Financial Transactions: Journalize the following transactions that occurred during the year: January 1: Received $100,000 cash in exchange for common stock. January 1: Purchased a delivery truck for $36,000 by paying $6,000 in cash and signing a note for the remainder. January 15: Purchased $1,200 of supplies on account July 1: Paid $12,000 for an annual insurance policy. December 31: Made sales of $500,000 on account. The Cost of Goods Sold was $300,000.
Q: July Transactions Date Transaction Description July 1 Began business by making a deposit in a…
A: The closing entries close all the temporary accounts like revenue and expenses and transfer the…
Q: The following transactions occurred at the Dalsy King Ice Cream Company. 1. Started business by…
A:
Q: Laser Delivery Services, Incorporated (LDS), was incorporated January 1. The following transactions…
A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…
Q: The company issued shares of common stock in exchange for $ 100,000 in cash. The company purchased…
A: Journal entries are the basic method for recording financial transactions in the books of accounts.…
Q: Prepare the following journal entries. company began business selling $ 100,000 of stock and…
A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…
Q: Business transactions completed by Hannah Venedict during the month of September are as follows. a.…
A: 1. Journal Entries - Journal Entries are the recording of transactions of the organization. It is…
Q: Prepare journal entries for each of the following transactions for a company that has a fiscal…
A: No. Account Titles and explanation Debit Credit 1. Prepaid Insurance $12,000…
Q: Transactions, financial statementsOn August 1, 2089, Brooke Kline established Western Realty.…
A: The transaction effect in accounting is usually shown as per the double-entry system with the help…
Q: journalize the following econmic activities (transactions) January 1 Issued…
A: Journal entries refer to the recording of transactions in an appropriate way. With the help of…
Q: Record the following selected transactions for December in a two-column journal, identifying each…
A: Journal entries are accounting entries that record business transactions. In journal entries, each…
Q: A company received $5,000 for 100 one−year subscriptions on July 1. The journal entry to record…
A: Unearned Revenue means money received for a service or product but service or product not yet…
Q: Record the following selected transactions for April. a. Received $18,000 from sale of common…
A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…
Q: Transactions; Financial Statements On April 1, 20Y8, Maria Adams established Custom Realty. Maria…
A: The statement of stockholders equity is prepared to record the equity transactions incurred during…
Q: Write the journal entries for each transaction. Post the totals for each account in the end- of-…
A: Definition: Journal: Journal is the method of recording monetary business transactions in…
Q: 6,900 Supplies 4,800 Land 67,000 Accounts Payable $ 4,900…
A: Working Service Revenue= $27,200+$4,475 Rent Expense = $925 per month Supplies…
Q: Grassley Company completes these transactions during November of the current year (terms for all its…
A:
Q: July Transactions Date Transaction Description July 1 Began business by making a deposit in a…
A: Financial statements are those statements in business which are prepared at the end of the period in…
Q: Helen Parish started a design company on January 1, Year 1. On April 1, Year 1, Parish borrowed cash…
A: Hi student Since there are multiple subparts, we will answer only first three subparts. If you want…
Q: Darby Consulting, Inc., was established on March 1, and during March, Darby entered in March 1…
A: Assumptions: 1. No Supplies consumed in March as no data given. 2. No Rental for March, as no…
Q: Date Transaction Description July 1 Began business by making a deposit in a company bank account of…
A: The journal entries are passed to analyze the effect of transactions in form of debit or credit of…
Q: Prepare journal entries for each of the following transactions for a company that has a fiscal…
A: Journal entries: A journal entry is recorded for every business transaction. It is the first step in…
Q: Date Transaction Description July 1 Began business by making a deposit in a company bank account…
A: 1. Insurance Expired = 4800/12 = 400 2. Supplies Used = 450-250 = 200
Q: July Transactions Date Transaction Description July 1 Began business by making a deposit in a…
A: Post Closing Trial Balance is the summary of all general ledger account balances in the business…
Q: in The 8.) Record the following transactions of Vista Trading which took place during the fin month…
A: Journal entry is the method to record the financial transaction in books of accounts.
Q: put this as a journal entries July 1 Began business by making a deposit in a company bank account…
A: The journal entries are prepared to keep the record of day to day transactions of the business.
Q: Transactions for Tom Petty Company for the month of October are presented below. 1. Invested…
A: Solution:- Preparation of journal entries as follows under:-
Q: Received $13,200 cash for consulting services rendered in January.Issued common stock to investors…
A: Trial balance has been prepared by findinig the balance of Accounts having multiple transactions as…
Q: A company plans to own and operate a storage rental faclity, For the first month of operations, the…
A: The accounts in which the journal entries recorded in the books are posted, are referred to as…
Q: Required information [The following information applies to the questions displayed below.] During…
A: Ledger accounts become a base for the preparations of the trial balance. The trial balance contains:…
Q: July Transactions Date Transaction Description July 1 Began business by making a deposit in a…
A: Closing entries are those entries which are passed at the end of the period in order to close out…
Q: July Transactions Date Transaction Description July 1 Began business by making a deposit in a…
A: Journal entries are defined as entries that are posted into the books and it only records monetary…
Q: with this entries July 1 Began business by making a deposit in a company bank account of…
A: Adjusted Trial Balance: A adjusted trial balance is a statement of the final balance of all accounts…
Q: Prepare the following journal entries. company began business selling $ 100,000 of stock and…
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step…
Q: Financial Transactions: Journalize the following transactions that occurred during the year: January…
A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…
Q: Susan's Shoe Shop opened on January 1. The following transactions took place during the first month:…
A: Accounting equation is the equation which includes the financial transactions to be presented in the…
Q: Alex Vera organized Succulent Express at the beginning of February 20Y4. During February, Succulent…
A: Statement of cash flows consist of three main activities under which the changes in cash or cash…
Q: with this entries July 1 Began business by making a deposit in a company bank account of…
A: SOLUTION- ADJUSTING ENTRIES ARE THE JOURNAL ENTRIES PASSED AT THE END OF THE FINANCIAL YEAR TO CLOSE…
Q: Transactions Date Description July -01 - 20XI The owner of Company K deposited $50,000 into the…
A: As per the accounting equation Assets = Liabilities + Capital (equity) Assets are resources of the…
Q: Jameson Corporation was organized on May 1. The following events occurred during the first month. a.…
A: A journal is a brief record of all business transactions a business recorded in chronological order.…
Q: uly 1 Began business by making a deposit in a company bank account of $60,000, in exchange for 6,000…
A: Closing entries are prepared at the end of the accounting period to close the temporary accounts…
Q: Transaction Analysis Galle Inc. entered into the following transactions during January. Borrowed…
A: The effect of the transaction in the financial statement model.
Q: e following transactions took place during the month of August. a. Owners invested P50,000 cash in…
A: Statement of change in equity is equal to the statement of changes in owners' equity for a sole…
Q: During the month of September, the following transactions were completed by the business: Sept. 1…
A: Hi, since Ledger Account names have been not mentioned in the question, hence we are considering the…
Q: July Transactions Date Transaction Description July 1 Began business by making a deposit in a…
A: Journal entry A journal entry is a record of the business transactions within the accounting books…
Q: July 1 Began business by making a deposit in a company bank account of $60,000, in exchange for…
A: A debit is defined as the entry being made on the left side of the account. It results in increasing…
Q: Transferred cash from a personal bank account in exchange for stock, $50,000 Purchased $8000 of…
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…
Q: Transactions; Financial Statements On April 1, 20Y8, Maria Adams established Custom Realty. Maria…
A: The accounting equation states that assets equal to sum of liabilities and equity.
Q: Record each of the following transactions in a journal format: The business received cash of $50,000…
A: Journal entry - It refers to the process where the business transactions are recorded in the books…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
- Provide journal entries to record each of the following transactions. For each, identify whether the transaction represents a source of cash (S), a use of cash (U), or neither (N). A. Paid $22,000 cash on bonds payable. B. Collected $12,600 cash for a note receivable. C. Declared a dividend to shareholders for $16,000, to be paid in the future. D. Paid $26,500 to suppliers for purchases on account. E. Purchased treasury stock for $18,000 cash.Prepare journal entries to record the following transactions: A. December 1, collected balance due from customer account, $5,500 B. December 12, paid creditors for supplies purchased last month, $4,200 C. December 31, paid cash dividend to stockholders, $1,000Journal Entries Overnight Delivery Inc. is incorporated on February 1 and enters into the following transactions during its first month of operations: February 15: Received $8,000 cash from customer accounts. February 26: Provided $16,800 of services on account during the month. February 27: Received a $3,400 bill from the local service station for gas and oil used during February. February 28: Paid $400 for wages earned by employees for the month. February 28: Paid $3,230 for February advertising. February 28: Declared and paid $2,000 cash dividends to stockholders. Required Prepare journal entries on the books of Overnight to record the transactions entered into during February. Explain why you agree or disagree with the following: The transactions on February 28 all represent expenses for the month of February because cash was paid. The transaction on February 27 does not represent an expense in February because cash has not yet been paid.
- Prepare journal entries to record the following transactions. Create a T-account for Cash, post any entries that affect the account, and calculate the ending balance for the account. Assume a Cash beginning balance of $16,333. A. February 2, issued stock to shareholders, for cash, $25,000 B. March 10, paid cash to purchase equipment, $16,000In March, T. Carter established Carter Delivery Service. The account headings are presented below. Transactions completed during the month of March follow. a. Carter deposited 25,000 in a bank account in the name of the business. b. Bought a used truck from Degroot Motors for 15,140, paying 5,140 in cash and placing the remainder on account. c. Bought equipment on account from Flemming Company, 3,450. d. Paid the rent for the month, 1,000, Ck. No. 3001. e. Sold services for cash for the first half of the month, 6,927. f. Bought supplies for cash, 301, Ck. No. 3002. g. Bought insurance for the truck for the year, 1,200, Ck. No. 3003. h. Received and paid the bill for utilities, 349, Ck. No. 3004. i. Received a bill for gas and oil for the truck, 218. j. Sold services on account, 3,603. k. Sold services for cash for the remainder of the month, 4,612. l. Paid wages to the employees, 3,958, Ck. Nos. 30053007. m. Carter withdrew cash for personal use, 1,250, Ck. No. 3008. Required 1. Record the transactions and the balance after each transaction 2. Total the left side of the accounting equation (left side of the equal sign), then total the right side of the accounting equation (right side of the equal sign). If the two totals are not equal, check the addition and subtraction. If you still cannot find the error, re-analyze each transaction.In March, T. Carter established Carter Delivery Service. The account headings are presented below. Transactions completed during the month of March follow. a. Carter deposited 25,000 in a bank account in the name of the business. b. Bought a used truck from Degroot Motors for 15,140, paying 5,140 in cash and placing the remainder on account. c. Bought equipment on account from Flemming Company, 3,450. d. Paid the rent for the month, 1,000, Ck. No. 3001 (Rent Expense). e. Sold services for cash for the first half of the month, 6,927 (Service Income). f. Bought supplies for cash, 301, Ck. No. 3002. g. Bought insurance for the truck for the year, 1,200, Ck. No. 3003. h. Received and paid the bill for utilities, 349, Ck. No. 3004 (Utilities Expense). i. Received a bill for gas and oil for the truck, 218 (Gas and Oil Expense). j. Sold services on account, 3,603 (Service Income). k. Sold services for cash for the remainder of the month, 4,612 (Service Income). l. Paid wages to the employees, 3,958, Ck. Nos. 30053007 (Wages Expense). m. Carter withdrew cash for personal use, 1,250, Ck. No. 3008. Required 1. In the equation, write the owners name above the terms Capital and Drawing. 2. Record the transactions and the balance after each transaction. Identify the account affected when the transaction involves revenues or expenses. 3. Write the account totals from the left side of the equals sign and add them. Write the account totals from the right side of the equals sign and add them. If the two totals are not equal, check the addition and subtraction. If you still cannot find the error, re-analyze each transaction.
- Entries Prepared from a Trial Balance and Proof of the Cash Balance Russell Company was incorporated on January 1 with the issuance of capital stock in return for $120,000 of cash contributed by the owners. The only other transaction entered into prior to beginning operations was the issuance of a $50,000 note payable in exchange for equipment and fixtures. The following trial balance was prepared at the end of the first month by the bookkeeper for Russell Company: Required Determine the balance in the Cash account. Identify all of the transactions that affected the Cash account during the month. Use a T account to prove what the balance in Cash will be after all transactions are recorded.Journal entries and trial balance On August 1, 20Y7, Rafael Masey established Planet Realty, which completed the following transactions during the month: a. Rafael Masey transferred cash from a personal bank account to an account to be used for the business in exchange for common stock, 17,500. b. Purchased supplies on account, 2,300. c. Earned sales commissions, receiving cash, 13,300. d. Paid rent on office and equipment for the month, 3,000. e. Paid creditor on account, 1,150. f. Paid dividends, 1,800. g. Paid automobile expenses (including rental charge) for month, 1,500, and miscellaneous expenses, 400. h. Paid office salaries, 2,800. i. Determined that the cost of supplies used was 1,050. Instructions 1. Journalize entries for transactions (a) through (i), using the following account titles: Cash, Supplies, Accounts Payable, Common Stock, Dividends, Sales Commissions, Rent Expense, Office Salaries Expense, Automobile Expense, Supplies Expense, Miscellaneous Expense. Journal entry explanations may be omitted. 2. Prepare T accounts, using the account titles in (1). Post the journal entries to these accounts, placing the appropriate letter to the left of each amount to identify the transactions. Determine the account balances, after all posting is complete. Accounts containing only a single entry do not need a balance. 3. Prepare an unadjusted trial balance as of August 31, 20Y7. 4. Determine the following: a. Amount of total revenue recorded in the ledger. b. Amount of total expenses recorded in the ledger. c. Amount of net income for August. 5. Determine the increase or decrease in retained earnings for August.Krespy Corp. has a cash balance of $7,500 before the following transactions occur: A. received customer payments of $965 B. supplies purchased on account $435 C. services worth $850 performed, 25% is paid in cash the rest will be billed D. corporation pays $275 for an ad in the newspaper E. bill is received for electricity used $235. F. dividends of $2,500 are distributed What is the balance in cash after these transactions are journalized and posted?
- Analyzing the Accounts The controller for Summit Sales Inc. provides the following information on transactions that occurred during the year: a. Purchased supplies on credit, $18,600 b. Paid $14,800 cash toward the purchase in Transaction a c. Provided services to customers on credit1 $46,925 d. Collected $39,650 cash from accounts receivable e. Recorded depreciation expense, $8,175 f. Employee salaries accrued, $15,650 g. Paid $15,650 cash to employees for salaries earned h. Accrued interest expense on long-term debt, $1,950 i. Paid a total of $25,000 on long-term debt, which includes $1.950 interest from Transaction h j. Paid $2,220 cash for l years insurance coverage in advance k. Recognized insurance expense, $1,340, that was paid in a previous period l. Sold equipment with a book value of $7,500 for $7,500 cash m. Declared cash dividend, $12,000 n. Paid cash dividend declared in Transaction m o. Purchased new equipment for $28,300 cash. p. Issued common stock for $60,000 cash q. Used $10,700 of supplies to produce revenues Summit Sales uses the indirect method to prepare its statement of cash flows. Required: 1. Construct a table similar to the one shown at the top of the next page. Analyze each transaction and indicate its effect on the fundamental accounting equation. If the transaction increases a financial statement element, write the amount of the increase preceded by a plus sign (+) in the appropriate column. If the transaction decreases a financial statement element, write the amount of the decrease preceded by a minus sign (-) in the appropriate column. 2. Indicate whether each transaction results in a cash inflow or a cash outflow in the Effect on Cash Flows column. If the transaction has no effect on cash flow, then indicate this by placing none in the Effect on Cash Flows column. 3. For each transaction that affected cash flows, indicate whether the cash flow would be classified as a cash flow from operating activities, cash flow from investing activities, or cash flow from financing activities. If there is no effect on cash flows, indicate this as a non-cash activity.EFFECTS OF TRANSACTIONS (BALANCE SHEET ACCOUNTS) Jon Wallace started a business. During the first month (March 20--), the following transactions occurred. Show the effect of each transaction on the accounting equation: Assets= Liabilities + Owners Equity. After each transaction, show the new account totals. (a) Invested cash in the business, 30,000. (b) Bought office equipment on account, 4,500. (c) Bought office equipment for cash, 1,600. (d) Paid cash on account to supplier in transaction (b), 2,000. EFFECTS OF TRANSACTIONS (REVENUE, EXPENSE, WITHDRAWALS) This exercise is an extension of Exercise 2-3B. Lets assume Jon Wallace completed the following additional transactions during March. Show the effect of each transaction on the basic elements of the expanded accounting equation: Assets = Liabilities + Owners Equity (Capital Drawing + Revenues Expenses). After transaction (k), report the totals for each element. Demonstrate that the accounting equation has remained in balance. (e) Performed services and received cash, 3,000. (f) Paid rent for March, 1,000. (g) Paid March phone bill, 68. (h) Jon Wallace withdrew cash for personal use, 800. (i) Performed services for clients on account, 900. (j) Paid wages to part-time employee, 500. (k) Received cash for services performed on account in transaction (i), 500.Analyzing Transactions. Using the analytical framework, indicate the effect of the following related transactions of a firm. a. January 1: Issued 10,000 shares of common stock for 50,000. b. January 1: Acquired a building costing 35,000, paying 5,000 in cash and borrowing the remainder from a bank. c. During the year: Acquired inventory costing 40,000 on account from various suppliers. d. During the year: Sold inventory costing 30,000 for 65,000 on account. e. During the year: Paid employees 15,000 as compensation for services rendered during the year. f. During the year: Collected 45,000 from customers related to sales on account. g. During the year: Paid merchandise suppliers 28,000 related to purchases on account. h. December 31: Recognized depreciation on the building of 7,000 for financial reporting. Depreciation expense for income tax purposes was 10,000. i. December 31: Recognized compensation for services rendered during the last week in December but not paid by year-end of 4,000. j. December 31: Recognized and paid interest on the bank loan in Part b of 2,400 for the year. k. Recognized income taxes on the net effect of the preceding transactions at an income tax rate of 40%. Assume that the firm pays cash immediately for any taxes currently due to the government.