ACC 415 – E18-10

Student: Khanh “Kai” Nguyen

ACC 415_Section 001
Student: Khanh “Kai” Nguyen Professor: Jenny Teruya

E18-10:

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ACC 415_Section 001
Student: Khanh “Kai” Nguyen Professor: Jenny Teruya

Answer
Part a:
1) Record acquisitions of supplies and equipment
Inventory of supplies 96,000
Equipment 4,700
Vouchers Payable 100,700
Note:
96,000 = given
4,700 = 1,500 + 3,200
100,700 = 96,000 + 4,7000

2) Record billings for printing done

Due from other funds 292,000
Revenue – printing done 292,000
Note:
292,000 = given

3) Record cash collected from billings

Cash 287,300
Due from other funds 287,300
Note:
287,300 = given

4) Record cost of printing jobs

Charges for services - printing 204,000
General operating expenses 38,000
Inventory of supplies 92,400
Vouchers payable 149,600
Note:
204,000 = given
38,000 = given
92,400 = 84,000 + 8,400
149,600 = 204,000 + 38,000 – 92,400

5) Record depreciation

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ACC 415_Section 001
Student: Khanh “Kai” Nguyen Professor: Jenny Teruya

Depreciation expense 23,000

Accumulated depreciation 23,000
Note:
23,000 = given

6) Record vouchers paid

Vouchers payable 243,000
Cash 243,000
Note:
23,000 = given

7) Closing entries: I/S accounts

Revenue – printing done 292,000
Charges for services - printing 204,000
General operating expenses 38,000
Depreciation expense 23,000
Profit and loss summary 27,000
Note:
292,000 = given
204,000 = given
38,000 = given
23,000 = given
27,000 = 292,000 – 204,000 – 38,000 – 23,000

8) Closing entries: profit and loss summary

Profit and loss summary 27,000
Net position – unrestricted 27,000
Note:
27,000 = calculated above

9) Closing entries: record increase in net assets-invested

Net position – Invested in capital assets, net of related 18,300
debt
Net position – unrestricted 18,300
Note:
18,300 = Net capital assets less $0 related debt – 210,000
beginning balance in net assets invested
18,300 = 260,000 – 50,000 + 1,500 + 3,200 – 23,000 –
210,000
Part b:
Bellevue

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ACC 415_Section 001
Student: Khanh “Kai” Nguyen Professor: Jenny Teruya

Printing Shop Fund

Statement of Net Assets
December 31, 20X2
Assets: 68,900
Cash 20,300
Due from other funds 13,400
Inventory of supplies 264,700
Furniture and equipment
Less: Accumulated depreciation (73,000) 191,700
Total assets 294,300

Liabilities:
Vouchers payable 19,300
Total liabilities 19,300

Net assets:
Invested in capital assets, net of related debt 191,700
Unrestricted 83,300
Total net assets 275,000

Part c:

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ACC 415_Section 001
Student: Khanh “Kai” Nguyen Professor: Jenny Teruya

Bellevue
Printing Shop Fund
Statement of Revenue, Expenses, and Changes in Fund Net Assets
For the Year Ended December 31, 20X2
Revenue:
Billings to Departments 292,000
Expenses:
Charges for services - printing 204,000
Operating expense 38,000
Depreciation expense 23,000 265,000
Net Income 27,000
Net assets, January 1 248,000
Net assets, December 31 275,000

Part d:

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ACC 415_Section 001
Student: Khanh “Kai” Nguyen Professor: Jenny Teruya

Bellevue
Internal Service Fund - Printing Shop Fund
Statement of Cash Flows
For the Year Ended December 31, 20X2
Cash flows from operating activities
Cash received from customers 287,000
Cash payments for printing jobs (238,300)
Net cash provided by operating activities 49,000

Cash flows from noncapital financing activities 0

Cash flows from capital and related financing activities

Acquisition of capital assets (furniture and copier) (4,700)
Net cash used for capital and related financing (4,700)
activities

Cash flows from investing activities 0

Net increase in cash 44,300

Cash at beginning of year 24,600
Cash at end of year 68,900

Reconciliation of operating income to net cash

Provided by operating activities

Operating income 27,000

Adjustments to reconcile operating income to net cash

used by operating activities:
Depreciation 23,000
Change in assets and liabilities:
Increase in due from other funds from billings (4,700)
Increase in inventory of supplies (3,600)
Increase in vouchers payable 7,300
Total adjustments 22,000

Net cash provided by operating activities 49,000

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