The List of Accounts Presented Below Are from the Accounting

question 84

Essay

The list of accounts presented below are from the accounting records of Hoosier Momma Promotions on September 30,2012.Assume that each account balance is normal,and present them in proper trial balance format.
$\begin{array}{ll}\text { Cash } & \$ 4,200 \\\text { Short-term Investments } & 13,000 \\\text { Accounts Receivable } & 4,500 \\\text { Inventory } & 23,000 \\\text { Land } & 90,000 \\\text { Building } & 700,000 \\\text { Furniture } & 450,000 \\\text { Equipment } & 281,700 \\\text { AccountsPayable } & 7,200 \\\text { Salaries Payable } & 4,100 \\\text { Uneaned Revenue } & 17,000 \\\text { Interest Payable } & 2,000 \\\text { Notes Payable } & 70,000 \\\text { Common Stock } & 460,000 \\\text { Retained Eanings } & 977,000 \\\text { Sales } & 158,000 \\\text { Cost of GoodsSold } & 78,000 \\\text { Salaries Expense } & 24,000 \\\text { Rent Expense } & 6,000 \\\text { Insurance Expense } & 1,000 \\\text { Depreciation Expense } & 11,000 \\\text { Utility Expense } & 900 \\\text { Dividends } & 8,000\end{array}$

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Definitions:

Note Disclosures

Additional information provided in financial reports that complements and clarifies the main financial statements, often detailing accounting policies and methodologies.

Financing Activities

Financing activities are transactions between a business and its financiers, such as issuing debt or equity, to raise capital or pay dividends.

Cash Flow Statement

A financial statement that shows how changes in balance sheet accounts and income affect cash and cash equivalents, separating activities into operating, investing, and financing.

Credit Policies

The guidelines that a company follows to determine the creditworthiness of customers and the terms under which credit will be extended.