Apple Blossom Cologne Company

Investment - Lead Schedule

12-31-03
Per Audit Per Book Adjustment Reclassification
Account
12-31-02 12-31-03 Debit Credit Debit Credit
Investment in securities 474,518 223,033 37,600 72,173
Long-term Investment in Securities - - 220 72,173
Allow. for Unreal. Gain/Loss 6,473 6,473 11,983
Unreal. Gain/Loss Investment 6,473 6,473 11,983
Income from Investment 9,379 7,393 3,970
Gain/Loss on Sale of Investment - 25,975
E

Per Audit
12-31-03
188,460
72,393
-5,510
-5,510
11,363
25,975
 Apple Blossom Company
Investment in Securities (#115)
12-31-03
Balance Disposal Balance
Security Additions
12-31-2 (Sales) 12-31-03
Southwestern Telecom 128,250 Z 128,250 #
Common @ $90 1425 Share 1425 Share

United Drain 198,948 Z 198,948 CYE* 0

Common @ $118 1686 Sahre 1686 Sahre

Lackawanna Energy 147,320 Z 147,320 CYE* 0

Common @ $116 1270 Share 1270 Share

MrCormick Wheat & Milling 9,650 CYE* 9,650 #

Common @ $48,25 200 Share 200 Share

Solar Energy . Com 12,960 CYE* 12,960 #

Common @ $21,6 600 Share 600 Share

Omega Data System 37,600 CYE* 37,600

Common @ $75,2 500 Share 500 Share

Balance Per Audit 188,460

Balance Per Book 223,033 (TB-BS)
Adjustment 37,600
Reclassification -72,173 CYE*
Balance Per book after
188,460
adjustment

Z Traced to prior year's audit working papers.

E Examined broker's advice.
T Traced to share price quotation in Wall Street Journal, January 2, 2004
Y Traced to cash disbursements journal and supporting voucher.
# Inspected security--Reference schedule (E-2).
C Confirmed by broker--Reference working paper (E-4).
* Cost properly includes brokers fee.
 E-1
1-31-04

Price Market Holding

Per Share Value Gain (Loss)
88 T 125,400 -2,850

51 T 10,200 550

16 T 9,600 -3,360

75.5 T 37,750 150

-5,510
(TB-BS) 6,473 (TB-BS)
-11,983

setelah ditelusuri ke E-2 tidak ditemukan

sekuritas Omega Data System, maka AJE
Investment in securities 37,600
Account Payable 37,600

setelah ditelusuri ke E-2 terdapat obligasi Sears Credit Corp

yang seharusnya diakui sebagai Long-term investment, sehingga
perlu dilakukan reklasifikasi akun
Long term investment 72,173
Investment in securities 72,173

terdapat perbedaan jumlah holding gain (loss) klien

dengan auditor dan diajukan jurnal penyesuaian
Unrealize holding gain (loss) AFS investment 11,983
Allowance for unrealize gain (loss) 11,983
 Apple Blossom Cologne Company E-2
Securities examination
12-31-03

The following securities were examined at a safety deposit box at Big City National
Bank registered in the name of Apple Blossom Cologne Co.

Number of
Certificate
shares or
Number
securities
Southwestern Telecom 21 1425
(E-1)
McCormick Milling 7114 200
(E-1)
SolarEnergy.com 618 600
(E-1)
Sears Credit Corp. bonds in
$1.000 denomination; 10%
due July 2009; issue date
July 1, 1999. 2341-2415 75
(E-4)

The above listed securities are examined in my presence and returned to me intact
on December 31, 2003 at 11:30 am.

Lilian Stockton
Treasurer, Apple Blossom
Cologne Company
 Apple Blossom Cologne Company E-3
Gain/Loss on Sale of Investment (#910)
12-31-03

Number Gain
Date Security Cost Proceeds
of Shares (Loss)

1-30-03 Lackawanna Energy 1.270 sh. (E-4) 147,320 # 170,053 (E-4) 22,733 <
4-17-03 United Grain 1.686 sh. (E-4) 198,948 # 202,190 (E-4) 3,242 <
Balance per audit 25,975 ^
^
Balance per book 25,975 (TB-IS)

(E-4) Sesuai dengan konfirmasi broker.

# Sesuai dengan cost saham tsb.
< Cross-footed
^ Footed
(TB-IS) Sesuai dengan trial balance klien untuk tahun 2003
(TB-IS)
48.25
21.6
75.2
 Apple Blossom Cologne Company
General Ledger Report - Income from Investment (#920)
December 31, 2003
Details
Date Item Description Debit Credit
Shares Per Share Income
31/03/03 Dividends:
Southwest Telecom 1,425 T $0.60 # 855 R
United Grain 1,686 T $1.55 # 2613 R

30/06/03 Dividends:
Southwest Telecom 1,425 T $0.60 # 855 R

30/09/03 Dividends:
Southwest Telecom 1,425 T $0.60 # 855 R
McCormick Milling 200 T $1.30 # 260 R
SolarEnergy.com 600 T $0.70 # 420 R

12/12/03 Dividends:
Southwest Telecom 1,425 T $0.60 # 855 R
McCormick Milling 200 T $1.30 # 260 R
SolarEnergy.com 600 T $0.70 # 420 R

Year-End Balance per Book 7,393

Adjustment: ^
Long Term Investment (E-6)

Year-End Balance per Audit

T sesuai dengan jumlah share pada skedul E-4

# examine the Standard and Poor's annual dividend report & found no exception
R Recalculated
^ footed
 E-5

Balance

$ 855
$ 3,468

$ 4,323

$ 5,178
$ 5,438
$ 5,858

$ 6,713
$ 6,973
$ 7,393

$ 7,393 (TB-IS)

$ 3,970 (E-6)

$ 11,363
 Apple Blossom Cologne Company
Long-Term Investments in Securities
12-31-2003

Long-term Balance Disposals Amortization

Additions
investment 12/31/2002 (Sales)

Ten year 10% debentures 0 $ 72,173 T $ 220

of Sears Credit Corp,
$ 75000 par to yield 11%
Total $ 72,173 $ 220
Balance per book $ -
Audit adjustment $ 220
Balance per audit $ 72,173 $ 220

T Ditelusuri ke skedul E-4

R Rekalkulasi perhitungan amortisasi investasi

Sears Credit Corp tergolong Long-term investment dengan metode amortized cost, karena dibeli dengan tujuan untuk mendapat
dari bunga bukan dari keuntungan jual/beli.

diusulkan dua jurnal penyesuaian untuk reklasifikasi dan untuk amortisasi

1. Reklasifikasi telah disesuaikan pada skedul (E-1)
2. Amortisasi
Interest receivable $ 3,750
Long term investment in securities $ 220
Income from investment securities $ 3,970
 Sisa 5 Tahun amortisasi
Date Cash Interest Discount
Received (10%) Revenue (11%) Amortized
7/2/2003
Balance 12/31/2003 $ 3,750 $ 3,970 $ 220
12/31/2003 6/30/2004 $ 3,750 $ 3,982 $ 232
12/31/2004 $ 3,750 $ 3,994 $ 244
R $ 72,393 6/30/2005 $ 3,750 $ 4,008 $ 258
12/31/2005 $ 3,750 $ 4,022 $ 272
6/30/2006 $ 3,750 $ 4,037 $ 287
$ 72,393 12/31/2006 $ 3,750 $ 4,053 $ 303
$ - 6/30/2007 $ 3,750 $ 4,069 $ 319
$ 72,173 12/31/2007 $ 3,750 $ 4,087 $ 337
$ 72,393 6/30/2008 $ 3,750 $ 4,105 $ 355

n tujuan untuk mendapat keuntungan

Carrying
Amount
$ 72,173
$ 72,393
$ 72,624
$ 72,868
$ 73,126
$ 73,398
$ 73,685
$ 73,988
$ 74,307
$ 74,644
$ 74,999