42. Make T-accounts for the following general ledger accounts of Mighty Movers, which began business on January 1, 2019: Cash; Accounts Receivable; Supplies; Equipment; Accounts Payable; Notes Payable; Common Stock; Dividends; Moving Fees Earned; Salaries Expense; Rent Expense; and Utilities Expense. Record the following January 2019 transactions in the accounts and key each entry with the transaction number. Shareholders purchased $270, 000 in stock. (1) Paid rent for the month, $3,300. (2) Purchased equipment for $90,000, giving a note payable for $90,000 (3) Purchased supplies on account, $15,000. Billed clients for services rendered, $57,000. (4) (5) (6) Paid salaries for the month, $23,400. Paid $12,000 on account for supplies purchased in transaction (4). (7) Collected $26,100 from clients previously billed. (8) Paid utilities for the month, $1,470 (9) (10) Paid $17,400 cash dividends.

42. Make T-accounts for the following general ledger accounts of Mighty Movers, which began business on January 1, 2019: Cash; Accounts Receivable; Supplies; Equipment; Accounts Payable; Notes Payable; Common Stock; Dividends; Moving Fees Earned; Salaries Expense; Rent Expense; and Utilities Expense. Record the following January 2019 transactions in the accounts and key each entry with the transaction number. Shareholders purchased $270, 000 in stock. (1) Paid rent for the month, $3,300. (2) Purchased equipment for $90,000, giving a note payable for $90,000 (3) Purchased supplies on account, $15,000. Billed clients for services rendered, $57,000. (4) (5) (6) Paid salaries for the month, $23,400. Paid $12,000 on account for supplies purchased in transaction (4). (7) Collected $26,100 from clients previously billed. (8) Paid utilities for the month, $1,470 (9) (10) Paid $17,400 cash dividends.

Financial Accounting

15th Edition

ISBN:9781337272124

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter6: Accounting For Merchandising Businesses

Section: Chapter Questions

Problem 5PA: The following selected accounts and their current balances appear in the ledger of Clairemont Co....

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