INTERMEDIATE ACCOUNTING COMBO
9th Edition
ISBN: 9781260361995
Author: SPICELAND
Publisher: MCG
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Chapter 2, Problem 2.8P
• LO2–5
Excalibur Corporation sells video games for personal computers. The unadjusted
| Account Title | Debits | Credits |
| Cash | 23,300 | |
| Accounts receivable | 32,500 | |
| Supplies | –0– | |
| Prepaid rent | –0– | |
| Inventory | 65,000 | |
| Office equipment | 75,000 | |
| 10,000 | ||
| Accounts payable | 26,100 | |
| Salaries and wages payable | 3,000 | |
| Note payable | 30,000 | |
| Common stock | 80,000 | |
| 16,050 | ||
| Sales revenue | 180,000 | |
| Cost of goods sold | 95,000 | |
| Interest expense | –0– | |
| Salaries and wages expense | 32,350 | |
| Rent expense | 14,000 | |
| Supplies expense | 2,000 | |
| Utility expense | 6,000 | |
| Totals | 345,150 | 345,150 |
Information necessary to prepare the year-end adjusting entries appears below.
1. The office equipment was purchased in 2016 and is being
2. Accrued salaries and wages at year-end should be $4,500.
3. The company borrowed $30,000 on September 1, 2018. The principal is due to be repaid in 10 years. Interest is payable twice a year on each August 31 and February 28 at an annual rate of 10%.
4. The company debits supplies expense when supplies are purchased. Supplies on hand at year-end cost $500.
5. Prepaid rent at year-end should be $1,000.
Required:
Prepare the necessary December 31, 2018, adjusting entries.
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Required information
Problem 6-3B Record transactions and prepare a partial income statement using a perpetual inventory
system (LO6-2, 6-5)
[The following information applies to the questions displayed below.]
At the beginning of June, Circuit Country has a balance in inventory of $2,450. The following transactions occur during the
month of June.
2 Purchase radios on account from Radio World for $2,150, terms 2/15, n/45.
4 Pay cash for freight charges related to the June 2 purchase from Radio World, $290.
8 Return defective radios to Radio World and receive credit, $300.
June
June
June
June 10 Pay Radio World in full.
June 11 Sell radios to customers on account, $3,900, that had a cost of $2,650.
June 18 Receive payment on account from customers, $2,900.
June 20 Purchase radios on account from Sound Unlimited for $3,250, terms 2/10, n/30.
June 23 Sell radios to customers for cash, $4,750, that had a cost of $3,050.
June 26 Return damaged radios to Sound Unlimited and receive credit…
Homework
Question 10 of 11
Account Titles and Explanation
Pharoah Company buys merchandise on account from Shamrock Company. The selling price of the goods is $1,385 and the cost of the
goods sold is $650. Both companies use perpetual inventory systems.
Journalize the transactions on the books of both companies. (If no entry is required, select "No Entry" for the account titles and enter O for
the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.)
Pharoah
Shamrock
(To record sale of merchandise)
-/1
Debit
=
Credit
:
Knowledge Check 01
Coolidge Company owes $1,000 for merchandise inventory purchased from Ross Company during April. The amount owed is now
past-due. On June 15, Coolidge meets with Ross and convinces Ross to accept $400 cash and a 30-day, 10 percent, $600 note
payable to replace the account payable.
Prepare the June 15 journal entry for Coolidge entry by selecting the account names from the drop-down menus and entering the
dollar amounts in the debit or credit columns.
No
1
3
Date
Jun 15
Accounts payable
Cash
Notes payable
X Answer is not complete.
General Journal
Debit
1,000
600 x
Credit
400
Chapter 2 Solutions
INTERMEDIATE ACCOUNTING COMBO
Ch. 2 - Explain the difference between external events and...Ch. 2 - Each economic event or transaction will have a...Ch. 2 - What is the purpose of a journal? What is the...Ch. 2 - Explain the difference between permanent accounts...Ch. 2 - Describe how debits and credits affect assets,...Ch. 2 - Describe how debits and credits affect temporary...Ch. 2 - What is the first step in the accounting...Ch. 2 - Prob. 2.8QCh. 2 - Prob. 2.9QCh. 2 - Prob. 2.10Q
Ch. 2 - What is an unadjusted trial balance? An adjusted...Ch. 2 - Define adjusting entries and discuss their...Ch. 2 - Define closing entries and their purpose.Ch. 2 - Define prepaid expenses and provide at least two...Ch. 2 - Deferred revenues represent liabilities recorded...Ch. 2 - Define accrued liabilities. What adjusting journal...Ch. 2 - Prob. 2.17QCh. 2 - [Based on Appendix A] What is the purpose of a...Ch. 2 - [Based on Appendix B] Define reversing entries and...Ch. 2 - [Based on Appendix C] What is the purpose of...Ch. 2 - Prob. 2.21QCh. 2 - Transaction analysis LO21 The Marchetti Soup...Ch. 2 - Journal entries LO22 Prepare journal entries for...Ch. 2 - Prob. 2.3BECh. 2 - Journal entries LO22 Prepare journal entries for...Ch. 2 - Adjusting entries LO25 Prepare the necessary...Ch. 2 - Adjusting entries; income determination LO24,...Ch. 2 - Adjusting entries LO25 Prepare the necessary...Ch. 2 - Income determination LO24 If none of the...Ch. 2 - Adjusting entries LO25 Prepare the necessary...Ch. 2 - Financial statements LO26 The following account...Ch. 2 - Financial statements LO26 The following account...Ch. 2 - Closing entries LO27 The year-end adjusted trial...Ch. 2 - Prob. 2.13BECh. 2 - Transaction analysis LO21 The following...Ch. 2 - Journal entries LO22 Prepare journal entries to...Ch. 2 - T-accounts and trial balance LO23 Post the...Ch. 2 - Journal entries LO22 The following transactions...Ch. 2 - Prob. 2.5ECh. 2 - Debits and credits LO22 Indicate whether a debit...Ch. 2 - Transaction analysis; debits and credits LO22...Ch. 2 - Adjusting entries LO25 Prepare the necessary...Ch. 2 - Adjusting entries LO25 Prepare the necessary...Ch. 2 - Adjusting entries; solving for unknowns LO24,...Ch. 2 - Adjusting entries LO25 The Mazzanti Wholesale...Ch. 2 - Financial statements and closing entries LO26,...Ch. 2 - Closing entries LO27 American Chip Corporations...Ch. 2 - Prob. 2.14ECh. 2 - Cash versus accrual accounting; adjusting entries ...Ch. 2 - External transactions and adjusting entries LO22,...Ch. 2 - Accrual accounting income determination LO24,...Ch. 2 - Cash versus accrual accounting LO28 Stanley and...Ch. 2 - Prob. 2.19ECh. 2 - Worksheet Appendix 2A The December 31, 2018,...Ch. 2 - Reversing entries Appendix 2B The employees of...Ch. 2 - Reversing entries Appendix 2B Refer to E 29 and...Ch. 2 - Reversing entries Appendix 2B Refer to E 29 and...Ch. 2 - Special journals Appendix 2C The White Companys...Ch. 2 - Prob. 2.25ECh. 2 - Accounting cycle through unadjusted trial balance ...Ch. 2 - Accounting cycle through unadjusted trial balance ...Ch. 2 - Adjusting entries LO25 Pastina Company sells...Ch. 2 - Accounting cycle; adjusting entries through...Ch. 2 - Adjusting entries LO25 Howarth Companys fiscal...Ch. 2 - Accounting cycle LO22 through LO27 The general...Ch. 2 - Adjusting entries and income effects LO22, LO25...Ch. 2 - Adjusting entries LO25 Excalibur Corporation...Ch. 2 - Accounting cycle; unadjusted trial balance through...Ch. 2 - Prob. 2.10PCh. 2 - Prob. 2.11PCh. 2 - Cash versus accrual accounting LO28 Zambrano...Ch. 2 - Worksheet Appendix 2A Using the information from...Ch. 2 - Judgment Case 21 Cash versus accrual accounting;...Ch. 2 - Prob. 2.2BYPCh. 2 - Communication Case 23 Adjusting entries LO24 I...Ch. 2 - Continuing Cases Target Case LO24, LO28 Target...
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