Expense Recognition (Matching) Jane's Party-Party provides party planning services. Jane pur- chased office supplies for $500 on account. Supplies were used as the services were provided. A physical count of the supplies at the end of the month found $100 in supplies still on hand. Deter- mine the amount of expense to be recognized in the current period. Would your answer be different if Jane had paid for the supplies with cash?

Expense Recognition (Matching) Jane's Party-Party provides party planning services. Jane pur- chased office supplies for $500 on account. Supplies were used as the services were provided. A physical count of the supplies at the end of the month found $100 in supplies still on hand. Deter- mine the amount of expense to be recognized in the current period. Would your answer be different if Jane had paid for the supplies with cash?

Name: LO1SE3-12. Expense Recognition (Matching) Jane's Party-Party provides
Uploaded: 2024-03-04T10:43:15.000Z
Channel: Bartleby
Description: LO1SE3-12. Expense Recognition (Matching) Jane's Party-Party provides party planning services. Jane pur-chased office supplies for $500 on account. Supplies were used as the services were provided. Aphysical count of the supplies at the end of the m

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...

See similar textbooks

Similar questions

On January 24, 20Y8, Niche Consulting collected $5,700 it had hilled its clients for services rendered on December 31, 20Y7. How would you record the January 24 transaction, using the accrual basis? A. Increase Cash, $5,700; decrease Fees Earned, $5,700 B. Increase Accounts Receivable, $5,700; increase Fees Earned, $5,700 C. Increase Cash, $5,700; decrease Accounts Receivable, $5,700 D. Increase Cash, $5,700; increase Fees Earned, $5,700
Financial statements Alpine Realty. Inc., organized July 1. 20Y8, is operated by Angela Griffin. How many errors can you find in the following financial statements far Alpine Realty, Inc. prepared after its first month of operations?
Assuming the entity received a cash worth of 50,000, this 50,000 is from the customer who advances payment for the service to be render next month. The proper credit for this transaction is: a.) Accounts Payable b.) Unearned Revenue c.) Owner’s Equity d.) Service Revenue
prepare an income using the following adjusted trial balance of billi sol companycash 13000accounts receivable 20000office supplies 10300office equipment 40500Accumulated depriciation office 22000accounts payable 11500unearned service revenue 6500long term notes payable 38000billi sol capital 11000billi sol withdrawls 10000service revenue 1100salary expenses 30000rent expenses 12300depreciation expenses 1000office suplies 3000expensesTotal 140100 140100
Consultants had the following balances before passingadjusting entries in the books on December 31, 2015.Cash $6,000 Deborah, Withdrawals $3,000Accounts Receivable 2,000 Service Revenue 10,600Office Supplies 1,800 Salaries Expense 4,000Equipment 15,000 Rent Expense 800Accumulated Depreciation— Depreciation Expense—Equipment 9,000 Equipment 1,500Deborah, Capital 15,000 Supplies Expense 500Prepare the adjusted trial balance after considering these adjustments:a. Office Supplies used, $800. Assume the office supplies were initially recorded as an asset.b. Accrued salaries on December 31, $600.c. Revenue accrued but not recorded, $200.
A. Put an (*) before the number if it is part in the preparation of Statement of Comprehensive Income and (NA) if it is not part in the preparation of SCI. ----- 1. The company made an initial cash deposit amounting to P80,000. ----- 2. The owner bought shop's office chairs and tables for P20,000, paying P5,000 and the balance on account. ----- 3. Miss Wow paid advance rent to P24,000. ----- 4. Supplies expense for the month is P12,500. ----- 5. The company's total revenue for the month of July amounted to P150,000. ----- 6. An employee of the shop was paid for P7,500. ----- 7. Her receivable amounted to P3,500 for services made to Customer A. ----- 8. The owner paid for internet subscription at P1,700. ----- 9. Light and water expense for the month amount to P8,000. ----- 10. Miss Wow made a loan to OOTD Bank amounting to P50,000 payable in 5 years. B. Miss Wow, the service business owner, ask you to prepare her statement of comprehensive income for the month.
David Wallace, Olena Dunn, and Danny Lin were partners in a commercial architect firm and showed the following account balances as of December 31, 2020: Cash Equipment Accum.Deprec.Equipment AccountsPayable NotesPayable DavidWallace,Capital OlenaDunn,Capital DannyLin,Capital Account balances December 31, 2020 $ 40,300 $ 191,000 $ 102,000 $ 8,300 $ 25,000 $ 44,000 $ 27,000 $ 25,000 Due to several unprofitable periods, the partners decided to liquidate the partnership. The equipment was sold for $69,000 on January 1, 2021. The partners share any profit (loss) in the ratio of 2:1:1 for Wallace, Dunn, and Lin, respectively. The Schedule is complete, however, I'm struggling with the journal entries. I attached images of the completed schedule to assist with the journal entries. 2. Prepare the liquidation entries (sale of equipment, allocation of gain/loss, payment of creditors, final distribution of cash). 1 Record the sale…
David Wallace, Olena Dunn, and Danny Lin were partners in a commercial architect firm and showed the following account balances as of December 31, 2020: Cash Equipment Accum.Deprec.Equipment AccountsPayable NotesPayable DavidWallace,Capital OlenaDunn,Capital DannyLin,Capital Account balances December 31, 2020 $ 40,300 $ 191,000 $ 102,000 $ 8,300 $ 25,000 $ 44,000 $ 27,000 $ 25,000 Due to several unprofitable periods, the partners decided to liquidate the partnership. The equipment was sold for $69,000 on January 1, 2021. The partners share any profit (loss) in the ratio of 2:1:1 for Wallace, Dunn, and Lin, respectively.Required:1. Complete the schedule. (Negative answers should be indicated by a minus sign.) Cash Equipment Accum. deprec. Equipment Accounts Pay. Notes Pay. David Wallace, Capital Olena Dunn, Capital Danny Lin, Capital Account balance, December 31, 2020 $40,300 $191,000 $102,000 $8,300 $25,000 $44,000…
David Wallace, Olena Dunn, and Danny Lin were partners in a commercial architect firm and showed the following account balances as of December 31, 2020: Cash Equipment Accum.Deprec.Equipment AccountsPayable NotesPayable DavidWallace,Capital OlenaDunn,Capital DannyLin,Capital Account balances December 31, 2020 $ 40,300 $ 191,000 $ 102,000 $ 8,300 $ 25,000 $ 44,000 $ 27,000 $ 25,000 Due to several unprofitable periods, the partners decided to liquidate the partnership. The equipment was sold for $69,000 on January 1, 2021. The partners share any profit (loss) in the ratio of 2:1:1 for Wallace, Dunn, and Lin, respectively.Required:1. Complete the schedule. (Negative answers should be indicated by a minus sign.)
The following selected transactions were completed by Roberto Orcajada Delivery Service during July 2018: 1. Cash received from delivery services, P92, 700. 2. Paid creditors on account, P20, 000. 3. Received cash from owner as additional investment, P600, 000. 4. Paid advertising expenses, P5, 000. 5. Billed customers for delivery services on account, P55, 200. 6. Purchased supplies for cash, P6, 000. 7. Paid rent for July, P20, 000. 8. Received cash from customers on account, P25, 440. 9. Determined that the cost of supplies on hand was P1, 440. 10. Owner withdrew cash for personal use, P20, 000. Indicate the effects of each transaction on the space provided: a. Increase an asset, decrease another asset b. Increase an asset, increase a liability c. Increase an asset, increase owner’s equity d. Decrease an asset, decrease a liability. e. Decrease an asset, decrease owner’s equity.
Mike Inc. had the following transactions during August: Aug 1 Purchased insurance for September through December $2500 Aug 4 Purchased software for cash $650 Aug 5 Performed Services and received cash $7000 Aug 8 Paid advertising expense $600 Aug 11 Performed services on account $3700 Aug 19 Purchased computer on account $2800 What is the cash basis and accrual basis income for August?
Kk113. On 30 June 2005 the company A got an invoice from the company B for the use of office space in the future. The invoice was in amount of 200,000 related to the next two years. The invoice was paid at that day. Required: Present the influence of that business events on the financial statements from the perspective of Company A and Company B. Particularly, list which accounts to debit and credit for Companies A and B respectively in the date of June 30th 2005 and later in the date of June 30th 2007 (2 years after the rent invoice).