Homework Help is Here – Start Your Trial Now!
Business
Accounting
Service industry; journal entries and CSR Kalogrides & McMillan CPAS incurred the following costs in performing audits during September. The firm uses a Work in Process Inventory account for audit engagement costs and records overhead in fixed and variable overhead accounts. a. Prepare journal entries for each of the following transactions: Note: Where applicable, list multiple debits in alphabetical order and multiple credits in alphabetical order. 1. Used $10,000 of previously purchased supplies on audit engagements. 2. Paid $16,000 of partner travel expenses to an accounting conference. 3. Recorded $13,000 of depreciation on laptops used in audits. 4. Recorded $3,600,000 of annual depreciation on the Kalogrides & McMillan Building, located in downtown New York; 65 percent of the space is used to house audit personnel. 5. Accrued audit partner salaries, $400,000. 6. Accrued remaining audit staff salaries, $515,800. 7. Paid credit card charges for travel costs for client engagements, $38,800. 8. One month's prepaid insurance and property taxes expired on the downtown building, $34,600. 9. Accrued $6,800 of office assistant wages; the office assistant works only for the audit partners and staff. 10. Paid all accrued salaries and wages for the month. 4

Service industry; journal entries and CSR Kalogrides & McMillan CPAS incurred the following costs in performing audits during September. The firm uses a Work in Process Inventory account for audit engagement costs and records overhead in fixed and variable overhead accounts. a. Prepare journal entries for each of the following transactions: Note: Where applicable, list multiple debits in alphabetical order and multiple credits in alphabetical order. 1. Used $10,000 of previously purchased supplies on audit engagements. 2. Paid $16,000 of partner travel expenses to an accounting conference. 3. Recorded $13,000 of depreciation on laptops used in audits. 4. Recorded $3,600,000 of annual depreciation on the Kalogrides & McMillan Building, located in downtown New York; 65 percent of the space is used to house audit personnel. 5. Accrued audit partner salaries, $400,000. 6. Accrued remaining audit staff salaries, $515,800. 7. Paid credit card charges for travel costs for client engagements, $38,800. 8. One month's prepaid insurance and property taxes expired on the downtown building, $34,600. 9. Accrued $6,800 of office assistant wages; the office assistant works only for the audit partners and staff. 10. Paid all accrued salaries and wages for the month. 4

Principles of Cost Accounting
Principles of Cost Accounting
17th Edition
ISBN:9781305087408
Author:Edward J. Vanderbeck, Maria R. Mitchell
Publisher:Edward J. Vanderbeck, Maria R. Mitchell
Chapter2: Accounting For Materials
Section: Chapter Questions
Problem 14P: An examination of Buckhorn Fabricators records reveals the following transactions: a. On December...
See similar textbooks
icon
Related questions
Question

Do not give answer in image 

Service industry; journal entries and CSR Kalogrides & McMillan CPAS incurred the following costs in performing audits during September. The firm uses a Work in Process Inventory account for audit engagement costs and records overhead in fixed and variable overhead accounts. a. Prepare journal entries for each of the following transactions: Note: Where applicable, list multiple debits in alphabetical order and multiple credits in alphabetical order. - 1. Used $10,000 of previously purchased supplies on audit engagements. 2. Paid $16,000 of partner travel expenses to an accounting conference. 3. Recorded $13,000 of depreciation on laptops used in audits. 4. Recorded $3,600,000 of annual depreciation on the Kalogrides & McMillan Building, located in downtown New York; 65 percent of the space is used to house audit personnel. 5. Accrued audit partner salaries, $400,000. 6. Accrued remaining audit staff salaries, $515,800. 7. Paid credit card charges for travel costs for client engagements, $38,800. 8. One month's prepaid insurance and property taxes expired on the downtown building, $34,600. 9. Accrued $6,800 of office assistant wages; the office assistant works only for the audit partners and staff. 10. Paid all accrued salaries and wages for the month. Solution: a. 1. Work in Process Inventory Supplies Inventory To record supplies usage for audit engagements 2. Travel Expense Account Cash To record travel expenses for partner 3. Fixed Overhead Control Accumulated Depreciation-Laptops To record laptop depreciation 4. Depreciation Expense Fixed Overhead Control Accumulated Depreciation-Building To record depreciation on NYC building Work in Process Iouenton alllar 00 + + 00 00 000 Debit 10000 16000 13000 195000 400000 Credit 10000 16000 13000
Transcribed Image Text:Service industry; journal entries and CSR Kalogrides & McMillan CPAS incurred the following costs in performing audits during September. The firm uses a Work in Process Inventory account for audit engagement costs and records overhead in fixed and variable overhead accounts. a. Prepare journal entries for each of the following transactions: Note: Where applicable, list multiple debits in alphabetical order and multiple credits in alphabetical order. - 1. Used $10,000 of previously purchased supplies on audit engagements. 2. Paid $16,000 of partner travel expenses to an accounting conference. 3. Recorded $13,000 of depreciation on laptops used in audits. 4. Recorded $3,600,000 of annual depreciation on the Kalogrides & McMillan Building, located in downtown New York; 65 percent of the space is used to house audit personnel. 5. Accrued audit partner salaries, $400,000. 6. Accrued remaining audit staff salaries, $515,800. 7. Paid credit card charges for travel costs for client engagements, $38,800. 8. One month's prepaid insurance and property taxes expired on the downtown building, $34,600. 9. Accrued $6,800 of office assistant wages; the office assistant works only for the audit partners and staff. 10. Paid all accrued salaries and wages for the month. Solution: a. 1. Work in Process Inventory Supplies Inventory To record supplies usage for audit engagements 2. Travel Expense Account Cash To record travel expenses for partner 3. Fixed Overhead Control Accumulated Depreciation-Laptops To record laptop depreciation 4. Depreciation Expense Fixed Overhead Control Accumulated Depreciation-Building To record depreciation on NYC building Work in Process Iouenton alllar 00 + + 00 00 000 Debit 10000 16000 13000 195000 400000 Credit 10000 16000 13000
Solution: a. 1. Work in Process Inventory Supplies Inventory To record supplies usage for audit engagements 2. Travel Expense Cash To record travel expenses for partner 3. Fixed Overhead Control: Accumulated Depreciation-Laptops To record laptop depreciation 4. Depreciation Expense Fixed Overhead Control Accumulated Depreciation-Building To record depreciation on NYC building 5. Work in Process Inventory Salaries Payable To accrue partner salaries 6. Work in Process Inventory Salaries Payable To accrue audit salaries 7. Work in Process Inventory Cash To record audit-related travel costs 8. Fixed Overhead Control Account Wages Payable To accrue office assistant wages 10. Salaries Payable Wages Payable Cash To pay accrued salaries and wages b. Determine the cost of audit services rendered for September. S Check Type here to search 수 # 00 + 0 + Insurance Expense Prepaid Insurance and Taxes To record expiration of prepaid insurance and property taxes on downtown building 9. Variable Overhead Control ÷ = 000 + # 00 # ÷ + # # + 000 Debit 10000 16000 13000 195000 it. 400000 515800 38800 22490 11970 6800 Credit 10000 16000 13000 400000 515800 38800 34460 6880
Transcribed Image Text:Solution: a. 1. Work in Process Inventory Supplies Inventory To record supplies usage for audit engagements 2. Travel Expense Cash To record travel expenses for partner 3. Fixed Overhead Control: Accumulated Depreciation-Laptops To record laptop depreciation 4. Depreciation Expense Fixed Overhead Control Accumulated Depreciation-Building To record depreciation on NYC building 5. Work in Process Inventory Salaries Payable To accrue partner salaries 6. Work in Process Inventory Salaries Payable To accrue audit salaries 7. Work in Process Inventory Cash To record audit-related travel costs 8. Fixed Overhead Control Account Wages Payable To accrue office assistant wages 10. Salaries Payable Wages Payable Cash To pay accrued salaries and wages b. Determine the cost of audit services rendered for September. S Check Type here to search 수 # 00 + 0 + Insurance Expense Prepaid Insurance and Taxes To record expiration of prepaid insurance and property taxes on downtown building 9. Variable Overhead Control ÷ = 000 + # 00 # ÷ + # # + 000 Debit 10000 16000 13000 195000 it. 400000 515800 38800 22490 11970 6800 Credit 10000 16000 13000 400000 515800 38800 34460 6880
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Financial Reporting in Hyperinflationary Economies
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Principles of Cost Accounting
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning
College Accounting (Book Only): A Career Approach
College Accounting (Book Only): A Career Approach
Accounting
ISBN:
9781337280570
Author:
Scott, Cathy J.
Publisher:
South-Western College Pub
Managerial Accounting
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Principles of Accounting Volume 2
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
SEE MORE TEXTBOOKS