Denver Mountain Company Trial Balance 11/30/17 Dr 272,000 114,500 TH9 1,000 50,000 55,000 62,000 75,000 32,000...

Denver Mountain Company Journal entries Date Account 1-Dec Building LT Mortgage payable Credit Calculation Debit $ 300,000 $ 300,000 $ 6,000 25-Dec Cash Common Stock-$1.50 par Paid in Capital in Excess of Par-CS =1,000*1.50 $ $ 1,500 4,500 $ 183,000 =((90,000/1.50)+1,000)*3 29-Dec Dividends Dividends Payable $ 183,000 31-Dec LT Mortgage payable Interest expense Cash $ $ 1,800 2,000 =3,800-1,800 =300,000*8%*1/12 $ 3,800 $ 350 =26,250*8%*2/12 31-Dec Interest expense Interest Payable $ 350 31-Dec Interest expense Premium on Bonds Payable Interest Payable $ 30,147 $ 4,853 =(350,000+26,840)*8% balancing figure =350,000*10% $ 35,000 $ 8,000 =18,000-10,000 31-Dec Unearned Revenue Sales Revenue $ 8,000 $ 550 =50*11 31-Dec Treasury Stock Cash $ 550

Credit Denver Mountain Company T Accounts Date Debit Date Credit Date Debit Date Cash Building Op bal $ 272,000 31-Dec $ 3,800 Op bal $ . 25-Dec $ 6,000 31-Dec $ 550 1-Dec $300,000 Date Debit Date Credit LT Mortgage payable Op bal $ - 31-Dec $ 1,800 1-Dec $300,000 Date Debit Date Credit Unearned Revenue 31-Dec $ 8,000 Op bal $18,000 Bal. $ 298,200 $ 273,650 Common Stock-$1.50 par Op bal $ 90,000 25-Dec $ 1,500 Bal. $300,000 Bal. Paid in Capital in Excess of Par-CS Dividends Op bal $ 86,000 Op bal $ 2,000 25-Dec $ 4,500 29-Dec $ 183,000 Bal.

$ 10,000 Interest Payable Op bal $ - 31-Dec $ 350 31-Dec $ 35,000 $ 90,500 Bal. $ 35,350 $ 91,500 Premium on Bonds Payable 31-Dec $ 4,853 Op bal $ 26,840 al. Treasury Stock - 550 $ 185,000 Dividends Payable Op bal $ 29-Dec $183,000 Op bal $ 31-Dec $ Bal. $ 183,000 Bal. $ 21,987 Sales Revenue Op bal $443,910 31-Dec $ 8,000 Bal.

$ 550 Interest expense Op bal $ 6,500 31-Dec $ 2,000 31-Dec $ 350 31-Dec $ 30,147 $451,910 Bal. $ 38,997

Denver Mountain Company Accounts Cash Accounts Receivable Allowance for doubtful accounts Short term Note receivable Supplies Inventory Equipment Building Accumulated Depreciaiton Copyright Accounts Payable Dividends Payable Interest Payable Unearned Revenue ST Note Payable LT Mortgage Payable Bonds Payable Premium on Bonds Payable Common Stock-$1.50 par Paid in Capital in Excess of Par-CS Preferred Stock-$5 par Paid in Capital in Excess of Par-PS Treasury Stock Retained earnings Dividends Sales Revenue Sales returns & allowances Sales discounts Cost of goods sold Bad Debt expense Depreciation expense Wages expense Rent expense Insurance expense Supplies expense Interest Revenue Interest expense Gain on sale of equipment Income tax expense Totals Adjusted Dec TB Debit Credit 273,650 114,500 1,000 50,000 55,000 62,000 75,000 300,000 32,000 100,000 12,000 183,000 35,350 10,000 26,250 298,200 350,000 21,987 91,500 90,500 1,000 50,000 550 3,500 185,000 451,910 7,000 3,000 46,000 5,000 16,000 157,500 98,000 25,000 16,000 1,000 38,997 15,000 46,000 1,674,197 1,674,197

Denver Mountain Company LT Mortagage Payable balance after Jan 31, 2018 payment #1 296,388.00 calculation Interest expense Principal Payment Ending Principal balance Monthly Payment 1-Dec-17 31-Dec-17 31-Jan-18 3,800 3,800 Interest expense Principal Payment Ending Principal balance 300,000 2,000 1,800 298,200 1,988 1,812 296,388 Monthly Payment less Interest expense =300,000*8%*1/12 =3,800-2,000 =298,200*8%*1/12 =3,800-1,812 =300,000-1,800 =298,200-1,812