At the Beginning of 2012, Gratiot Company's Accounting Records Had

question 143

Essay

At the beginning of 2012, Gratiot Company's accounting records had the general ledger accounts and balances shown in the table below. During 2012, the following transactions occurred:
1. received $95,000 cash for providing services to customers
2. paid salaries expense, $50,000
3. purchased land for $12,000 cash
4. paid $4,000 on note payable
5. paid operating expenses, $22,000
6. paid cash dividend, $2,500
Required:
a) Record the transactions in the appropriate general ledger accounts. Record the amounts of revenue, expense, and dividends in the retained earnings column. Provide appropriate titles for these accounts in the last column of the table.
b) What is the amount of total assets as of December 31, 2012?
c) What is the amount of total stockholders' equity as of December 31, 2012?

---

Definitions:

Customer Measures

Metrics or indicators used to evaluate the satisfaction, loyalty, retention, and acquisition of customers within a business.

Internal Business Process Measures

Metrics used to evaluate and improve the efficiency and effectiveness of a company's internal operations.

Learning and Growth Measures

are metrics used to evaluate the effectiveness of strategies aimed at creating long-term value through employee development and organizational improvement.

Balanced Scorecard

A strategic planning and management system used to align business activities with the vision and strategy of the organization by monitoring performance against strategic goals.