Jones Supply Services paid $350 cash, the amount owed from the previous month, to a materials supplier. Which of the following accounts decrease? А. Office Supplies В. Accounts Payable с. Accounts Receivable D. Retained Earnings
Q: Castile Incorporated had a beginning balance of $3,200 in its Accounts Receivable account. The…
A: The cash flow statement is prepared to estimate the net cash inflow or outflow from the business…
Q: Liu Zhang operates Lawson Consulting, which began operations on June 1. On June 30, the company’s…
A: Income statements shows the total revenues earned and total expenses incurred by an organization for…
Q: Holmes Cleaning Service began operation on January 1, Year 1. The company experienced the following…
A: T Accounts: A T-account is a graphical depiction of a general ledger, which is used to record the…
Q: The accounting records of Marcus Service Company include the following selected, unadjusted balances…
A: Adjusting entries are prepared at the end of the year in order to allot revenue and the expense in…
Q: On January 1, Pulse Recording Studio (PRS) had the following account balances. Accounts Payable $…
A: "Since you have posted a question with multiple subparts, we will solve the first three subparts for…
Q: The following information applies to the questions displayed below) Holmes Cleaning Service began…
A: Journal Entry: Journal entry has two effects for every transaction. The journal entry is passed by…
Q: On January 1, a customer paid X Company $39,000 in advance for cleaning services. The cleaning was…
A: On January 1, CashA/C dr $39000 Deferred revenue A/C cr. $39000 On January 31, Deferred revenue A/C…
Q: Holmes Cleaning Service began operation on January 1, Year 1. The company experienced the following…
A: SOLUTION- The accounting equation shows on a company's balance that a company's total assets are…
Q: As of January 1, Terrace Waters, Capital had a credit balance of $500,000. During the year,…
A: a.The balance of T's capital at the end of the year is calculated as follows:
Q: Transactions made by Ivanhoe Company for the month of March are shown below. 1. The company…
A: Step 1: The tabular analysis of the transactions is as follows:
Q: The Mendholm Company entered into the following transactions: Performed services on account,…
A: Accounting Equation = Assets = Liabilities + Shareholder’s Equity (Capital + Retained Earnings)(a)…
Q: The Accounts Payable account has a beginning balance of $11,900 and the company purchased $53,000 of…
A: Accounts payables are those accounts to whom amount is due to be paid on account of purchase of…
Q: The accounting records of Mason Service Company include the following selected, unadjusted balances…
A: Adjusting journal entries are generally those journal entries which are made to record the…
Q: The following selected transactions were taken from the records of Shipway Company for the first…
A: Bad debt expense: Bad debt expense is an expense account. The amounts of loss incurred from…
Q: Transactions made by Ivanhoe Company for the month of March are shown below. 1. The company…
A: The basic Accounting Equation is Assets = Equity + LiabilitiesAssets are the resources owned by the…
Q: At the end of the first month of operations, Won In Jae Co.'s bookkeeper prepared financial…
A: Formula : Assets = Liabilities - Owner's Equity Thus, Owner's Equity = Assets - Liabilities
Q: Prepare reversing entries for the following transactions: (a) The beginning balance of the…
A: The question is based on the concept of Financial Accounting.
Q: The following transactions occur for Badger Biking Company during the month of June: Provide…
A: Accounting Equation: This is a mathematical equation, which represents the association between…
Q: During the month the following transactions occurred: Earned $1,730 of service revenue for cash.…
A: Increase (decrease) in stockholders' equity = Earned service revenue for cash + Earned sales revenue
Q: On September 30, ABC paid employee salaries of $7,000, including $1,000 it owed to its employees…
A: Introduction:- The following balance sheet (Accounting) equation used as follows under:- Assets =…
Q: Holmes Cleaning Service began operation on January 1, Year 1. The company experienced the following…
A: a. Cash + Account Receivable - Allowance = Retained earnings Account title 1 150,000…
Q: The accounting records of Mason Service Company include the following selected, unadjusted balances…
A: Journal entry is a process of recording a financial transaction in the books using debit and credit…
Q: Rosle Dry Cleaning was started on January 1, Year 1. It experlenced the following events during its…
A: Solution a:
Q: Centurion Company had the following accounts and balances at December 31: Account Debit Credit $…
A: Net income means the income left after deducting all expenses and including all income whether…
Q: A company's December 31 work sheet for the current period appears below. Based on the information…
A: Lets understand the basics. Management calculate net income to know result of the working of the…
Q: The accounting records of Marcus Service Company include the following selected, unadjusted balances…
A: Adjusting entries journal entries that are passed at the conclusion of a financial year in order to…
Q: joet Feliciano Communications is a public relations firm. During the month of August, Receivabie…
A: Accounting is the consolidated process of recording the transactions that take place during a…
Q: Jones Supply Services paid $350 cash, the amount owed from the previous month, to a materials…
A: Answer) The correct option in the given question is (B) Accounts Payable
Q: Presented below are incomplete financial statements for Marta Communications Company. Required:…
A: Net Income = Revenue - Expenses Capital , Ending balance = Capital , Beginning balance + Net Income…
Q: Diamond, Inc. had the following transactions during June: Performed services for $3,000 on account;…
A: Services rendered on account does not result in cash flows to an entity. The cash inflows occur when…
Q: Jones Supply Services paid $350 cash, the amount owed from the previous month, to a materials…
A: The account payable are the liabilities for the business and account receivables are the assets for…
Q: A company had revenues of $75,000 and expenses of $62,000 for the accounting period. The owner…
A: The question is multiple choice question. Required Choose the Correct Option.
Q: Holmes Cleaning Service began operation on January 1, Year 1. The company experienced the following…
A: As per double entry system of accounting, for every transaction atleast one account should be…
Q: Holmes Cleaning Service began operation on January 1, Year 1. The company experienced the following…
A: The question is based on the concept of Financial Accounting.
Q: Liu Zhang operates Lawson Consulting, which began operations on June 1. On June 30, the company’s…
A: Income statement: It shows all the income earned by the business and the expenses incurred during an…
Q: Prepare a December 31 trial balance for TLX Co. using the following information and fill in the…
A: Trial Balance: Trial balance is a statement in which the closing balances of all ledger accounts are…
Q: Jones Supply Services paid $350 cash, the amount owed from the previous month, to a materials…
A: Introduction: Journals: All the business transactions are to be recorded in Journals. Journals are…
Q: Cash receipts versus revenues During the month of April, Riley Co. had cash receipts from customers…
A: Revenue: When any income is earned by the firm or any entity through the sales of goods or services…
Q: The ledger of Mai Company includes the following accounts with normal balances as of December 31: D.…
A: Introduction: An income statement is among the most common and important financial statements you'll…
Q: Castile Inc. had a beginning balance of $4,000 in Its Accounts Recelvable account. The ending…
A: Cash flows from operating activities: It is a section of Statement of cash flow that explains the…
Q: During the month of April, Riley Co. had cash receipts from customers of $71,100. Expenses totaled…
A: Under the accrual basis of accounting, transactions are recorded in books of accounts as and when…
Q: Which of the foliowing joumal entries would be recorded if a business makes a cash payment to a…
A: Accounts payable: Accounts payable is a liability of the firm, which refers to the accounts which…
Q: Jones Supply Services paid $350 cash, the amount owed from the previous month, to a materials…
A: DATE ACCOUNTS DEBIT CREDIT Accounts Payable $350 Cash $350 (To record the…
Q: Cleaning Service began operation on January 1, Year 1. company experienced th operations: Events…
A: The accounting equation is defined as the equation which states the balance of company that the…
Q: In a trial balance prepared on March 31, the total of the credit column is: * On March 31, the…
A:
Q: The following selected transactions were taken from the records of Shipway Company for the first…
A: Bad debt expense: Bad debt expense is an expense account. The amounts of loss incurred from…
Q: The ledger of Ivanhoe Company contains the following balances: Owner's Capital $31,800, Owner's…
A: Total expenses = $25,600 + $6,300 Total expenses = $31,900 Net income = $50,000 - $31,900 Net…
Q: a. On February 1, the company determined that $9,200 in customer accounts was uncollectible;…
A: A Journal entry is a primary entry that records the financial transactions initially. The…
Mortgages
A mortgage is a formal agreement in which a bank or other financial institution lends cash at interest in return for assuming the title to the debtor's property, on the condition that the obligation is paid in full.
Mortgage
The term "mortgage" is a type of loan that a borrower takes to maintain his house or any form of assets and he agrees to return the amount in a particular period of time to the lender usually in a series of regular equally monthly, quarterly, or half-yearly payments.
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- 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, $5,700Analyzing 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.Post the following August transactions to T-accounts for Accounts Payable and Supplies, indicating the ending balance (assume no beginning balances in these accounts): A. purchased supplies on account, $600 B. paid vendors for supplies delivered earlier in month, $500 C. purchased supplies for cash, $450
- Global Services Company had the following transactions during the month of August: a. Record the August revenue transactions for Global Services Company into the following revenue journal format: b. What is the total amount posted to the accounts receivable and fees earned accounts from the revenue journal for August? c. What is the August 31 balance of the Morgan Corp. customer account assuming a zero balance on August 1?The following transactions were completed by Hammond Auto Supply during January, which is the first month of this fiscal year. Terms of sale are 2/10, n/30. The balances of the accounts as of January 1 have been recorded in the general ledger in your Working Papers or in CengageNow. Hammond Auto Supply does not track cash sales by customer. Jan. 2Issued Ck. No. 6981 to JSS Management Company for monthly rent, 775. 2J. Hammond, the owner, invested an additional 3,500 in the business. 4Bought merchandise on account from Valencia and Company, invoice no. A691, 2,930; terms 2/10, n/30; dated January 2. 4Received check from Vega Appliance for 980 in payment of 1,000 invoice less discount. 4Sold merchandise on account to L. Paul, invoice no. 6483, 850. 6Received check from Petty, Inc., 637, in payment of 650 invoice less discount. 7Issued Ck. No. 6982, 588, to Fischer and Son, in payment of invoice no. C1272 for 600 less discount. 7Bought supplies on account from Doyle Office Supply, invoice no. 1906B, 108; terms net 30 days. 7Sold merchandise on account to Ellison and Clay, invoice no. 6484, 787. 9Issued credit memo no. 43 to L. Paul, 54, for merchandise returned. 11Cash sales for January 1 through January 10, 4,863.20. 11Issued Ck. No. 6983, 2,871.40, to Valencia and Company, in payment of 2,930 invoice less discount. 14Sold merchandise on account to Vega Appliance, invoice no. 6485, 2,050. Jan. 18Bought merchandise on account from Costa Products, invoice no. 7281D, 4,854; terms 2/10, n/60; dated January 16; FOB shipping point, freight prepaid and added to the invoice, 147 (total 5,001). 21Issued Ck. No. 6984, 194, to M. Miller for miscellaneous expenses not recorded previously. 21Cash sales for January 11 through January 20, 4,591. 23Issued Ck. No. 6985 to Forbes Freight, 96, for freight charges on merchandise purchased on January 4. 23Received credit memo no. 163, 376, from Costa Products for merchandise returned. 29Sold merchandise on account to Bruce Supply, invoice no. 6486, 1,835. 31Cash sales for January 21 through January 31, 4,428. 31Issued Ck. No. 6986, 53, to M. Miller for miscellaneous expenses not recorded previously. 31Recorded payroll entry from the payroll register: total salaries, 6,200; employees federal income tax withheld, 872; FICA Social Security tax withheld, 384.40, FICA Medicare tax withheld, 89.90. 31Recorded the payroll taxes: Social Security tax, 384.40, FICA Medicare tax, 89.90; state unemployment tax, 334.80; federal unemployment tax, 37.20. 31Issued Ck. No. 6987, 4,853.70, for salaries for the month. 31J. Hammond, the owner, withdrew 1,000 for personal use, Ck. No. 6988. Required 1. Record the transactions for January using a sales journal, page 73; a purchases journal, page 56; a cash receipts journal, page 38; a cash payments journal, page 45; and a general journal, page 100. Assume the periodic inventory method is used. 2. Post daily all entries involving customer accounts to the accounts receivable ledger. 3. Post daily all entries involving creditor accounts to the accounts payable ledger. 4. Post daily those entries involving the Other Accounts columns and the general journal to the general ledger. Write the owners name in the Capital and Drawing accounts. 5. Add the columns of the special journals and prove the equality of the debit and credit totals. 6. Post the appropriate totals of the special journals to the general ledger. 7. Prepare a trial balance. 8. Prepare a schedule of accounts receivable and a schedule of accounts payable. Do the totals equal the balances of the related controlling accounts?The following transactions were completed by Hammond Auto Supply during January, which is the first month of this fiscal year. Terms of sale are 2/10, n/30. The balances of the accounts as of January 1 have been recorded in the general ledger in your Working Papers or in CengageNow. Hammond Auto Supply does not track cash sales by customer. Jan. 2Issued Ck. No. 6981 to JSS Management Company for monthly rent, 775. 2J. Hammond, the owner, invested an additional 3,500 in the business. 4Bought merchandise on account from Valencia and Company, invoice no. A691, 2,930; terms 2/10, n/30; dated January 2. 4Received check from Vega Appliance for 980 in payment of 1,000 invoice less discount. 4Sold merchandise on account to L. Paul, invoice no. 6483, 850. 6Received check from Petty, Inc., 637, in payment of 650 invoice less discount. 7Issued Ck. No. 6982, 588, to Fischer and Son, in payment of invoice no. C1272 for 600 less discount. 7Bought supplies on account from Doyle Office Supply, invoice no. 1906B, 108; terms net 30 days. 7Sold merchandise on account to Ellison and Clay, invoice no. 6484, 787. 9Issued credit memo no. 43 to L. Paul, 54, for merchandise returned. 11Cash sales for January 1 through January 10, 4,863.20. 11Issued Ck. No. 6983, 2,871.40, to Valencia and Company, in payment of 2,930 invoice less discount. 14Sold merchandise on account to Vega Appliance, invoice no. 6485, 2,050. Jan. 18Bought merchandise on account from Costa Products, invoice no. 7281D, 4,854; terms 2/10, n/60; dated January 16; FOB shipping point, freight prepaid and added to the invoice, 147 (total 5,001). 21Issued Ck. No. 6984, 194, to M. Miller for miscellaneous expenses not recorded previously. 21Cash sales for January 11 through January 20, 4,591. 23Issued Ck. No. 6985 to Forbes Freight, 96, for freight charges on merchandise purchased on January 4. 23Received credit memo no. 163, 376, from Costa Products for merchandise returned. 29Sold merchandise on account to Bruce Supply, invoice no. 6486, 1,835. 31Cash sales for January 21 through January 31, 4,428. 31Issued Ck. No. 6986, 53, to M. Miller for miscellaneous expenses not recorded previously. 31Recorded payroll entry from the payroll register: total salaries, 6,200; employees federal income tax withheld, 872; FICA Social Security tax withheld, 384.40, FICA Medicare tax withheld, 89.90. 31Recorded the payroll taxes: Social Security tax, 384.40, FICA Medicare tax, 89.90; state unemployment tax, 334.80; federal unemployment tax, 37.20. 31Issued Ck. No. 6987, 4,853.70, for salaries for the month. 31J. Hammond, the owner, withdrew 1,000 for personal use, Ck. No. 6988. Required 1. Record the transactions in the general journal for January. If you are using Working Papers, start with page 1 in the journal. Assume the periodic inventory method is used. The chart of accounts is as follows: 2. Post daily all entries involving customer accounts to the accounts receivable ledger. 3. Post daily all entries involving creditor accounts to the accounts payable ledger. 4. Post daily the general journal entries to the general ledger. Write the owners name in the Capital and Drawing accounts. 5. Prepare a trial balance. 6. Prepare a schedule of accounts receivable and a schedule of accounts payable. Do the totals equal the balances of the related controlling accounts?
- Reconstructing a Beginning Account Balance During the month, services performed for customers on account amounted to $7,500 and collections from customers in payment of their accounts totaled $6,000. At the end of the month, the Accounts Receivable account had a balance of $2,500. What was the Accounts Receivable balance at the beginning of the month?After all revenue and expenses have been closed at the end of the fiscal period ended December 31, Income Summary has a debit of 45,550 and a credit of 36,520. On the same date, D. Mau, Drawing has a debit balance of 12,000 and D. Mau, Capital had a beginning credit balance of 63,410. a. Journalize the entries to close the remaining temporary accounts. b. What is the new balance of D. Mau, Capital after closing the remaining temporary accounts? Show your calculations.The receipt of $8,000 cash for fees earned was recorded by Langley Consulting as an increase in cash of $8,000 and a decrease in retained earnings (revenues) of $8,000. What is the effect of this error on the accounting equation? A. Total assets will exceed total liabilities and stockholders’ equity by $8,000. B. Total assets will be less than total liabilities and stockholders’ equity by $8,000. C. Total assets will exceed total liabilities and stockholders’ equity by $16,000. D. The error will not affect the accounting equation.
- Horizon Consulting Company had the following transactions during the month of October: a. Record the October revenue transactions for Horizon Consulting Company in the following revenue journal format: b. What is the total amount posted to the accounts receivable and fees earned accounts from the revenue journal for October? c. What is the October 31 balance of the Pryor Corp. customer account assuming a zero balance on October 1?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?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.