM 03:30PM 11:30PMIN 04:00PM 04:00PM 03:30PM 03:45PM ---- ----OUT 07:00PM 09:30PM 07:30PM 07:30PM ---- ----Total _______ _______ _______ _______ _______Total Hours _______Overtime Hours _______

PART B Calculating Employee Total EarningsUse the overtime salary rate for each of the following employees, using 1.5 times the regular rate. Thencalculate regular, overtime, and total earnings for each employee.

Empl. Hours Rate Earnings No. Regular Overtime Total Regular Overtime Regular Overtime Total 1 40 6 46 $ 8.40 ________ _______ _______ _______ 2 40 12 52 $11.00 ________ _______ _______ _______ 3 40 2 42 $ 7.90 ________ _______ _______ _______ 4 40 3.5 43.5 $10.25 ________ _______ _______ _______ 5 40 9 49 $ 9.00 ________ _______ _______ _______


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PART C Calculating Social Security and Medicare TaxesCalculate the social security and Medicare taxes to be withheld from each of the following earnings. Use a6.5% social security tax rate and a 1.5% Medicare tax rate.

Earnings Social Security Medicare TaxTax Deduction Deduction

$ 510.00 ____________ ____________$ 616.00 ____________ ____________$ 552.00 ____________ ____________$ 492.00 ____________ ____________$ 780.00 ____________ ____________$1,102.00 ____________ ____________

PART D Calculating Deductions in a Payroll RegisterUse the following payroll register information to calculate total deductions.

Federal Social Medicare Health Dental United TotalIncome Tax Sec. Tax Tax Insurance Insurance Way Other Deductions211.54 62.50 14.42 22.50 3.90 25.00 0.00 __________169.23 50.00 11.54 45.00 12.00 0.00 0.00 __________ 83.65 36.25 8.37 68.00 12.00 20.00 50.00 __________ 50.48 21.87 5.05 22.50 0. 00 0.00 10.00 __________ 76.15 27.50 6.35 22.50 3.90 15.00 0.00 __________113.08 35.00 8.08 68.00 12.00 5.00 0.00 __________

PART E Calculating Accumulated EarningsCalculate the accumulated earnings on June 10.

Accumulated Total Earnings Accumulated Earnings for Pay Period Earnings June 3 Ending June 1010,023.00 456.00 _____________ 9,922.00 451.00 _____________14,256.00 648.00 _____________17,666.00 803.00 _____________12,936.00 588.00 _____________21,274.00 967.00 _____________

PART F Calculating Net Pay in a Payroll RegisterUse the following payroll register information to calculate net pay.

Total Total NetEarnings Deductions Pay 336.54 111.23 ___________ 961.54 356.58 ___________ 538.46 259.56 ___________ 423.08 148.64 ___________ 778.85 297.85 ___________ 557.69 202.45 ___________

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Name _______________________________________ Date __________________ Class _____________________


PART A Calculating Unemployment TaxesFor each payroll amount, calculate the unemployment taxable earnings for federal and state unemploymenttax for the April 1 payroll. Then calculate the federal and state unemployment taxes on those taxableearnings. Use a tax base of $7,000.00 accumulated earnings, 0.8% federal unemployment tax rate, and5.4% state unemployment tax rate.

Accumulated Total Earnings Unemployment Federal State Earnings for Pay Period Taxable Unemployment Unemployment March 25 Ending April 1 Earnings Tax Tax 2,100.00 1,050.00 _____________ _____________ _____________ 4,560.00 380.00 _____________ _____________ _____________ 5,520.00 460.00 _____________ _____________ _____________ 7,020.00 780.00 _____________ _____________ _____________ 6,300.00 525.00 _____________ _____________ _____________ 8,160.00 680.00 _____________ _____________ _____________

PART B Calculating Employer Tax LiabilitiesInformation about a payroll includes the following:

Total earnings …………………………………………. $19,933.30Federal income tax withheld from employees ……… 990.00

No employee has accumulated earnings over $7,000.00. Tax rates are: social security, 6.5%; Medicare,1.5%; federal unemployment tax, 0.8%; state unemployment tax, 5.4%.

Complete the calculations necessary to answer the following questions:1. How much was withheld from employees for social security tax? __________2. How much was withheld from employees for Medicare tax? ___________3. What is the amount of social security tax the employer must pay as the employer’s payroll tax?

_____________4. What is the amount of Medicare tax the employer must pay as the employer’s payroll tax?

_____________5. What is the employer’s liability for federal unemployment tax? ___________6. What is the employer’s liability for state unemployment tax? ____________7. What is the debit to Payroll Taxes Expense for this payroll? ____________

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Name _______________________________________ Date __________________ Class _____________________


PART A Calculating Estimated Uncollectible Accounts ExpenseCalculate estimated uncollectible accounts expense using a percentage of total sales on account for eachof the following items.

Estimated Total Percentage of Uncollectible Sales on Total Sales Accounts Account on Account Expense$ 502,800.00 1.00% ___________$ 42,570.00 1.00% ___________$7,054,130.00 1.00% ___________$ 71,988.00 2.00% ___________$ 621,110.00 2.00% ___________$ 3,346.00 2.00% ___________$ 1,025.00 1.50% ___________$ 70,500.00 1.25% ___________

PART B Calculating Book Value of Accounts ReceivableCalculate the book value of accounts receivable for each of the following items.

Balance of Allowance for Book Value of

Accounts Receivable Uncollectible Accounts Accounts Receivable$ 13,325.00 $ 1,599.00 __________________$334,642.00 $ 50,196.30 __________________$ 4,257.00 $ 510.84 __________________$ 70,571.00 $ 8,680.23 __________________$ 71,800.00 $ 9,621.20 __________________$280,098.00 $ 35,236.33 __________________$629,934.00 $105,828.91 __________________$ 75,413.00 $ 10,143.05 __________________

PART C Calculating Net Income Before Federal Income Tax ExpenseCalculate net income before federal income tax for the following three companies.

Company 1 Company 2 Company 3Sales …………………………………………. $354,080 $57,280 $951,750Cost of merchandise sold …………………. 228,420 38,950 654,320Total expenses ……………………………… 108,230 15,240 245,980Net income before federal income tax ……. _________ _________ _________


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PART D Calculating the Adjustment for Federal Income Tax ExpenseCalculate the adjustment for federal income tax expense for the following information.

Total Tax Paid Actual Tax for Adjustment the Year

$ 59,500.00 $ 60,331.01 __________$ 60,000.00 $ 64,279.38 __________$159,700.00 $160,994.08 __________$296,600.00 $298,156.00 __________$629,300.00 $632,199.47 __________

PART E Calculating Net IncomeCalculate the net income or net loss for the following work sheet Income Statement column totals.Put parentheses around net loss amounts.

Income Statement Income Statement Net Income/(Loss)Debit Column Total Credit Column Total

$ 443,055.00 $ 560,875.00 ________________ 74,350.00 93,200.00 ________________ 51,816,520.00 70,500,300.00 ________________ 40,794.00 55,237.00 ________________ 62,552.00 57,919.00 ________________

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Name _______________________________________ Date __________________ Class _____________________


PART A Calculating Cost of Merchandise SoldCalculate merchandise available for sale and the cost of merchandise sold for the following fourcompanies.

Company 1 Company 2 Company 3 Company 4Beg. merchandise inventory, Jan. 1 ………… $56,280 $ 7,982 $852,963 $ 458,258Purchases ……………………………………… 48,000 15,357 741,852 1,582,693Merchandise available for sale ……………… _______ ______ _________ _________Ending merchandise inventory, Dec. 31 …… 3,981 18,672 896,541 543,287Cost of merchandise sold ……………………. _______ ______ _________ _________

PART B Calculating Component Percentages for an Income StatementCalculate component percentages for the following information. Round percentage calculations to thenearest 0.1%.

Total Sales Component Percentage$775,290.00 $385,670.00 cost of merchandise sold _____________$775,290.00 $400,850.00 gross profit on sales _____________$775,290.00 $152,870.00 net income _____________$775,290.00 $240,530.00 total expenses _____________

PART C Calculating Retained EarningsCalculate the ending balance of retained earnings for the following three companies.

Company 1 Company 2 Company 3Retained earnings, January 1, 20-- $230,890 $458,790 $ 56,875Net income after federal income tax 108,900 380,560 120,530Dividends declared during 20-- 100,000 250,000 75,000Retained earnings, December 31, 20-- ________ ________ ________

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Name _______________________________________ Date __________________ Class _____________________


PART A Calculating Property TaxCalculate the annual property tax for each of the following items.

Assessed Tax Annual Value Rate Property Tax$ 10,000.00 2.00% ____________$ 125,000.00 2.25% ____________$ 350,000.00 1.25% ____________$ 675,000.00 3.91% ____________$28,000,000.00 1.25% ____________

PART B Calculating Straight-Line Depreciation for a YearCalculate total depreciation expense and annual depreciation expense for each of the following assetsusing the straight-line method.

Years ofAsset Date Original Salvage Useful Total Annual No. Bought Cost Value Life Depreciation Depreciation 1 3/1/-- $ 3,500.00 $ 800.00 5 $__________ $__________ 2 4/1/-- $58,000.00 $8,500.00 4 $__________ $__________ 3 6/1/-- $ 385.00 $ 100.00 3 $__________ $__________ 4 8/1/-- $ 2,000.00 $ 250.00 5 $__________ $__________ 5 9/1/-- $ 700.00 $ 100.00 12 $__________ $__________

PART C Calculating Straight-Line Depreciation for Part of a YearFor the same assets used in Part B, calculate the number of months each asset is used in the first year andcalculate the straight-line depreciation for that partial year.

Years ofAsset Date Original Salvage Useful Months Used Partial Year No. Bought Cost Value Life in First Year Depreciation 1 3/1/-- $ 3,500.00 $ 800.00 5 ___________ $__________ 2 4/1/-- $58,000.00 $8,500.00 4 ___________ $__________ 3 6/1/-- $ 385.00 $ 100.00 3 ___________ $__________ 4 8/1/-- $ 2,000.00 $ 250.00 5 ___________ $__________ 5 9/1/-- $ 700.00 $ 100.00 12 ___________ $__________


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PART D Calculating Accumulated Depreciation and Book Value of Plant AssetsCalculate the accumulated depreciation and book value of the following assets.

Asset Original Dec. 31, 20X1 20X2 20X3 Accumulated Book Value No. Cost Accumulated Depreciation Depreciation Depreciation

Depreciation Expense Expense 1 $10,000.00 $4,500.00 $2,250.00 $2,250.00 $__________ $__________ 2 $ 7,500.00 $2,800.00 $ 700.00 $ 700.00 $__________ $__________ 3 $ 1,200.00 $ 400.00 $ 200.00 $ 200.00 $__________ $__________ 4 $ 800.00 $ 75.00 $ 150.00 $ 150.00 $__________ $__________ 5 $12,800.00 $1,440.00 $ 960.00 $ 960.00 $__________ $__________

PART E Calculating Gain or Loss on a Plant AssetCalculate the gain or loss on disposal of each of the following plant assets.

Cash Original Accumulated Gain Loss Received Cost Depreciation on Sale on Sale$ 125.00 $ 1,485.00 $ 1,375.00 _______ _______$25,000.00 $78,000.00 $49,580.00 _______ _______$ 2,025.00 $ 5,600.00 $ 4,500.00 _______ _______

PART F Calculating Depreciation Expense Using the Double Declining-Balance MethodCalculate the declining-balance rate for the following items using two times the straight-line rate.

Total Years of Straight-Line Declining-BalanceDepreciation Useful Rate Rate Expense Life

100% 5 ______________ ______________100% 4 ______________ ______________100% 8 ______________ ______________100% 10 ______________ ______________

Complete the following depreciation schedule for an asset bought on January 1 of the current year for$10,000.00. Its estimated salvage value is $1,000.00 and its estimated useful life is 5 years. Use thedeclining-balance method and twice the straight-line rate.

Year Beginning Annual EndingBook Value Depreciation Book Value

1 ___________ ___________ ___________ 2 ___________ ___________ ___________ 3 ___________ ___________ ___________ 4 ___________ ___________ ___________ 5 ___________ ___________ ___________

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Name _______________________________________ Date __________________ Class _____________________


Use the following data for Parts A, B, and C of this worksheet.

Beginning PeriodicModel Inventory First Second Third Inventory Count No. January 1 Purchase Purchase Purchase December 31 A20 20@$12.00 10@$12.00 15@$13.00 10@$13.50 27 B40 9@$10.00 10@$11.00 5@$11.50 7@$12.50 15 C15 13@$22.00 15@$22.50 25@$23.00 7@$24.00 34 D11 5@$52.00 20@$53.00 10@$55.00 3@$55.50 17

PART A Calculating Inventory Using the First-In, First-Out Inventory Costing MethodCalculate the total cost of ending inventory using the fifo method.

Model No. of Units Cost of Ending No. on Hand Unit Price Inventory A20 27 ________

________________ _____________

B40 15 ________________________ _____________

C15 34 ________________________ _____________

D11 17 ________________________ _____________

Total Fifo Cost _____________

PART B Calculating Inventory Using the Last-In, First-Out Inventory Costing MethodCalculate the total cost of ending inventory using the lifo method.


________________ _____________

B40 15 ________________________ _____________

C15 34 ________________________ _____________

D11 17 ________________________ _____________

Total Lifo Cost _____________(continued on next page)

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PART C Calculating Inventory Using the Weighted-Average Inventory Costing MethodCalculate the total cost of ending inventory using the weighted-average method.


________________ _____________

B40 15 ________________________ _____________

C15 34 ________________________ _____________

D11 17 ________________________ _____________

Total Weighted-Average Cost _____________

PART D Estimating Inventory Using the Gross Profit MethodEstimate ending inventory using the gross profit method. Use the following information.

Beginning inventory, January 1 ………………… $ 42,800.00Net purchases, first quarter …………………….. 95,000.00Net sales, first quarter …………………………… 127,000.00Previous year’s gross profit percentage ………. 28.00%

Beginning inventory, January 1 …………………………. __________________Net purchases, January 1 to March 31 ………………… __________________Cost of merchandise available for sale ………………… __________________

Net sales, January 1 to March 31 ………………………. __________________Previous gross profit percentage ……………………….. __________________Estimated gross profit on operations …………………… __________________

Net sales, January 1 to March 31 ………………………. __________________Estimated gross profit on operations …………………… __________________Estimated cost of merchandise sold ……………………. __________________

Cost of merchandise available for sale …………………. __________________Estimated cost of merchandise sold ……………………. __________________Estimated ending merchandise inventory, March 31 …. __________________

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Name _______________________________________ Date __________________ Class _____________________


PART A Calculating Interest for a YearCalculate the interest for one year for the following amounts.

Principal Interest Interest Rate

$ 2,400.00 3.500% ___________$ 26,000.00 7.125% ___________$ 5,000.00 10.250% ___________$ 6,750.00 8.375% ___________$280,000.00 10.250% ___________

PART B Calculating Interest for a Fraction of a YearCalculate the interest for the fractions of the years shown below. Use a 360-day year in your calculations.

Principal Interest Time Interest Rate

$ 2,400.00 3.500% 30 days ___________$ 26,000.00 7.125% 90 days ___________$ 5,000.00 10.250% 30 days ___________$ 6,750.00 8.375% 180 days ___________$280,000.00 10.250% 60 days ___________

PART C Calculating the Maturity Date of a NoteCalculate the maturity date for each of the following items. Assume that February has 28 days regardlessof the year.

Maturity Date1. 30-day note dated January 25 _______________2. 90-day note dated January 25 _______________3. 90-day note dated February 1 _______________4. 30-day note dated December 1 _______________5. One-year note dated January 25 _______________

PART D Calculating the Maturity Value of a NoteCalculate the maturity value for the following notes.

Principal Interest Time Maturity Value Rate

$ 3,500.00 6.0% 30 days ____________$85,000.00 4.5% 90 days ____________$13,500.00 8.0% 1 year ____________$12,400.00 6.0% 30 days ____________$12,500.00 5.0% 30 days ____________

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Name _______________________________________ Date __________________ Class _____________________


PART A Calculating Accrued Interest IncomeCalculate the accrued interest income on the following notes on December 31.

Principal Interest Date of Time of No. of Days Accrued Rate Note Note to Dec. 31 Interest Income

$4,700.00 9.0% Aug. 1 180 days __________ _____________$2,200.00 12.0% Nov. 1 120 days __________ _____________ $5,000.00 10.0% Oct. 1 180 days __________ _____________$3,500.00 8.0% Sept. 1 240 days __________ _____________ $1,500.00 6.0% Dec. 1 90 days __________ _____________

PART B Calculating Maturity Value of a NoteCalculate the maturity value of the following notes.

Principal Interest Date of Time of Maturity Rate Note Note Value

$4,700.00 9.0% Aug. 1 180 days __________$2,200.00 12.0% Nov. 1 120 days __________ $5,000.00 10.0% Oct. 1 180 days __________$3,500.00 8.0% Sept. 1 240 days __________ $1,500.00 6.0% Dec. 1 90 days __________

PART C Calculating Accrued Interest ExpenseCalculate the accrued interest expense on the following notes on December 31.

Principal Interest Date of Time of No. of Days Accrued Rate Note Note to Dec. 31 Interest Expense

$4,700.00 8.0% Aug. 1 180 days __________ _____________$2,200.00 11.0% Nov. 1 120 days __________ _____________ $5,000.00 9.0% Oct. 1 180 days __________ _____________$3,500.00 7.0% Sept. 1 240 days __________ _____________ $1,500.00 8.0% Dec. 1 90 days __________ _____________

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Name _______________________________________ Date __________________ Class _____________________


Calculating Working Capital and the Current RatioCalculate working capital and the current ratio for each of the following. Round the current ratio to thenearest tenth.

Total Current Total Current Working Capital Current Ratio Assets Liabilities$5,260,452.12 $3,854,697.56 ______________ ____________$ 650,087.78 $ 263,452.45 ______________ ____________$1,339,152.45 $ 733,335.88 ______________ ____________$ 828,631.23 $ 301,227.69 ______________ ____________$ 630,918.19 $ 384,555.48 ______________ ____________

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math work sheet chapter 4 - cengage work sheet chapter 4 calculating new account balances calculate...

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