• 59% My Messages E3.10 (LO 3) (Adjusting Entries) Greco Resort opened for business on June 1 with eight air- conditioned units. Its trial balance on August 31 is as follows. Greco Resort Trial Balance August 31, 2020 Credit Debit $ 19,600 Cash Prepaid Insurance Supplies 4,500 2,600 20,000 Land Buildings Equipment Accounts Payable 120,000 16,000 $ 4,500 4,600 Unearned Rent Revenue 60,000 Mortgage Payable 91,000 Common Stock Retained Earnings 9,000 5,000 Dividends 76,200 Rent Revenue 44,800 Salaries and Wages Expense Utilities Expenses Maintenance and Repairs Expense 9,200 3,600 $245,300 $245,300 Other data: 1. The balance in prepaid insurance is a one-year premium paid on June 1, 2020. 2. An inventory count on August 31 shows $450 of supplies on hand. 3. Annual depreciation rates are buildings (4%) and equipment (10%). Salvage value is estimated to be 10% of cost. 4. Unearned Rent Revenue of $3,800 was earned prior to August 31. 5. Salaries of $375 were unpaid at August 31. 6. Rentals of $800 were due from tenants at August 31. 7. The mortgage interest rate is 8% per year. Instructions a. Journalize the adjusting entries on August 31 for the 3-month period June 1-August 31. (Omit %24

• 59% My Messages E3.10 (LO 3) (Adjusting Entries) Greco Resort opened for business on June 1 with eight air- conditioned units. Its trial balance on August 31 is as follows. Greco Resort Trial Balance August 31, 2020 Credit Debit $ 19,600 Cash Prepaid Insurance Supplies 4,500 2,600 20,000 Land Buildings Equipment Accounts Payable 120,000 16,000 $ 4,500 4,600 Unearned Rent Revenue 60,000 Mortgage Payable 91,000 Common Stock Retained Earnings 9,000 5,000 Dividends 76,200 Rent Revenue 44,800 Salaries and Wages Expense Utilities Expenses Maintenance and Repairs Expense 9,200 3,600 $245,300 $245,300 Other data: 1. The balance in prepaid insurance is a one-year premium paid on June 1, 2020. 2. An inventory count on August 31 shows $450 of supplies on hand. 3. Annual depreciation rates are buildings (4%) and equipment (10%). Salvage value is estimated to be 10% of cost. 4. Unearned Rent Revenue of $3,800 was earned prior to August 31. 5. Salaries of $375 were unpaid at August 31. 6. Rentals of $800 were due from tenants at August 31. 7. The mortgage interest rate is 8% per year. Instructions a. Journalize the adjusting entries on August 31 for the 3-month period June 1-August 31. (Omit %24

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter2: Basic Accounting Systems: Cash Basis

Section: Chapter Questions

Problem 2.6P: Financial statements Alpine Realty. Inc., organized July 1. 20Y8, is operated by Angela Griffin. How...

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Magic Styles, Inc.Unadjusted Trial BalanceAt March 31, 2023Cash $ 18,000.00Prepaid Insurance $ 600.00Prepaid Rent $ 7,300.00Equipment $ 9,700.00Furniture and Fixtures $ 9,700.00Accounts Payable $ 10,800.00Deferred Revenue $ 400.00Notes Payable Long-term) $ 20,000.00Common Stock $ 10,000.00Retained Earnings, February 28, 2023 $ 2,100.00Dividends $ 300.00Service Revenue $ 12,300.00Supplies Expense $ 5,500.00Salaries and Wages $ 3,200.00Utilities Expense $ 700.00Rent Expense $ 600.00TOTAL $ 55,600.00 $ 55,600.00Required:Based on the unadjusted trial balance of Magic Styles, Inc. above, you are required to prepare/write thefollowing:1) An income statement 2) A statement of retained earnings 3) Balance Sheet 4) A paragraph stating your evaluation of the company’s performance and financial status for themonth ending March 31, 2023. In your evaluation, state whether:* the business is profitable;* it is able to pay its current obligations/liabilities; and* its assets are financed more by debts…
E3.9 Prepare a correct statement of profit or loss.LO1, 3, 4, 5 The statement of profit or loss of Wolfmother Ltd for the month of July 2020 shows a profit of $1400 based on service revenue $5500; wages expense $2300; supplies expense $1200; and electricity expense $600. In reviewing the statement, you discover: the benefit consumed for prepaid insurance during July was not recorded — $300. supplies expense includes $400 of supplies that are still on hand at 31 July. depreciation on equipment of $150 was omitted. accrued but unpaid wages at 31 July of $300 were not included. services totalling $800 were performed but not invoiced. Required Prepare a correct statement of profit or loss for the month of July 2020.
4. The following is extracted trial balance of Grey Grig Ltd as at 30 June 2019. Grey Grig LtdTrial Balance as at 30 June 2019Particulars Debit (RM) Credit (RM)Equipment rental 940Insurance 1,804Lighting and heating expenses 1,990Motor expenses 2,350Salaries and wages 48,580Sales 382,420Purchase 245,950Sundry expenses 624Lorry 19,400Account payable 23,408Account receivable 44,516Fixtures 4,600Shop 174,000Cash at bank 11,346Drawings 44,000Capital 194,272TOTAL 600,100 600,100Inventory at 30 June 2019 was RM29,304.Required: i. Statement of Profit and Loss and Others Comprehensive Income for the year ended 30 June 2019 ii. Statement of Financial Position as 30 June 2019
Chandra's bakery business has the following account balances at 30 December 2019: Equipment OR 38000, inventories OR 4100, Account payables OR 2650, loan of OR 5000 bank of OR 1090, purchase return 2500, sale 23040 and capital 10000. The total amount of the trial balance is: Select one: a. OR 38660 b. OR 43190 c. OR 30190 d. Correct answer not available e. OR 35540
Please present the solution in good accounting form. Thank you! 4. How much revenue (franchise revenue, service revenue and sales revenue – machinery and equipment) should be recognized on February 4, 2020?A. P 94, 591.50 C. P 190, 000.00B. P 133, 000.00 D. P417, 591.50 5. How much continuing franchise revenue be recognized on December 31, 2020 assuming the sales of P 4,987,500 was generated for the first year of operations?A. Zero C. P 190, 000.00B. P 49, 875.00 D. P417, 591.50
3. The following is the trial balance of Aroro Enterprise as at 31 August 2019Particulars Debit (RM) Credit (RM)Capital 48,400Drawings 3,500Trade receivables 9,000Trade payables 12,500Sales 40,400Purchases 31,000Sales returns 300Purchases returns 250Wages and salaries 5,600Discounts allowed 120Discounts received 200Provision for doubtful debts 300Insurance 700Inventory as at 1 September 2018 2,400Utilities 950Rates 350Premises 10,000Fixtures and fittings 3,000Motor van 20,000Cash in hand 330Cash at bank 14,800TOTAL 102,050 102,050Additional information as at 31 August 2019:i. Inventory as at 31 August 2019 amounted RM3,300ii. An entity from whom there is accounts receivables of RM200 was unable tosettle his debt and this amount is to be written off as bad debts.iii. The provision for doubtful debts is 1% of the outstanding trade receivables.iv. The owner took RM100 worth of goods from the business for his own useRequired:a) Statement of Profit or Loss and Others Comprehensive Income…
DATA PROVIDEDThe pre-adjustment trial balance of Wing-It (Pty) Ltd as at 31 August 2022 is presented:AccountDebitCreditProfessional fees765 000Goods sold435 000Cost of sales215 000Interest received19 500Interest on loan6 300Bank charges3 200Cleaning1 500Staff welfare650Salaries and wages35 850Municipal services6 850Printing and stationery16 715Telephone18 600Fuel and oil56 000Repairs and maintenance: Building5 200Repairs and maintenance: Vehicles6 850Capital: Blue520 000Capital: Green630 000Drawings: Blue35 000Drawings: Green27 000Current account: Blue2 500Current account: Green6 400Retained income265 000Land500 000Buildings1 500 000Accumulated depreciation on buildings21 000Vehicles380 000Accumulated depreciation on vehicles65 000Equipment and electronics79 500Accumulated depreciation on equipment and electronics1 5008% Long-term loan325 000Bank: FNB168 000Bank: ABSA32 000Debtors control account85 000Allowance for credit losses6 400Creditors control account78 600Petty cash2…
2. The following is extracted trial balance of Brahim Labi Sdn Bhd, after his first year’s trading, Brahim Labi Sdn BhdTrial Balance as at 30 June 2020Particulars Debit (RM) Credit (RM)Sales 265,900Purchases 154,870Rent 4,200Lighting and heating expenses 530Salaries and wages 51,400Insurance 2,100Buildings 85,000Fixtures 1,100Account receivable 31,300Sundry expenses 412Account payable 15,910Cash at bank 14,590Drawings 30,000Vans 16,400Motor running expenses 4,110Capital 114,202TOTAL 396,012 396,012Inventory at 30 June 2020 was RM16,280.Required: i. Statement of Profit and Loss and Others Comprehensive Income for the year ended 30 June 2020.ii. Statement of Financial Position as at 30 June 2020.
Show the solution in good accounting form How much revenue (franchise revenue, service revenue and sales revenue - machinery and equipment) would be recognized on December 31, 2019? A. Zero B. P 133,000.00 C. 94, 591.50 D. P190,000.00
On June 1, 2022, Superior Insurance Company collected $420,000 for a 2-year insurance policy beginning on the same date. The company has a December 31 year end. What is the balance of the unearned revenue account after adjusting entries on December 31, 2023? (Do not round any intermediary calculations. Round your final answer to the nearest dollar.) Group of answer choices $87,500 $297,500 $210,000 $122,500
Bagwis Company has the following information: Prepaid insurance – January 1 1,600,000 Prepaid insurance – December 800,000 Insurance payable decrease by 1,200,000 Insurance payments 4,000,000 How much is the insurance expense under accrual basis? Group of answer choices 3,600,000 4,800,000 3,400,000 4,000,000
8. Insurance payments P150,000 Prepaid insurance, Jan. 1 65,000 Prepaid insurance, Dec. 31 85,000 Accrued insurance payable decreased by 35,000 How much is the insurance expense under accrual basis accounting? a. 205,000 b. 65,000 c. 130,000 d. 95,000