Account Titles Debit CreditCash $ 7Accounts Receivable 3Supplies 3Equipment 9Accumulated Depreciation $ 2Software 6Accumulated Amortization 2Accounts Payable 4Notes Payable (short-term) 0Salaries and Wages Payable 0Interest Payable 0Income Taxes Payable 0Deferred Revenue 0Common Stock 15Retained Earnings 5Service Revenue 0Depreciation Expense 0Amortization Expense 0Salaries and Wages Expense 0Supplies Expense 0Interest Expense 0Income Tax Expense 0Totals $ 28 $ 28Transactions during 2018 (summarized in thousands of dollars) follow:Borrowed $25 cash on July 1, 2018, signing a six-month note payable.Purchased equipment for $28 cash on July 2, 2018.Issued additional shares of common stock for $5 on July 3.Purchased software on July 4, $3 cash.Purchased supplies on July 5 on account for future use, $7.Recorded revenues on December 6 of $58, including $8 on credit and $50 received in cash.Recognized salaries and wages expense on December 7 of $33; paid in cash.Collected accounts receivable on December 8, $9.Paid accounts payable on December 9, $10.Received a $3 cash deposit on December 10 from a hospital for a contract to start January 5, 2019.Data for adjusting journal entries on December 31:Amortization for 2018, $2.Supplies of $3 were counted on December 31, 2018.Depreciation for 2018, $4.Accrued interest of $1 on notes payable.Salaries and wages incurred but not yet paid or recorded, $3.Income tax expense for 2018 was $4 and will be paid in 2019.How to set up T-accounts for the following entries

Question

Account Titles Debit Credit
Cash $ 7
Accounts Receivable 3
Supplies 3
Equipment 9
Accumulated Depreciation $ 2
Software 6
Accumulated Amortization 2
Accounts Payable 4
Notes Payable (short-term) 0
Salaries and Wages Payable 0
Interest Payable 0
Income Taxes Payable 0
Deferred Revenue 0
Common Stock 15
Retained Earnings 5
Service Revenue 0
Depreciation Expense 0
Amortization Expense 0
Salaries and Wages Expense 0
Supplies Expense 0
Interest Expense 0
Income Tax Expense 0
Totals $ 28 $ 28

Transactions during 2018 (summarized in thousands of dollars) follow:
Borrowed $25 cash on July 1, 2018, signing a six-month note payable.
Purchased equipment for $28 cash on July 2, 2018.
Issued additional shares of common stock for $5 on July 3.
Purchased software on July 4, $3 cash.
Purchased supplies on July 5 on account for future use, $7.
Recorded revenues on December 6 of $58, including $8 on credit and $50 received in cash.
Recognized salaries and wages expense on December 7 of $33; paid in cash.
Collected accounts receivable on December 8, $9.
Paid accounts payable on December 9, $10.
Received a $3 cash deposit on December 10 from a hospital for a contract to start January 5, 2019.

Data for adjusting journal entries on December 31:
Amortization for 2018, $2.
Supplies of $3 were counted on December 31, 2018.
Depreciation for 2018, $4.
Accrued interest of $1 on notes payable.
Salaries and wages incurred but not yet paid or recorded, $3.
Income tax expense for 2018 was $4 and will be paid in 2019.

How to set up T-accounts for the following entries

Expert Answer

Want to see the step-by-step answer?

Check out a sample Q&A here.

Want to see this answer and more?

Experts are waiting 24/7 to provide step-by-step solutions in as fast as 30 minutes!*

*Response times may vary by subject and question complexity. Median response time is 34 minutes for paid subscribers and may be longer for promotional offers.
Tagged in
Business
Accounting

Final Accounts for Companies

Related Accounting Q&A

Find answers to questions asked by students like you.

Q: Engines Done Right Co. is trying to establish the standard labor cost of a typical engine tune-up. T...

A: Direct labor variances:The difference between the actual labor cost in the production and the standa...

Q: Ramos Co. provides the following sales forecast and production budget for the next four months:  ...

A: Budget:Budget refers to the financial plan for the business activities a company intends to do in th...

Q: I am resubmitting this as the guidance I received for question 3. A/B/C is incorrect.      Mercer As...

A: 1.Perform the first-stage allocation of costs to the activity cost pools as follows:

Q: Suppose your company sells services of $260 in exchange for $175 cash and $85 on account. Depreciati...

A: Journal entry: The record of business transactions in a chronological order in the journal using deb...

Q: Hagen Company’s budgeted sales and direct materials purchase are as follows.   Budgeted Sales ...

A: We can anser this question by creating the following schedule of expected payments :

Q: Measures of liquidity, solvency, and profitability The comparative financial statements of Marshall ...

A: Asset Turnover ratio: It is an efficacy ratio which measure the value of Companies sales in comparis...

Q: The following information is taken from the current year financial statement of EC (dollar figures a...

A: Loss from continuing operations: It refers to the loss incurred from ongoing business, it can be cal...

Q: The following information was drawn from the Year 1 accounting records of Ozark Merchandisers: Inve...

A: a. Compute the amount of net sales: 

Q: On January 1, 2019, Roosevelt Company purchased 12% bonds having a maturityvalue of $500,000 for $53...

A: Prepare amortization schedule.

Q: On January 1, 2017, Windsor, Inc. had these stockholders’ equity balances. Common Stock, $1 par (...

A: The Equity section is divided into several sub-parts like paid in capital, additional paid in capita...

Q: What should a MNC do to prevent bribery?

A: Bribery is the act of giving or receiving something of value in exchange for some kind of influence ...

Q: Problem 12-3Information concerning Marigold Corporation’s intangible assets is as follows. 1. On Jan...

A: The expenses can be classified as follows : 

Q: Dee Beach, the consultant introduced at the beginning of section three of the chapter, has obtained ...

A: Job Costing: Job costing is a costing technique used by the business that provides goods or services...

Q: In which of the three activity categories of a statement of cash flows would each of the following i...

A: Cash flow statements are the statements that determines the inflow and outflow of cash from three ma...

Q: Most Company has an opportunity to invest in one of two new projects. Project Y requires a $320,000 ...

A: We can calculate the net present value as follows : 

Q: In 1994, General Mills Incorporated, a $6 billion consumer goods company, acquired Colombo Frozen Yo...

A: 1. Colombo  Frozen Yogurt business was mainly sale of soft-serve frozen yogurt and initially they us...

Q: Confronting Corruption & Resource Guide to FCPA Answer these questions: 1. Who are covered by th...

A: As you have posted 3 different questions, we are answering the first question.In case you require th...

Q: Platt Company produces one product, a putter called PAR –putter. Platt uses a standard cost system a...

A: Compute the predetermined variable overhead rate: 

Q: Exercise 15-1During its first year of operations, Indigo Corporation had the following transactions ...

A: (a) Preparation of the journal entries for these transactions, assuming that the common stock has a ...

Q: Calculate EPS and effect of stock split on EPS During the year ended December 31, 2017, Gluco, Inc.,...

A: Stock split: Stock Split is a method which changes the company’s total number of outstanding shares ...

Q: Woh Che Co. has four departments: materials, personnel, manufacturing, and packaging. In a recent mo...

A: Based on the given information allocate the indirect expenses to each of the department.Allocation o...

Q: Estimating Costs in an Uncertain Environment  Many companies face increasingly unpredictable costs a...

A: When the business is facing uncertain business enviornment, the factors be it revenue or expenditure...

Q: In terms of the tax formula applicable to individual taxpayers, which, if any, of the following stat...

A: Deductions for AGI means above the line deduction which a taxpayer can deduct from his gross income ...

Q: Hills Company’s June 30 bank statement and the June ledger account for cash are summarized here:   ...

A: Prepare a bank reconciliation statement for Hills Company.

Q: The December bank statement and cash T-account for Stewart Company follow:   BANK STATEMENT D...

A: An outstanding deposit is a company's receipts which have been recorded by the company, but the amou...

Q: Tim used his 2015 F-150 pickup truck to meet with clients and for other business needs.  The truck w...

A: Assuming, the trucks driven 15,473 miles during the year 2018 instead of year 2016, and 3,541 miles ...

Q: Northwood Company manufactures basketballs. The company has a ball that sells for $35. At present, t...

A: 1.a. Compute the last year's CM ratio. 

Q: Define treasury stock. Why might a corporation acquire treasury stock? How is treasury stock shown o...

A: Treasury stocks are the shares which are reacquired by the company that are already issued to the st...

Q: I attempted this problem and tried to do the company's income statement for on company for december ...

A: Calculate the missing amounts:

Q: Under what situation will return on equity be higher than return on investment? a. When assets excee...

A: (a) When assets exceed liabilities:Suppose assets is $ 70,000 and liabilities is $ 50,000 and net in...

Q: In two or three paragraphs explain the purpose of variance analysis and its benefits and drawbacks.

A: Click to see the answer

Q: GPC, Inc has a $150,000 mortgage liability. The mortgage is payable in monthly instatement of $1,543...

A: Step 1:Given:Mortgage Liability = $ 150,000Monthly Instalment = $1,543Interest Rate           = 12% ...

Q: is the answer correct?

A: Material spending variance is the total variance on the materials and includes both material purchas...

Q: Valerie's & Christopher, a large marketing firm, adjust in accounts at the end of each months. T...

A: Click to see the answer

Q: Nash Corporation had net sales of $2,417,500 and interest revenue of $39,900 during 2017. Expenses f...

A: Multi-step income statement: The income statement represented in multi-steps with several subtotals,...

Q: Affordable Lawn Care, Inc., provides lawn mowing services to both commercial and residential custome...

A: Prepare an income statement, statement of retained earnings and balance sheet of Incorporation A for...

Q: Exercise 9-16 The Blue Spruce Company is planning to purchase $496,800 of equipment with an estimat...

A: Payback period: Payback period is the anticipated time period which is required to recover the cost ...

Q: On January 1, 2018, the Mason Manufacturing Company began construction of a building to be used as i...

A: First of all we will start by calculating the rate or capitalization.For specific borrowings we will...

Q: I'm in the annuity section of accounting.  With the 6 tables the Spiceland book provides (listed bel...

A: FV of $1: This table is used to calculate the future value of a current investment that will grow ov...

Q: eBook Calculator Print Item Five Measures of Solvency or Profitability The balance sheet for Garcon ...

A: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and s...

Q: The MRS , professional soccer team, prepares financial statements on a monthly basis. The soccer sea...

A: Adjusting Entries: Adjusting entries refers to those journal entries which are prepared at the end o...

Q: Hi, Need help with equation -  Also see attached  Profit=(P x Q - V x Q) - Fixed expenses  Thanks, L...

A: Cost Volume-Profit (CVP) is a management accounting tool that expresses relationship among total sal...

Q: The board of directors of Mesa Verde Tool Company set the profit goal for calendar year 2016 at $2,2...

A: NOTE : We'll answer the question of step 1 only as the exact wasn't specified. In case, you need sol...

Q: Problem 25-3A Computation of cash flows and net present values with alternative depreciation methods...

A: Net present value method: Net present value method is the method which is used to compare the initia...

Q: The following items appeared on the January 31 bank reconciliations for Corbett Company: Outstanding...

A: Bank Reconciliation Statement:Bank statement is prepared by bank. The company maintains its own reco...

Q: Angie Silva has recently opened The Sandal Shop in Brisbane, Australia, a store that specializes in ...

A: Break-even point: Break-even point of sales is that level of sales at which the firm is neither earn...

Q: The Shirt Works sells a large variety of tee shirts and sweatshirts. Steve Hooper, the owner, is thi...

A: Click to see the answer

Q: What is the definition of 'taxable income'?

A: Income: Income includes the income of an individual in the form of wages, salary, pension, etc. The ...

Q: History Bookmarks Window Help Sun 1:02 AM v2.cengagenow.com eBook Calculator Print Item Price-Earnin...

A: Dividend yield:Dividend yield ratio indicates how much percentage of share prices a company pays out...

Q: Hello, I need help with this question. The work I did was Rims: Direct materials: 17 Direct Labor: 9...

A: Unit product cost represents the total cost of producing one or a single unit. Calculation of unit p...