Welcome to Who Wants to be a Millionaire 50:50 15 $1 Million 14 $500,000 Welcome to Who Wants to be a Millionaire 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 1 $100

Another Presentation © 2000 - All rights Reserved Mark E. Damon markedamon@hotmail.com

15 $1 Million 14 $500,000 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 1 $100

Statement that reports assets, liabilities and stockholders’ equity 15 $1 Million 14 $500,000 13 $250,000 12 $125,000 Statement that reports assets, liabilities and stockholders’ equity 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 Balance sheet 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 50:50 1 $100 A: work sheet B: balance sheet C: income statement D: sales sheet

15 $1 Million 14 $500,000 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 1 $100

Show the revenue and expenses for a fiscal period 15 $1 Million 14 $500,000 13 $250,000 Show the revenue and expenses for a fiscal period 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 Income statement 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 50:50 1 $100 A: work sheet B: balance sheet D: Stmt of Stockholders’ Equity C: income statement

15 $1 Million 14 $500,000 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 1 $100

15 $1 Million An accounting form used to summarize the general ledger info needed to prepare financial stmts 14 $500,000 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 Work Sheet 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 50:50 1 $100 A: work sheet B: balance sheet D: Stockholders’ Equity C: income statement

15 $1 Million 14 $500,000 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 1 $100

Stmt of Stockholders’ Equity 15 $1 Million 14 $500,000 A financial statement that shows changes in a corporations ownership for a fiscal period. 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 Stmt of Stockholders’ Equity 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 50:50 1 $100 A: work sheet B: balance sheet D: Stmt of Stockholders’ Equity C: income stmt

15 $1 Million 14 $500,000 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 1 $100

Income Stmt Debit Column 15 $1 Million After the federal income tax adjustment is recorded on the work sheet, the federal income tax expense is extended into the: 14 $500,000 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 Income Stmt Debit Column 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 50:50 1 $100 A: Income Stmt Credit Column B: Income Stmt Debit Column C: Balance Sheet Credit Column D: Balance Sheet Debit Column

You’ve Reached the $1,000 Milestone! Congratulations! Congratulations!

15 $1 Million 14 $500,000 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 1 $100

Actual federal income tax expense is calculated on the amount of: 15 $1 Million Actual federal income tax expense is calculated on the amount of: 14 $500,000 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 Net income before federal income tax 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 50:50 1 $100 B: net sales less total expenses A: net sales C: Net income before federal income tax D: Net income after federal income tax

15 $1 Million 14 $500,000 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 1 $100

A corporation’s total stockholders’ equity is increased by: 15 $1 Million 14 $500,000 A corporation’s total stockholders’ equity is increased by: 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 Net income 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 50:50 1 $100 B: declaring dividends A: net income C: paying dividends D: receiving payment on account

15 $1 Million 14 $500,000 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 1 $100

The purpose of closing entries is to: 15 $1 Million 14 $500,000 The purpose of closing entries is to: 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 Close out temporary accts 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 50:50 1 $100 A: prove debits=credits B: close out temporary accts C: balance the accounting equation D: close out permanent accts

15 $1 Million 14 $500,000 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 1 $100

15 $1 Million 14 $500,000 If net sales is $100,000 and total operating expenses are $10,000, the component percentage for total operating expenses is: 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 10% 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 50:50 1 $100 A: 1% B: 10% C: 50% D: 100%

15 $1 Million 14 $500,000 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 1 $100

The reversing entry for federal 15 $1 Million 14 $500,000 Debiting Federal Income Tax Payable and Crediting Federal Income Tax Expense is: 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 The reversing entry for federal income tax payable 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 50:50 1 $100 A: The reversing entry for federal income tax payable B: The reversing entry for income payable C: The closing entry for federal income tax payable D: The adjusting entry for federal income tax payable

You’ve Reached the $32,000 Milestone! Congratulations!

15 $1 Million 14 $500,000 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 1 $100

The closing entry for federal income tax expense is to: 15 $1 Million The closing entry for federal income tax expense is to: 14 $500,000 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 Debit income summary Credit federal inc tax exp 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 50:50 1 $100 B: Debit income summary, Credit federal inc tax exp A: Debit federal inc tax exp, Credit income summary C: Debit federal inc tax payable, Credit federal inc tax expense D: Debit federal income tax exp, Credit federal income tax payable

15 $1 Million 14 $500,000 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 1 $100

What account is Dividends closed into? 15 $1 Million 14 $500,000 What account is Dividends closed into? 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 Retained Earnings 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 50:50 1 $100 A: Retained Earnings B: Capital Stock D: Stockholders’ Equity C: Income Summary

15 $1 Million 14 $500,000 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 1 $100

The closing entry for the sales account is to: 15 $1 Million 14 $500,000 The closing entry for the sales account is to: 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 Debit Sales, Credit Income Summary 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 50:50 1 $100 B: Debit Sales, Credit Cash A: Debit Cash, Credit Sales C: Debit Income Summary, Credit Sales D: Debit Sales, Credit Income Summary

15 $1 Million 14 $500,000 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 1 $100

15 $1 Million 14 $500,000 If net income before federal income taxes equals $107,578, what is federal income tax amount? 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 $25,205.42 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 50:50 1 $100 A: $25,756.44 B: $41,955.42 C: $25,205.42 D: $41,755.76

15 $1 Million 14 $500,000 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 1 $100

15 $1 Million An amount earned by a corporation and not yet distributed to stockholders is: 14 $500,000 13 $250,000 12 $125,000 11 $64,000 10 $32,000 9 $16,000 8 $8,000 7 $4,000 Retained Earnings 6 $2,000 5 $1,000 4 $500 3 $300 2 $200 50:50 1 $100 B: Net Income A: Stockholders’ Equity D: Retained Earnings C: Capital Stock

YOU WIN $1 MILLION DOLLARS!