Question 6. In June, 2022, L&M Children's Boutique, Inc. was established in Lafayette, Louisiana, to provide seamstress services and designer clothing for infants and children in the Acadiana area. Bubbles Breaux and Anastasia Lee are the major stockholders in this corporation. Use the following data to prepare the journal entries for the following transactions that occurred during the month of June. June 1 3 Stockholders (Bubbles & Anastasia) invested $90,000 cash in the business. Purchased shelves and cash register for $25,000: paid $6,000 down and signed al year 6% note for the balance. 6 13. Hired Trixie Keyes as a sales person. Purchased supplies for $1,300 on account. Provided $1,000 of services on account. 17 20 Received $700 when a customer purchased a gift card to be used in the future. Collected $600 from the transaction on June 17. 26 27 28 Paid $6,000 for a one-year insurance policy effective July 1, 2022. Paid $1,000 rent and $800 for utilities used during the month. Paid receptionist $1,500 for June. 29

Question 6. In June, 2022, L&M Children's Boutique, Inc. was established in Lafayette, Louisiana, to provide seamstress services and designer clothing for infants and children in the Acadiana area. Bubbles Breaux and Anastasia Lee are the major stockholders in this corporation. Use the following data to prepare the journal entries for the following transactions that occurred during the month of June. June 1 3 Stockholders (Bubbles & Anastasia) invested $90,000 cash in the business. Purchased shelves and cash register for $25,000: paid $6,000 down and signed al year 6% note for the balance. 6 13. Hired Trixie Keyes as a sales person. Purchased supplies for $1,300 on account. Provided $1,000 of services on account. 17 20 Received $700 when a customer purchased a gift card to be used in the future. Collected $600 from the transaction on June 17. 26 27 28 Paid $6,000 for a one-year insurance policy effective July 1, 2022. Paid $1,000 rent and $800 for utilities used during the month. Paid receptionist $1,500 for June. 29

Financial Accounting

15th Edition

ISBN:9781337272124

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

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

Chapter4: Completing The Accounting Cycle

Section: Chapter Questions

Problem 5CP

See similar textbooks

Similar questions

4. Assume one year later (2019) the company KY Jeweller’s Ltd has been formed and the owners are desirous of companying several financial transactions and possible outcomes to assist in guiding their decision-making process. They have asked each student from your accounting course to prepare the company’s journal entries and statement of owner’s equity. The company’s charter authorizes 1,000,000 shares of common stock and 100,000 shares of preferred stock and the following are the transactions for consideration: KY Jewelers purchased a piece of land from the original owner. In payment for the land, KY Jewelers issues ___________ of common stock with $1.00 par value. (Show Calculation) The land has been appraised at a market value of ______________ (Show Calculation) Please refer to table below for land value under the category Name # of shares issued Value of land A, P, I, E, V 300,000 $1,200,000
SP2. In September 2019, Kate incorporated Kate's Cards after investigating different organizational forms, and began the process of getting her business up and running. The following events occurred during the month of September 2019: 1. Kate deposited $10,000 that she had saved into a newly opened business checking account. She received common stock in exchange. 2. Kate designed a brochure that she will use to promote her greeting cards at local stationary stores. 3. Kate paid Fred Simmons $50 to critique her brochure before undertaking her final design and printing. 4. Kate purchased a new iMac computer tablet, specialized graphic arts software, and commercial printer for the company, paying $4,800 in cash. She decided to record all of these items under the same equipment account. 5. Kate purchased supplies such as paper and ink for $350 at the local stationary store. She opened a business account with the store and was granted 30 days credit on all purchases, including the one she…
Apex Systems Co. Offers it's services to residents in the Seattle area. Selected accounts from the Ledger of Apex Systems Co. For the fiscal year ended in December 31,2019, are as follows: Bart Nesbit, Capital Dec.31 78,000 Jan. 1 (2019) 1,334,000 Dec.31 347,000 Bart Nesbit , Drawing Mar.31 19,500 Dec.31 78,000 June 30 19,500 Sept. 30 19,500 Dec.31 19,500 Required: Repair a statement of owners equity for the year. No additional investments were made during the year. if a net loss has been incurred or there has been a decrease in owner's equity, enter that amount as a negative number using a minus sign. Be sure to complete the statement heading.
Maria Cruz formed the Kiddies Jade on October 1, 2020. She deposited 250,000 in BDO bank under the name of the new business entity. During October 2020, the following transactions occurred: Required: Do its Journal Entry
Question On December 31, 2020, the balances of the accounts appearing in the ledger of Home City Furnishings Company, a furniture wholesaler, are as follows:
SEPTEMBER 2019: In September 2019, Kate incorporated Kate’s Cards after investigating different organizational forms, and began the process of getting her business up and running. The following events occurred during the month of September 2019: Kate deposited $10,000 that she had saved into a newly opened business checking account. She received common stock in exchange. Kate designed a brochure that she will use to promote her greeting cards at local stationery stores. Kate paid Fred Simmons $50 to critique her brochure before undertaking her final design and printing. Kate purchased a new iMac computer tablet, specialized graphic arts software, and commercial printer for the company, paying $4,800 in cash. She decided to record all of these items under the same equipment account. Kate purchased supplies such as paper and ink for $350 at the local stationery store. She opened a business account with the store and was granted 30 days credit on all purchases, including the one she just…
SEPTEMBER 2019: In September 2019, Kate incorporated Kate’s Cards after investigating different organizational forms, and began the process of getting her business up and running. The following events occurred during the month of September 2019: Kate deposited $10,000 that she had saved into a newly opened business checking account. She received common stock in exchange. Kate designed a brochure that she will use to promote her greeting cards at local stationery stores. Kate paid Fred Simmons $50 to critique her brochure before undertaking her final design and printing. Kate purchased a new iMac computer tablet, specialized graphic arts software, and commercial printer for the company, paying $4,800 in cash. She decided to record all of these items under the same equipment account. Kate purchased supplies such as paper and ink for $350 at the local stationery store. She opened a business account with the store and was granted 30 days credit on all purchases, including the one she just…
1Q Ameena Enterprise is a business management service founded by Madam Ameena in 2019.Mr. Ali is an accountant responsible for preparing the financial statements for AmeenaEnterprise. Miss Maria has been appointed as new account clerk at Ameena Enterprise. Mr. Alihas several tasks planned to test Miss Maria’s ability to work. Firstly, he asked Miss Maria toprepare the journal entries to record the transactions of Ameena Enterprise for the month ofApril 2021. The following are the transactions that occurred in April 2021:Date Transactions1 April Purchased office equipment of RM14,000. 40% of the amount is purchasedon credit basis and the remaining balance is paid by cash.1 April Accrued revenues of RM3,500 previously recorded to accounts receivablewere collected.1 April Paid office rental in advance for RM4,500.2 April Paid all accrued salaries for Mac 2021, RM3,000.3 April Provided services amounting RM2,400 for the customer who made theadvance payment March 2021.10 April Received…
Question 2 The owners are desirous of comparing serval financial transactions and possible outcomes to assist in guiding their decision-making process. They assume that the company will be formed on January 1, 2020 and that Mulatto Company’s charter will authorize 1,000,000 shares of common stock and 400,000, $100 par value, 5% cumulative preferred stock. They have asked each student from your accounting course to prepare the company’s journal entries and statement of owner’s equity based on the following information which is grouped according to your surname name initial. Issued 5000 shares of common stock. Stock has par value of $0.01per share and was issued at $30 per share. Issued 2000 shares of preferred stock at par value as payment in exchange for legal services. Exchanged 100,000 shares of common stock for land with an appraised value of $250,000 and a building with an appraised value of $450,000. Earned Net income $500,000. Paid dividends to preferred shareholders as well as…
I am going to name a couple of statements and terms. I need to know if they are Proprietorship, Partnership, or Corporation.1) Bronson Company presents a statement of retained earnings in its financial statements at year end2)Jean Johnson's home health care business doesn't have liability separate from herself3)Grand Canyon Company's Retained Earnings balance is 5 million4)Michael Johnson and Joaquin Nunoz each invested $10,000 in their computer consulting business, and received shares of the company's stock in exchange for their investments5)Crown Candy Company presents statement of owner's capital in its annual financial statement.6)Johnson, Capital7) Common Stock8) Statement of capital containing two capital accounts9) Par Value10) Stockholder's Equity11) Partners' Capital, December 3112) Statement of capital containing one capital account13) Retained Earnings14) Jones, Drawings15) Additional Paid-in-Capital
Davis & Bell began a health clinic as a corporation in 2014. Several transactions which occurred early in 2014 are described below. Record each transaction in proper journal entry form, excluding written explanations. Required: 5 points each Record each transaction in proper journal entry form, excluding written explanations. 1/15/14-Stockholders invested $90,000 in the business and received shares of common stock as evidence of ownership. 2/1/14 --Rent of $2,000 was paid for the month of February 2/10/14--Equipment with a cost of $10,000 was purchased on credit; payment is due in 30 days. 2/14/14--Fees totaling $5,500 were billed to patients; $3,000 was collected immediately and the balance of $2,500 is due within 30 days. 2/19/14--Full payment was made for the equipment purchased on…
SEPTEMBER 2019: In September 2019, Kate incorporated Kate’s Cards after investigating different organizational forms and began the process of getting her business up and running. The following events occurred during the month of September 2019: Kate deposited $10,000 that she had saved into a newly opened business checking account. She received common stock in exchange. Kate designed a brochure that she will use to promote her greeting cards at local stationery stores. Kate paid Fred Simmons $50 to critique her brochure before undertaking her final design and printing. Kate purchased a new iMac computer tablet, specialized graphic arts software, and commercial printer for the company, paying $4,800 in cash. She decided to record all of these items under the same equipment account. Kate purchased supplies such as paper and ink for $350 at the local stationery store. She opened a business account with the store and was granted 30 days credit on all purchases, including the one she just…