The following transactions are July activities of Bennett’s Bowling, Inc., which operates several bowling centers, offering customers lanes for games and merchandise for sale. Bennett’s collected $21,000 from customers for games played in July. Bennett’s sold bowling merchandise inventory from its pro shop for $7,600; received $4,500 in cash and customers owed the rest on account. [Consider only the effect on revenue here. Do not consider cost of goods sold for this question.] Bennett’s received $2,700 from customers who purchased merchandise in June on account. The men’s and ladies’ bowling leagues gave Bennett’s a deposit of $3,100 for the upcoming fall season.
Q: Mira wanted to know the results
A: Meaning of Income Statement Income statement is a statement that shows the income of the company…
Q: The following were selected from among the transactions completed by Caldemeyer Co. during the…
A: Note: As the Chart of Account is not provided, the generally used account titles are used for…
Q: Part of the Fry’s Electronics, Inc. ’s experience involves providing technical support to its…
A: Financial Transactions:- A financial transaction refers to the agreement between the buyer and the…
Q: The following selected transactions were completed by Green Lawn Supplies Co., which sells…
A: Journalizing the transaction is the process of recording the transaction in the books of accounts as…
Q: Listed below are selected events transactions relating to Sage Hill, Inc. for the current year…
A: Date Account title Debit credit December 1 Cash 11,000 customer deposit 11,000 [to…
Q: For each of the following situations, indicate whether you agree or disagree with the financial…
A: Financial accounting: Financial accounting is the process of recording, summarizing, and reporting…
Q: Pastina Company sells various types of pasta to grocery chains as private label brands. The…
A: Financial statements consists of the following:- Statement of Financial position or Balance sheet;…
Q: Maddie Inc. has the following transactions for its first month of business. May 1 Credit sale to…
A: Journal Entry Date Account Title Debit $ Credit $ May 01 Green Lantern Inc. 2,099 Sales…
Q: As of November 5, Calexico had the following selected transactions Purchase of furniture on…
A: >Cash account is an asset account.>It has a normal DEBIT balance.>Its balance increases by…
Q: Suppose your company sells goods for $450, of which $275 is received in cash and $175 is on account.…
A: Journal entry: The record of business transactions in a chronological order in the journal using…
Q: Below is a summary of all transactions of Pixar Toy Manufacturing for the month of August 2021.Cash…
A: Statement of cash flows: Statement of cash flow is a financial statement that shows the cash and…
Q: The following selected transactions were completed by Green Lawn Supplies Co., which sells…
A:
Q: On April 6, Year 1, Home Furnishings purchased $43,000 of merchandise from Una Imports, terms 2/10…
A: The discount is provided on purchase if payment is made within the discount period.
Q: During the months of January and February, Solitare Corporation sold goods to three customers. The…
A: Discount on Jan. 6 on paymentb received from Wizard Inc. = Amount receivables x rate of discount =…
Q: In July, the following selected transactions were completed. All purchases and sales were on…
A: A journal entry is used to record a business transaction within the accounting records of a…
Q: The Forest Company had the following transactions during the month of December. Cash Sales $3,250…
A: December 31 cash balance = Cash balance Dec. 1 + Receipts - Payments
Q: The following transactions are July activities of Bill’s Extreme Bowling, Inc., which operates…
A: Income statement for the month of July of B Company:
Q: Calmar Corporation sold merchandise to a customer for $30,000 on credit on July 15. The customer…
A: Cash basis accounting: In cash basis accounting , revenue are recognized when payment is received…
Q: The Sears company had the following business transactions during December: Reguired: Match the…
A: “Since you have asked multiple question, we will solve the first question for you. If you want any…
Q: Mathis Company and Reece Company use the periodic system. The following transactions occurred during…
A: 1. Journal entry to record the April 1 purchase of merchandise and payment of freight by Mathis will…
Q: Church Company completes these transactions and events during March of the current year (terms for…
A: A credit in accounting is an entry that documents a decline in assets or a rise in liabilities as…
Q: Paid for advertising for the month of February, P6,000. Sold merchandise for cash, P250,000. Paid…
A: Ledgers - After recording transactions in the journal next step is to transfer them into ledgers.…
Q: According to the revenue recognition principle, revenues should be recognized when they areearned,…
A: Revenue recognition principle is an integral part of accrual accounting which requires the revenue…
Q: Pepper Company completed the following selected transactions and events during March of this year.…
A: General Ledger Cash Acct. No 101 Date PR Debit Credit Balance Mar-31 R3 187140…
Q: July 1. Sold merchandise on account to Landscapes Co., $15,500, terms FOB shipping point, n/eom. The…
A: Journal Entries: Date Description Debit Credit 1-Jul Accounts receivable -Landscapes Co. $15,500…
Q: The following transactions are February activities of Swing Hard Incorporated, which offers indoor…
A: Cash basis accounting: In cash basis accounting, revenue is recognized when payment is received and…
Q: Journalize the entries to record the transactions.
A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…
Q: Below is a summary of all transactions of Dreamworks Bedding Supplies for the month of August…
A: Statement of cash flows: This statement reports all the cash transactions which are responsible for…
Q: The following transactions are July activities of Bennett’s Bowling, Inc., which operates several…
A: Accounting equation - Assets = Liabilities + Owners equity Net income - Revenue - Expenses
Q: A business sells $100,000 of products to a customer on account and collects 6% sales tax. Cost of…
A: a. Date Account Titles and Explanation Debit Credit Accounts receivable $106,000…
Q: FDN Trading had the following selected transactions on November 5: Purchase of furniture on account,…
A: Solution: Cash account shows inflows of cash and outflows of cash. Inflows of cash are debited to…
Q: Below is a summary of all transactions of Dreamworks Bedding Supplies for the month of August 2021.…
A: The question is based on the concept of Cash flow Statement.
Q: Pepper Company completed the following selected transactions and events during March of this year.…
A: The General ledgers are the books of the Company which are prepared to record the financial…
Q: Ryan Manufacturing sells flat-pack bookcases to retailers. The following transactions occurred…
A: Sales journal is a special journal in which all credit sales have been recorded
Q: FDN Trading had the following selected transactions on November 5: Purchase of furniture on account,…
A: Gross sales = Sales - trade discount = 34000 - 34000*10% = P30600
Q: Which of the following statements is correct with respect to how this transaction should be shown on…
A: Account payable is a balance sheet item that comes under the head current liability account. It…
Q: DN Trading had the following selected transactions on November 5: Purchase of furniture on account,…
A: The total amount credited to cash account would consist of all payments made
Q: The following were selected from among the transactions completed by Caldemeyer Co. during the…
A: Journal entry: This is the first step to record accounts. It is written in the same order in which…
Q: he following transactions are July activities of Bennett’s Bowling, Inc., which operates several…
A: Revenue recognition principle specifies the timing and amount to be recognized in an accounting…
Q: Date Account title $ May5 Dr.________ ___ Cr.______ ___ Date Account title $ May 8 Dr.________ ___…
A: Journal Entry is the Primary recording of business transactions in the books of accounts.
Q: The following transactions are July activities of Bennett’s Bowling, Inc., which operates several…
A: >The question is to be answered following the ‘matching concept’ of accounting. >According to…
Q: [The following information applies to the questions displayed below.] Pastina Company sells…
A: Closing Entries - Closing entries are required to close the temporary accounts after making…
Q: (The following information applies to the questions displayed below] Toys "R" Us sells a variety of…
A:
Q: Pepper Company completed the following selected transactions and events during March of this year.…
A: Answer - Part 1 - SALES JOURNAL Date Account Debited Inc No PR Acc…
Q: [The following information applies to the questions displayed below.] Toys "R" Us sells a variety of…
A: Multi-step income statement: It is defined as an income statement that shows a detailed bifurcation…
Q: After its initial month of operations in December 2021, the following is the trial balance of…
A: Income statement shows the performance for the year. If the income exceed expenses then it shows…
Q: Okay Optical, Inc. (OOI), began operations in January, selling inexpensive sunglasses to large…
A: Hello. Since your question has multiple sub-parts, we will solve the first three sub-parts for you.…
Q: credit to cash w
A: The purchase term with Emma is 1/10, n/30. It means that 1% discount is available for payment within…
The following transactions are July activities of Bennett’s Bowling, Inc., which operates several bowling centers, offering customers lanes for games and merchandise for sale.
-
Bennett’s collected $21,000 from customers for games played in July.
-
Bennett’s sold bowling merchandise inventory from its pro shop for $7,600; received $4,500 in cash and customers owed the rest on account. [Consider only the effect on revenue here. Do not consider cost of goods sold for this question.]
-
Bennett’s received $2,700 from customers who purchased merchandise in June on account.
-
The men’s and ladies’ bowling leagues gave Bennett’s a deposit of $3,100 for the upcoming fall season.
![The following transactions are July activities of Bennett's Bowling, Ic., which operates several bowling centers, offering customers
lanes for games and merchandise for sale.
a. Bennett's collected $21,000 from customers for games played in July.
b. Bennett's sold bowling merchandise inventory from its pro shop for $7,600; received $4,500 in cash and customers owed the
rest on account. [Consider only the effect on revenue here. Do not consider cost of goods sold for this question.]
c. Bennett's received $2,700 from customers who purchased merchandise in June on account.
d. The men's and ladies' bowling leagues gave Bennett's a deposit of $3,100 for the upcoming fall season.
For each of the above transactions, complete the tabulation, indicating the amount of each transaction. (Remember that A = L+ SE; R -
E = NI; and NI affects SE through Retained Earnings.) The first transaction is provided as an example. (Reductions in account balances
and loss amount should be indicated with a minus sign.)
Balance Sheet
Income Statement
Stockholders'
Assets
Liabilities
Revenues
Expenses
Net Income
Equity
а.
21,000
21,000
21.000
21,000
b.
C.
d.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fd290b8c5-8b47-468d-813d-c4c778a9012e%2Fa5da4fcf-be01-4432-ad9d-19908e1a99a9%2Fcdmnyvj_processed.jpeg&w=3840&q=75)
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- 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?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.
- Review the following transactions and prepare any necessary journal entries. A. On January 5, Bunnet Co. purchases 350 aprons (Supplies) at $25 per apron from a supplier, on credit. Terms of the purchase are 3/10, n/30 from the invoice date of January 5. B. On February 18, Melon Construction receives advance cash payment from a client for construction services in the amount of $20,000. Melon had yet to provide construction services as of February 18. C. On March 21, Noonan Smoothies sells 875 smoothies for $4 cash per smoothie. The sales tax rate is 6.5%. D. On June 7, Organic Methods paid a portion of their noncurrent note in the amount of $9,340 cash.Post the following July transactions to T-accounts for Accounts Receivable, Sales Revenue, and Cash, indicating the ending balance. Assume no beginning balances in these accounts. A. on first day of the month, sold products to customers for cash, $13,660 B. on fifth day of month, sold products to customers on account, $22,100 C. on tenth day of month, collected cash from customer accounts, $18,500In 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.
- The following transactions were completed by Yang Restaurant Equipment during January, 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. Yang Restaurant Equipment does not track cash sales by customer. Jan. 2Issued Ck. No. 6981 to Tri-County Management Company for monthly rent, 850. 2L. Yang, the owner, invested an additional 4,500 in the business. 4Bought merchandise on account from Valentine and Company, invoice no. A694, 2,830; terms 2/10, n/30; dated January 2. 4Received check from Velez Appliance for 980 in payment of invoice for 1,000 less discount. 4Sold merchandise on account to L. Parrish, invoice no. 6483, 755. 6Received check from Peck, Inc., 637, in payment of 650 invoice less discount. 7Issued Ck. No. 6982, 588, to Frost and Son, in payment of invoice no. C127 for 600 less discount. 7Bought supplies on account from Dudley Office Supply, invoice no. 190B, 93.54; terms net 30 days. 7Sold merchandise on account to Ewing and Charles, invoice no. 6484, 1,115. 9Issued credit memo no. 43 to L. Parrish, 47, for merchandise returned. 11Cash sales for January 1 through January 10, 4,454.87. 11Issued Ck. No. 6983, 2,773.40, to Valentine and Company, in payment of 2,830 invoice less discount. 14Sold merchandise on account to Velez Appliance, invoice no. 6485, 2,100. 14Received check from L. Parrish, 693.84, in payment of 755 invoice, less return of 47 and less discount. Jan. 19Bought merchandise on account from Crawford Products, invoice no. 7281, 3,700; terms 2/10, n/60; dated January 16; FOB shipping point, freight prepaid and added to invoice, 142 (total 3,842). 21Issued Ck. No. 6984, 245, to A. Bautista for miscellaneous expenses not recorded previously. 21Cash sales for January 11 through January 20, 3,689. 23Received credit memo no. 163, 87, from Crawford Products for merchandise returned. 29Sold merchandise on account to Bradford Supply, invoice no. 6486, 1,697.20. 29Issued Ck. No. 6985 to Western Freight, 64, for freight charges on merchandise purchased January 4. 31Cash sales for January 21 through January 31, 3,862. 31Issued Ck. No. 6986, 65, to M. Pineda for miscellaneous expenses not recorded previously. 31Recorded payroll entry from the payroll register: total salaries, 5,899.95; employees federal income tax withheld, 795; FICA Social Security tax withheld, 365.80, FICA Medicare tax withheld, 85.50. 31Recorded the payroll taxes: FICA Social Security tax, 365.80; FICA Medicare tax, 85.50; state unemployment tax, 318.60; federal unemployment tax, 35.40. 31Issued Ck. No. 6987, 4,653.65, for salaries for the month. 31L. Yang, 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?The following transactions were completed by Yang Restaurant Equipment during January, 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. Yang Restaurant Equipment does not track cash sales by customer. Jan. 2Issued Ck. No. 6981 to Tri-County Management Company for monthly rent, 850. 2L. Yang, the owner, invested an additional 4,500 in the business. 4Bought merchandise on account from Valentine and Company, invoice no. A694, 2,830; terms 2/10, n/30; dated January 2. 4Received check from Velez Appliance for 980 in payment of invoice for 1,000 less discount. 4Sold merchandise on account to L. Parrish, invoice no. 6483, 755. 6Received check from Peck, Inc., 637, in payment of 650 invoice less discount. 7Issued Ck. No. 6982, 588, to Frost and Son, in payment of invoice no. C127 for 600 less discount. 7Bought supplies on account from Dudley Office Supply, invoice no. 190B, 93.54; terms net 30 days. 7Sold merchandise on account to Ewing and Charles, invoice no. 6484, 1,115. 9Issued credit memo no. 43 to L. Parrish, 47, for merchandise returned. 11Cash sales for January 1 through January 10, 4,454.87. 11Issued Ck. No. 6983, 2,773.40, to Valentine and Company, in payment of 2,830 invoice less discount. 14Sold merchandise on account to Velez Appliance, invoice no. 6485, 2,100. 14Received check from L. Parrish, 693.84, in payment of 755 invoice, less return of 47 and less discount. Jan. 19Bought merchandise on account from Crawford Products, invoice no. 7281, 3,700; terms 2/10, n/60; dated January 16; FOB shipping point, freight prepaid and added to invoice, 142 (total 3,842). 21Issued Ck. No. 6984, 245, to A. Bautista for miscellaneous expenses not recorded previously. 21Cash sales for January 11 through January 20, 3,689. 23Received credit memo no. 163, 87, from Crawford Products for merchandise returned. 29Sold merchandise on account to Bradford Supply, invoice no. 6486, 1,697.20. 29Issued Ck. No. 6985 to Western Freight, 64, for freight charges on merchandise purchased January 4. 31Cash sales for January 21 through January 31, 3,862. 31Issued Ck. No. 6986, 65, to M. Pineda for miscellaneous expenses not recorded previously. 31Recorded payroll entry from the payroll register: total salaries, 5,899.95; employees federal income tax withheld, 795; FICA Social Security tax withheld, 365.80, FICA Medicare tax withheld, 85.50. 31Recorded the payroll taxes: FICA Social Security tax, 365.80; FICA Medicare tax, 85.50; state unemployment tax, 318.60; federal unemployment tax, 35.40. 31Issued Ck. No. 6987, 4,653.65, for salaries for the month. 31L. Yang, the owner, withdrew 1,000 for personal use, Ck. No. 6988. Required 1. Record the transactions for January using a sales journal, page 91; a purchases journal, page 74; a cash receipts journal, page 56; a cash payments journal, page 63; and a general journal, page 119. 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?On January 1, Incredible Infants sold goods to Babies Inc. for $1,540, terms 30 days, and received payment on January 18. Which journal would the company use to record this transaction on the 18th? A. sales journal B. purchases journal C. cash receipts journal D. cash disbursements journal E. general journal
- 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.Review the following transactions, and prepare any necessary journal entries. A. On July 16, Arrow Corp. purchases 200 computers (Equipment) at $500 per computer from a supplier, on credit. Terms of the purchase are 4/10, n/50 from the invoice date of July 16. B. On August 10, Hondo Inc. receives advance cash payment from a client for legal services in the amount of $9,000. Hondo had yet to provide legal services as of August 10. C. On September 22, Jack Pies sells thirty pies for $25 cash per pie. The sales tax rate is 8%. D. On November 8, More Supplies paid a portion of their noncurrent note in the amount of $3,250 cash.Here is the question: The following transactions are July activities of Bennett’s Bowling, Inc., which operates several bowling centers, offering customers lanes for games and merchandise for sale. Bennett’s collected $15,000 from customers for games played in July. Bennett’s sold bowling merchandise inventory from its pro shop for $800; received $300 in cash and customers owed the rest on account. (Consider only the effect on revenue here.) Bennett’s received $400 from customers who purchased merchandise in June on the account. The men’s and ladies’ bowling leagues gave Bennett’s a deposit of $2,500 for the upcoming fall season. If revenue is not recognized in July, choose 'None' for the account affected. If revenue is to be recognized in July, indicate the revenue account title and amount. Please see attach for my answer. I got a, c and d wrong. I now understand question a should be Games Revenue and c is None (not recognized in July) but I dont undrestand why d is wrong. Thanks
