Question 12Part III: Prepares the closing entries and performs thepost-closing trial balancewwwhAdjusted trial balanceCuenta (Account)(acceunts receivakle)(prepaid insurance)Balance119,00020,5003,850145,45035,00045,00042,80069,00020,000835,00024,500620,0003,500(supplies)(cash)(eauinment)(acceunts RANakle)(notes pavable)Juan del Pueblo, capitalJuan del Pueblo,ldrawings)(fee eamed)(utilities expense)(salary expense)(advertising expense) Question 11Part II: Make the following entries in the general journal1. When it closes the accounts, sales have a balance of $12,000.2. The company Camino Real has a balance in its account of advertising expenses of $5,200 at the end of the month of December and must be closed.3. At the Pollo Real food company there was a salary expense of $13,000 on March31 and closing tickets are being made.4. Prendas Mías bought a cash computer for $1,500.5. Camino Real has a balance of $2,000 in the sales account at the end of theaccounting cycle.6. The La Esquina store purchased prepaid insurance on Feb. 2 for $10,000.7. The owner of Pollo Real made personal withdrawals for $3,000 during the monthof April and closing tickets are being made.8. Martinez Rental had a customer who was offered a credit service for $1,800.9. Jorge Román started a business under the name of Cleaning Cars. Afteradjustments in December 2020 the following balances were recorded in theledger for each account.Jorge Román, capital$180,000Jorge Román, drawing2,500Service fee20,000Salary expense60,000Rent expense14,000Supplies expense12,500Miscellaneous expense5,00010. The total income summary account at La Esquina company is $25,000 in credit. Makethe daily wage entry to take the amount to the capital.

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Question 12 Part II: Prepares the closing entries and performs thepost-closing trial balance Adjusted trial balance Слеnta (Account) Balance 119,000 | 20,500 3,850 145,450 35,000 45,000 42,800 69,000 20,000 835,000 24,500 620,000 3,500 (asseunts receixakle) (Rrenaid insurance) (suRplies) (cash) (eauirment) (asceunts, pAvakle) (notes pavable) Juan del Pueblo, capital Juan del Pueblo,(drawings) (fee sarmed) (utilities expense) (salary expense) (advertising expense)

Question 12 Part II: Prepares the closing entries and performs thepost-closing trial balance Adjusted trial balance Слеnta (Account) Balance 119,000 | 20,500 3,850 145,450 35,000 45,000 42,800 69,000 20,000 835,000 24,500 620,000 3,500 (asseunts receixakle) (Rrenaid insurance) (suRplies) (cash) (eauirment) (asceunts, pAvakle) (notes pavable) Juan del Pueblo, capital Juan del Pueblo,(drawings) (fee sarmed) (utilities expense) (salary expense) (advertising expense)

Corporate Financial Accounting

14th Edition

ISBN:9781305653535

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter5: Accounting For Merchandising Businesses

Section: Chapter Questions

Problem 5.32EX: Closing entries On July 31, the close of the fiscal year, the balances of the accounts appearing in...

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Comprehensive Problem 1, Period 2: The Accounting Cycle During the month of May 20--, The Generals Favorite Fishing Hole engaged in the following transactions. These transactions required an expansion of the chart of accounts as shown below. May 1In order to provide snacks for guests on a 24-hour basis, Night signed a contract with Snack Attack. Snack Attack will install vending machines with food and drinks and pay a 10% commission on all sales. Estimated payments are made at the beginning of each month. Night received a check for 200, the estimated commission on sales for May. 2Night purchased a surround sound system and big screen TV with a digital satellite system for the guest lounge. The surround sound system cost 3,600 and has an estimated useful life of five years and no salvage value. The TV cost 8,000, has an estimated useful life of eight years, and has a salvage value of 800. Night paid cash for both items. 2Paid for Mays programming on the new digital satellite system, 125. 3Nights office manager returned 100 worth of office supplies to Gordon Office Supply. Night received a 100 reduction on the account. 3Deposited registration fees, 52,700. May 3Paid rent for lodge and campgrounds for the month of May, 40,000. 3In preparation for the purchase of a nearby campground, Night invested an additional 600,000. 4Paid Gordon Office Supply on account, 400. 4Purchased the assets of a competing business and paid cash for the following: land, 100,000; lodge, 530,000; and fishing boats, 9,000. The lodge has a remaining useful life of 50 years and a 50,000 salvage value. The boats have remaining lives of five years and no salvage value. 5Paid Mays insurance premium for the new camp, 1,000. (See above transaction.) 5Purchased food supplies from Acme Super Market on account, 22,950. 5Purchased office supplies from Gordon Office Supplies on account, 1,200. 7Night paid 40 each for one-year subscriptions to Fishing Illustrated, Fishing Unlimited, and Fish Master. The magazines are published monthly. 10Deposited registration fees, 62,750. 13Paid wages to fishing guides, 30,000. (Dont forget wages payable.) 14A guest became ill and was unable to stay for the entire week. A refund was issued in the amount of 1,000. 17Deposited registration fees, 63,000. 19Purchased food supplies from Acme Super Market on account, 18,400. 21Deposited registration fees, 63,400. 23Paid 2,500 for advertising spots on National Sports Talk Radio. 25Paid repair fee for damaged boat, 850. 27Paid wages to fishing guides, 30,000. 28Paid 1,800 for advertising spots on billboards. 29Purchased food supplies from Acme Super Market on account, 14,325. 30Paid utilities bill, 3,300. 30Paid phone bill, 1,800. 30Paid Acme Super Market on account, 47,350. 31Bob Night withdrew cash for personal use, 7,500. Adjustment information at the end of May is provided below. (a) Total vending machine sales were 2,300 for the month of May. A 10% commission is earned on these sales. (b) Straight-line depreciation is used for the 10 boats purchased on April 2 for 60,000. The useful life for these assets is five years and there is no salvage value. A full months depreciation was taken in April on these boats. Straight-line depreciation is also used for the two boats purchased in May. Make one adjusting entry for all depreciation on the boats. (c) Straight-line depreciation is used to depreciate the surround sound system. (d) Straight-line depreciation is used to depreciate the big screen TV. (e) Straight-line depreciation is used for the building purchased in May. (f) On April 2, Night paid 9,000 for insurance during the six-month camping season. Mays portion of this premium was used up during this month. (g) Night received his May issues of Fishing Illustrated, Fishing Unlimited, and Fish Master. (h) Office supplies remaining on hand, 150. (i) Food supplies remaining on hand, 5,925. (j) Wages earned, but not yet paid at the end of May, 6,000. REQUIRED 1. Enter the transactions in a general journal. Enter transactions from May 14 on page 5, May 528 on page 6, and the remaining entries on page 7. To save time and space, dont enter descriptions for the journal entries. 2. Post the entries to the general ledger. (If you are not using the working papers that accompany this text, you will need to enter the account titles, account numbers, and balances from April 30 in the general ledger accounts.) 3. Prepare a trial balance on a work sheet. 4. Complete the work sheet. 5. Journalize the adjusting entries on page 8 of the general journal. 6. Post the adjusting entries to the general ledger. 7. Prepare the income statement. 8. Prepare the statement of owners equity. 9. Prepare the balance sheet. 10. Journalize the closing entries on page 9 of the general journal. 11. Post the closing entries to the general ledger. 12. Prepare a post-closing trial balance.
Closing entries On July 31, the close of the fiscal year, the balances of the accounts appearing in the ledger of Serbian Interiors Company, a fumiture wholesaler, are as follows: Accumulated Depr.Building 365,000 Inventory 115,000 Administrative Expenses 440,000 Notes Payable 100,000 Building 810,000 Retained Earnings 455,000 Cash 78,000 Sales 1,437,000 Common Stock 75,000 Sales Tax Payable 4,500 Cost of Goods Sold 775,000 Selling Expenses 160,000 Dividends 15,000 Store Supplies 16,000 Interest Expense 6,000 Store Supplies Expense 21,500 Prepare the July 31 closing entries for Serbian Interiors Company.
Customer Deposits Wolfe $ Wolfe collected $9,000 from a customer on April 1 and agreed to provide legal services during the next three months. Wolfe $ Wolfe expects to provide an equal amount of services each month. Required Prepare the journal entry for the receipt of the customer deposit on April 1. Prepare the adjusting entry on April 30. What will be the effect on net income for April if the entry in (2) is not recorded?
Question 12 A roofing company collects payment when jobs are complete. The work for one customer whose job was bid at $3,000, has been completed as of December 31, but the customer has not yet been billed. Assuming adjustments are only made at year-end what is the adjusting entry the company would need to make on December 31, the end? O Debit Cash, $3,000 credit Roofing Revenue, $3,000 O Debit Roofing Revenue, $3.000 credit Accounts Receivable tood O Debit Accounts Receivable $3.000 credit Roofing Revenue 3000 O Debit Cash, $3,000 credit Accounts Receivable, $3.000 O No adjustment is required Previous
Questions 4 On January 12, 2018 Julie prepaid $1,600 for pet care services to be provided each Friday for 8 weeks for her Yellow Lab, Honey. Mookie The Beagle Concierge recorded the entire $1,600 as Sales. At the end of the accounting period on January 31, 3 weeks (01/12, 01/19, 01/26) of the pet care services had been provided to Honey, so 5 weeks of services or $1,000 ($1,600/8 = $200 per week) had not been earned as of the end of January. Since $1,000 had not been earned, the $1,000 is a liability because Mookie The Beagle Concierge has an obligation to provide the pet care services or return the $1,000 to the customer. So an adjusting entry is needed to bring the accounts up to date at January 31. Question 5 Interest on Mookie The Beagle COncierge's Loan Payable to CK has been incurred, but not recorded or paid. The interest that has been incurred is calculated as principal multiplied by the interest rate multiplied by the time period ($1,000 x 6% x 1/12 = $5.00). Interest Expense…
Definition of Term 1. Prepare reversing entries for the following transactions: (a) The beginning balance of the Supplies account was ₱245. During the month the company bought additional supplies in the amount of ₱735. At the end of the month a physical inventory showed ₱343 of unused supplies. (b) The company has a 12% Note Payable in the amount of ₱17,000 due in 6 months. The interest expense for the month has not been recorded. (c) The company has two employees. The manager is paid on the 15th of every month for work performed during the first half of the month and on the 1st of the following month for the work performed during the second half of the month. His monthly salary is ₱5,500. The other employee is paid ₱650 for each 5-day work week (Monday - Friday). The last day of the month fell on Thursday. (d) The unearned revenue account shows a balance of ₱46,000. According to the manager 60% of that amount has been earned.…
23. A law firm began November with office supplies of P1,600. During the month, the firm purchased supplies of P2,900. At November 30 supplies on hand total P2,100. Supplies expense for the period is?
N7. Boilermaker House Painting Company incurs the following transactions for September. September 3 Paint houses in the current month for $20,000 on account. September 8 Purchase painting equipment for $21,000 cash. September 12 Purchase office supplies on account for $3,500. September 15 Pay employee salaries of $4,200 for the current month. September 19 Purchase advertising to appear in the current month for $1,000 cash. September 22 Pay office rent of $5,400 for the current month. September 26 Receive $15,000 from customers in (1) above. September 30 Receive cash of $6,000 in advance from a customer who plans to have his house painted in the following month. References Section BreakExercise 2-20 Record transactions, post to T-accounts, and prepare a trial balance (LO2-4, 2-5, 2-6)
17) A company pays each of its two office employees each Friday at the rate of $100 per day for a five-day week that begins on Monday. If the monthly accounting period ends on Tuesday and the employees worked on both Monday and Tuesday, the month-end adjusting entry to record the salaries earned but unpaid is: (Hint: Ask yourself how many days of salary expenses that you need to accrued at the end of accounting period.) Group of answer choices Debit Salaries Expense $600 and credit Salaries Payable $600. Debit Salaries Expense $400 and credit Salaries Payable $400. Debit Unpaid Salaries $600 and credit Salaries Payable $600. Debit Salaries Payable $400 and credit Salaries Expense $400.
Question 5As Perry Materials Supply was preparing for the year-end close, their balances were as follows: Accounts Receivable - Dr 146,000 and Allow for uncollectible Accounts - Dr 6,200 Perry Materials uses the aging method and has completed the following analysis of the accountsreceivable:Customer 1-30 Days 31-60 Days 61-90 DaysOver 90DaysTotalBalanceJohnson $4,600 $3,200 $7,800Hot Pots, Inc. 800 1,000 1,800Potter 40,000 550 40,550Harrison 3,600 900 4,500Marx 2,000 50 2,050Younger 65,000 65,000Merry Maids 5,900 5,900Acher 12,000 6,400 18,400Totals $127,500 $13,750 $3,700 $1,050 $146,000Uncollectible percentage 2% 10% 20% 40%Estimated uncollectibleamount $2,550 $1,375 $740 $420 $5,085Required:1. How much will the Uncollectible account expense for the year be?2. What will the final balance in the Allowance account be, after adjusting for uncollectibleaccount expense?
33 Daube Industries’ operations for the month of October are summarized as follows: Provided $2,500 of services in October on account. Received $2,000 cash from customers for services provided in October. Received $500 cash for services to be provided in November. Received $1,500 cash from customers on account for services provided in September. Paid September’s warehouse rental bill on account in the amount of $500. Received October’s warehouse rental bill of $750; set it aside to be paid at a later date. Required: Prepare journal entries to record the transactions identified among activities (A) through (F). Calculate the Net Income.
Adjustment data at December 31 follow:a. On December 15, Canton contracted to perform services for a client receiving $2,000 in advance. Canton recorded this receipt of cash as Unearned Revenue. As of December 31, Canton has completed $1,800 of the services.b. Canton prepaid two months of rent on December 1.c. Canton used $400 of office supplies during the month.d. Depreciation for the equipment is $700.e. Canton received a bill for December’s online advertising, $400. Canton will not pay the bill until January. (Use Accounts Payable.)f. Canton pays its employees weekly on Monday for the previous week’s wages. Its employees earn $2,000 for a five-day workweek. December 31 falls on Wednesday this year.g. On October 1, Canton agreed to provide a four-month air system check (beginning October 1) for a customer for $2,040. Canton has completed the system check every month, but payment has not yet been received and no entries have been made.