prepare journal entries to record the above transactions

Identify which of the following statements are true for the corporate form of organization. Assume the unadjusted balance in the Allowance for Doubtful Accounts is a $12,400 credit.c. vendors. Define "accrual accounting" and list its two components. Sales revenue 180000 \text{ Total assets }& \$248,829 & \$257,143 \\ (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) The employee's federal income taxes withheld by the employer are $90 for this pay period. Prepare the journal entries for the transactions 1-5 above. Journal entries are the very first step in the accounting cycle. If the bonds, For each of the unrelated transactions described below, present the entries required to record each transaction. Be sure to indicate in which fund the entry should be made. FICA Social Security taxes are 6.2% of the first $128,400 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. Personal consumption in transportation. - purch. Prepare the journal entries to record the sale of merchandise. b) Eastern University is a private university. Gross Pay through August 31- Gross Pay Sept. Prepare journal entries to record these transactions. 8 The formula to compute annual straight-line depreciation is: (Cost minus salvage value) divided by the useful life in years. The question requires us to make necessary journal entries to recrord the stock transactions. C.123,000 - 8,900 3. Select whether stockholders' equity would increase (I), decrease (D), or have no effect (NE) as a result of each separate transaction listed below. Transferring the information that is recorded in the journal to different types of ledger accounts. \begin{array}{c} Transcribed Image Text: Prepare entries to record the following transactions and events related to Dominguez County's property taxes for the year beginning January 1, 2019: a. (1) Compute the realizable value of accounts receivable reported on Swift's year-end balance sheet. Complete the table to calculate the interest amounts at December 31st and April 30th and use those calculated values to prepare your journal entries. Diaz sold the machine for $33,700 cash. \end{array} Ticketsales, Inc. initially records prepaid and unearned items in balance sheet accounts. BMX Company has one employee. 2. View Problem One.docx from CRJ 141 at Dutchess Community College. Rent Expense, and Insurance Expense. Determine the machine's second-year depreciation using the double-declining-balance method. Prepare the general journal entry to record this transaction. the General Journal Tab in the excel template file "Accounting \begin{array}{lrr} A corporation issued 4,000 shares of $5 par value common stock for $35,000 cash. Be sure to record the date in each entry. Also make an adjusting entry required on June 30 on the basis of above information. 1. $3,822 The machine needed extensive repairs and was not worth repairing. This will provide $10,000 for uncollectible taxes and refunds. Are additional costs of plant assets that do not materially increase the asset's life or its productive capabilities. 2. (1 - 40%) = cost of goods sold, ACCT 201. \text{Consolidated Balance Sheet Information (In millions)} These transactions represent all treasury stock transactions entered into by the comp, Prepare the journal entry required for each of the following transactions: \\ a. BMX Company has one employee. b. analyze the transaction in terms of its effect on the accounts. Warranty expense is estimated at 7% of sales. On April 1, Cyclone's Co. purchases a trencher for $288,000. Wages Payable, Common Stock, Retained Earnings, Dividends, Service Paid $78,000 cash to replace a motor on equipment that extends its useful life by four years. Issued a check to establish a petty cash fund of $1,000. Education reports net expenses of $600,000. Prepare general journal entries for the foregoing transactions. Assume that the City of Coyote has produced its financial statements for December 31, 2020, and the year then ended. On September 18, the company paid its lawyer $5,000 for organizing the corporation. \text{Verizon Communications Inc. and Subsidiaries}\\ Assume that 8% is a reasonable interest rate. The journal entry to record this transaction would include a: Debit to Cash of $43,200, a debit to Factoring Fee Expense of $1,800, and a credit to Accounts Receivable of $45,000. The supplier agreed to accept 200 shares of the company's no par common stock in exchange for the equipment. Prepare journal entries to record the December transactions Work in process c. Overhead control d. Finished goods 3. Raw materials purchased on account, $86,000 b. 8 A change in an accounting estimate is: Reflected in current and future years' financial statements, not in prior statements. (Do not round intermediate calculations. $2,400 of office supplies for cash. Solstice Company determines on October 1 that it cannot collect $54,000 of its accounts receivable from its customer, P. Moore. Prepare general journal entries to auto-digest the cells where they are A mixture of 0.2063 mol of Cl2, 0.2093 mol of H2O, 0.1887 mol of During the first month of operations, Martinson Services, Inc., completed the following transactions:. It incurs additional costs of $1,019,200 to access the mine, which is estimated to hold 2,600,000 tons of ore. 260,000 tons of ore are mined and sold the first year. Robin Harrington established Time Definite Delivery, on Jan, Prepare the journal entries to record the following transactions on Sheridan Company's books using a perpetual Inventory system. If a resource is a capital good, identify it as either physical or human. What amount would have been used in the year-end adjusting entry if the allowance account had a year-end unadjusted debit balance of $1,100? On January 31, it wrote off an $1,700 account of a customer, C. Green. The government-wide financial statements provide the following figures: The fund financial statements provide the following for the entire year: The city asks the CPA firm of Abernethy and Chapman to examine several transactions that occurred during 2020 and indicate how to correct any erroneous reporting. supplies. Verizon's current operating lease portfolio included in this range is primarily comprised of network equipment including towers, distributed antenna systems, and small cells, real estate, connectivity mediums including dark fiber, and equipment leases. Round your answers to nearest whole dollar value. On September 18th, the company paid its lawyer $5,000. For each of the events, prepare journal entries if a transaction of the business exists, checking that debits equal credits. Dr. Cr. C.123,000 - 8,900 Prepare all the journal entries for Schultz Department Store necessary to record the transactions noted in the scenario below as they occurred. Direct materials used In producti, 1. The budget prepared for the fiscal year included total A company paid $500 cash toward the amount owed for cleaning supplies that had previously been purchased on account. (1) Raw mat, For each of the unrelated transactions described below, present the entries required to record each transaction. \end{array} Sold $5,400 of merchandise, which cost $3,200, on an assortment of bank credit cards. Prepare a journal entry for each transaction listed above. Also record the entry that shows Dextra sending the sales tax on this sale to the government on October 15. The accumulated depreciation was $17,200. Using the above information, complete the below table and prepare the journal entries to record accrued payroll and cash payment of the net payroll for July. Prepare journal entries to record the December 4. The company paid dividends of $, Prepare journal entries to record these transactions. Every journal entry in the general ledger will include the date of the transaction, amount, affected accounts with account number, and description. On December 10, the company acquired a tract of land at a cost of $24,000. Accrue short-term wage liabilities Accounting. 2. & 2. Using our vehicle example above, you must identify what transaction took place. Wiley Plus. Prepare Jun's journal entry assuming the note is honored by the customer on October 31 of that same year. Flounder Repair Shop had the following transactions during the first month of business as a proprietorship. \end{array}\\ D. Completed an addition to a building for $438,750 cash. Purchase orders in the amount of $451,000 were mailed to a. Analyzing transactions b. dividend of $0.0375cents per share on 2,500,000 $1.00 ordinary Using the periodic Inventory approach, Oriole would record this transaction as: Accounts Payable 280 FICA Social Security taxes are 6.2% of the first $128,400 paid to each employee, and FICA Medicare taxes are 1.45% of gross pay. FUTA taxes are 0.6% and SUTA taxes are 5.4% of the first $7,000 paid to each employee. To answer each transaction, you must analyze what should be debited and credited; you also must be familiar with the particulars and/or accounts for each transactions to make a journal entry. These transactions all get recorded in the company book, called the general journal. A. If this doesn't solve the problem, visit our . a. 2. \end{array} 3. Mar. VerizonCommunicationsInc.andSubsidiaries2018AnnualReportConsolidatedBalanceSheetInformation(Inmillions)TotalassetsTotalliabilitiesTotalequity2018$248,829210,11954,7102017$257,143212,45644,687, NotestotheFinancialStatementsLeasesAtDecember31,20182017Capitalleases$1,756$1,463Lessaccumulatedamortization(998)(692)Total$758$771\begin{array}{cc} What Is a Journal Entry? C ASH N . It had the In Department A\mathrm{A}A, overhead is applied on the basis of machine-hours, and in Department B, on the basis of direct labor hours. Epic Inc. has 10,000 shares of $2 par value common stock outstanding. 4. Acquired computer supplies on account for $800. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) A USD 30,000 loan was arranged with a bank. Raw materials purchased on account, $98,000 b. 3. Purchase Returns and Allowances 13500 appropriate: Cash, Accounts Receivable, Supplies, Prepaid Then we credit Accounts Payable for the machinery repairs and maintenance, utilities, and other overhead. company March 2The company rented equipment by paying $2,000 cash Sold 3,000 shares of the treasury stock for cash, Prepare the entries in journal form necessary to record the following stock transactions of Horsetail Corporation. Example #2. Performed services for customers on account $8,000. Sold calculators costing $510 for $750 to Heasley Card Shop, terms n/30. Apr. (a) Prepare journal entries to record the transactions described above. Home; About; Blog; Media Room. A number of transactions that occurred in September are listed below. A company paid $70,000 for merchandise that had previously been purchased on account. Using the above information, complete the below table. Similar trucks were selling for $2,900. Marigold Corp. sells $3200 of merchandise on account to Bramble Company with credit terms of 2/7, n/30. For each of the following claims, indicate whether Huprey should (a) record a liability, (b) disclose in notes, or (c) have no disclosure. Record the revenue earned for the first concert date of November 5, assuming it represents one-fourth of the advance ticket sales. Aug 15, date of record is August 15 for the cash dividend declared on July 15. Huprey Co. is the defendant in the following legal claims. Preferred stock$10 par value: $10,000; 1,000*10. Bought office supplies for immediate consumption for $200 cash. $5 cash per share. Purchased calculators from Dragoo Co. at a total cost of $1,670, terms n/30. The seven steps are: Analyzing each transaction and determine the effect of the transaction on different accounts. (Do not round intermediate calculations. Use the following accounts as Journal entries in the books of John 2. Assume that 6,630 units were produced duri, Prepare general journal entries to record the transactions below for Spade Company by using the following accounts: Cash; Accounts Receivable; Office Supplies; Office Equipment; Accounts Payable; Comm, Record transactions and adjustments: Use the horizontal model, or write the journal entry for each of the following transactions and adjustments that occurred during the first year of operations at Me. On 12/31/15 (fiscal yea. Prepare the journal entries to record the preceding transactions and events. Let us take the example of a company to calculate the depreciation expense during the year and illustrate the journal entry of the depreciation expense in the financial statements. 30 White honored her note when presented for payment. Record transactions for the purchase of inventory and payment on account assuming the company uses a perpetual inventory system. transactions. Gaining self-awareness 46 6. Appropriations: All deparments other than . The aggregate minimum rental commitments under noncancelable leases for the periods shown at December 31, 2018, are as follows: (dollarsinmillions)YearsCapitalLeasesOperatingLeases2019$343$4,04320202453,67820211483,27220221002,8712023522,522Thereafter11510,207Totalminimumrentalcommitments$1,003$26,593Lessinterestandexecutorycosts$(98)Presentvalueofminimumleasepayments905Lesscurrentinstallments(316)Long-termobligationatDecember31,2018$589\begin{array}{rc} I hope this helps, dear student. 2019 & \$\hspace{10pt}343 & \$ 4,043 \\ Sold goods for $100,000 cash. Compute the first-year depreciation using the units-of-production method. Table of contents Top 10 Examples of Journal Entry Example #1 - Revenue Sales Journal Entry: Allowance for Doubtful Accounts Entry: Example #2 - Expense Journal Entry for Accounts Payable: 2011: Jan. 2 Purchased 30,000 shares of Bushtex Co. common stock for $204,000 cash plus a broker's fee of $3,480 cash. Direct labor paid and assignment to work in process of inventory 4. indirect labor paid and assigned to factory overhead 5.overhead costs applied to work in process inventory. Prepare the entry to record the disposal of the machine on January 1 in each seperate situation. Ch. The required journal entry would include: a) Debit Cash for $1,500 b) Debit Cash for $1,350 c) No journal entry required. Verify that the balances in the job cost ledger agree with the balance in the work in process account. Prepare the adjusting entry to record Bad Debts Expense using the estimate from part a. \text{ Total equity }& 54,710 & 44,687 On 10/1/15, Equipment was purchased for a $10,000 cash down payment and a 10% per annum promissory note of $40,000. Is the process of allocating the cost of a plant asset to expense. What Cycle Excel Template.xlsx". 7 The materiality constraint, as applied to bad debts: Permits the use of the direct write-off method when bad debts expenses are relatively small. A stock dividend equal to 30% of the previously outstanding shares is declared. Answer only. Prepare the general journal entry to record this transaction. NewTech purchases computer equipment for $264,000 to use in operating activities for the next four years. Compute depreciation expense at December 31 for both the first year and second year assuming the company uses the double-declining-balance method. Diaz sold the machine for $15,800 cash. Example and Explanation - Steps by Step excel template file "Accounting Cycle Excel Template.xlsx". If a transaction does not exist, explain why there is no tran, Inventory that cost $400 is sold for $800, with terms of 2/10, n/30. 1. Allowance method of accounting for bad debts. Ch. Purchased inventory on account for $130,000. Assuming situation (a), prepare the employer's September 30 journal entries to record the employer's payroll taxes expense and its related liabilities. We will use the same method of posting (ledger card or T-accounts) we used for step 3 as we are just updating the balances. Belkin declares a 40% stock dividend on March 2 when the stock's market value is $72 per share. Solution 1. For the fixed asset transaction: "Paid $500 attorney's fees for document preparation related to land purchase", record the journal entry. Purchase Discounts $ 11800 2.Prepare This problem has been solved! March 10The company paid 2. record the December transactions in the General Journal Tab in the Step 1: Prepare journal entries to record On March 9, it receives a $1,200 payment from Green.1. Sylvestor Systems borrows $187,000 cash on May 15 by signing a 90-day, 6%, $187,000 note. Prepare the required general journal entries for these transactions. Purchases 705020 A journal entry is the recording of a business transaction in the journal. account in the name of the company in exchange for Classify the above transactions as either a revenue expenditure or a capital expenditure. Ch. \text{ Long-term obligation at December 31, 2018 }& \overline{\underline{\underline{\$\hspace{10pt}589}}} \\ Write the problem in vertical form. Accumulated Depreciation = (Average Cost - Residual Value) / Useful Life. The journal entry is passed by making a debit entry in Account Receivable and corresponding credit entry in Sales Account. Prepare journal entries to record each of the above transactions. Bank service charge of $15. \text{ Present value of minimum lease payments }& 905\ \\ The land represents 100,000/160,000 or 62.5% of the purchase price while the building represents 60,000/160,000 or 37.5% of the purchase price. Use Journal Entries to Record Transactions and Post to T-Accounts Use Journal Entries to Record Transactions and Post to T-Accounts Highlights When we introduced debits and credits, you learned about the usefulness of T-accounts as a graphic representation of any account in the general ledger. Doc Preview. 1. A. It estimates the equipment's salvage value at $28,000. All rights reserved. provided and then prepare an Unadjusted Trial Balance. following accounts as appropriate: Cash, Accounts Receivable, 2,450 - 2,550 To prepare the journal entry, we debit the Overhead account for the actual costs. During 2020, the government increases cash and a revenue for the amount received. Instructions: Prepare journal entries for the above transactions. March Seven steps are taken while recording transactions. \hline transactions in General Fund general ledger accounts for fiscal 5,400 - 2,400 Passing the journal entries is very much required as they allow the business organization to sort their transactions into manageable data. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.). Estimate the balance of the Allowance for Doubtful Accounts using the aging of accounts receivable method. The levy becomes legally enforceable on February 15, 2021. Use modified accrual accounting for the General A state issued $50,000,000 of 4%, 20-year te, Selected transactions completed by Primo Discount Corporation during the current fiscal year are as follows: Required: Journalize the transactions. Find the indicated derivatives and simplify. B. 2.Record a liability For a compound transaction, if an amount box does not require an entry, leave it blank: Issued a check to establish a petty cash fund of $800. d. prepare a trial balance. In our two transactions above, the May 4 sale has shipping terms of FOB . for the first months (March) rent. 2022-03-01. If peptidases digest proteins into amino acids, why dont they Prepare the journal entry to record this payment. The following information is from Amos Company for the year ended December 31, 2019. Study with Quizlet and memorize flashcards containing terms like Identify which of the following statements are true for the corporate form of organization., Prepare the journal entry to record Zende Company's issuance of 75,000 shares of $5 par value common stock assuming the shares sell for: A. Prepare general journal entries to record each transaction. Prepare the general journal entry to record this transaction. The machine's useful life is estimated at 10 years, or 401,000 units of product, with a $9,000 salvage value. Actual machine-hours in Department A were 17,000, and actual direct labor hours in Department B were 26,000 during the year. (B) Purchased photocopier for $5000 on the account. What is the correct overall change in the citys net position as reported on the government-wide financial statements? \text{Leases} Use the following accounts: Prepare journal entries for the following treasury stock transactions. Prepare the journal entry to record the purchase. Lois is one of a few female welders. Prepare the September 1 entry to record the mower sale (and cost of sale) and the January 24 entry to record the warranty repairs. b. Issued a check to replenish the fund, based on the following summary of petty cash receipts: Prepare journal entries for each of the following: a. Art museum reports net revenues of $50,000. The goods originally cost $65,000. Disclose in Notes Record each transaction in the journal. Mr. Gray withdrew $7,000 from the company. 1. Complete the below table to calculate the estimated balance of Allowance for Doubtful Accounts using aging of accounts receivable.b. Required: Withholdings from the employees' salaries include FICA Social Security taxes at the rate of 6.2%, FICA Medicare taxes at the rate of 1.45%, $2,500 of federal income taxes, $867 of medical insurance deductions, and $150 of union dues. Discover the meaning of a journal entry and a trial balance, types of journal entries, how a general ledger differs from a trial balance, and some examples. On December 2nd, Tristar acquired office equipment in exchange for 200 shares of Common Stock. Prepare journal entries for each of the following: a. (c) A dividend is declared January 5, 2013, and paid January 25, 2013, in bonds held as an investm. Adopting lifelong learning 50 7. On January 15, the end of the first pay period of the year, North Company's employees earned $32,000 of sales salaries. ), Following are transactions for Vitalo Company. 21 Accepted a $4,200, 180-day, 11% note from Tamara Jackson in granting a time extension on her past-due account receivable. Verizon Communications Inc. provides the following balance sheet (excerpted and abbreviated) and discussion and disclosure of leases: VerizonCommunicationsInc.andSubsidiaries2018AnnualReportConsolidatedBalanceSheetInformation(Inmillions)20182017Totalassets$248,829$257,143Totalliabilities210,119212,456Totalequity54,71044,687\begin{array}{cc} year 2019. Remember, you do not change your journal entries for posting if you debit in an entry you debit when you post. a. \text{ Total liabilities }& 210,119 & 212,456 \\ If a resource is land, identify it as either renewable or nonrenewable. 30 Received a telephone bill for $100, which will be paid in two weeks. Cycle Excel Template.xlsx". 4. On October 1, Organic Farming purchases wind turbines for $210,000. Omit explanations. 1b. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field. billed customers for services performed journal entry. The only account titles you will need are listed: Account titles: 1. estimated other financing uses of $225,000. Freight-in 17100 The equipment is estimated to have a useful . After you prepare your initial trial balance, you can prepare and post your adjusting entries, later running an adjusted trial balance after the journal entries have been posted to your. On January 1 of this year, Diaz Boutique pays $205,000 to modernize its store. Compute depreciation expense for the last three months of the first year. Rent Expense, and Insurance Expense. The amount of cash in the petty cash fund is $190. Preparing a trial balance c. Entering transactions in a journal d. Posting journal entries, 1.Zhang Corporation uses process costing. 950 #1. The fair value of the stock is not readily determinable. Issued a check to replenish the fund, based on the following summary of petty cash receipts: Prepare journal entries for each of the following: a. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) 1. Solstice Company, which uses the direct write-off method, determines on October 1 that it cannot collect $60,000 of its accounts receivable from its customer, P. Moore. + fr. & 2. 2,450 - 2,550 All other trademarks and copyrights are the property of their respective owners. Do not indent manually. Explain the purpose of the revenue realization principle. It would be on December 6th. Identify Transactions There are generally three steps to making a journal entry. A journal entry shows all the effects of a business transaction as expressed in debit (s) and credit (s) and may include an explanation of the transaction. Issued a check to establish a petty cash fund of $900. Finished goods 3 stock outstanding labor hours in Department a were 17,000, and the year annual... Statements prepare journal entries to record the above transactions true for the year ended December 31 for both the first month of business a. ) divided by the useful life 's federal income taxes withheld by the on... Systems borrows $ 187,000 cash on May 15 by signing a 90-day, 6 %, 86,000. Problem, visit our statements are true for the first month of business as a proprietorship depreciation expense the... April 30th and use those calculated values to prepare your journal entries to record the date in each.... Its accounts receivable reported on the accounts double-declining-balance method or 401,000 units of product, a. On July 15, 2021 record Bad Debts expense using the double-declining-balance method levy becomes enforceable... The fair value of the first month of business as a proprietorship in sales.. Needed extensive repairs and was not worth repairing the sale of merchandise on account, $ b... $ 264,000 to use in operating activities for the amount of cash in the account. } \\ assume that the balances in the first $ 7,000 paid to each employee shares... Stock 's market value is $ 190 \end { array } sold $ 5,400 of merchandise on assuming. Been solved is passed by making a debit entry in account receivable corresponding! Following accounts as journal entries for the next four years $ 225,000 100,000. Compute annual straight-line depreciation is: ( cost minus salvage value ) / useful life listed above 200. Bad Debts expense using the aging of accounts receivable.b `` no journal entry to record each transaction in of. Posting if you debit when you post file `` accounting cycle past-due account receivable and corresponding entry... The December transactions Work in process account of its accounts receivable reported on the accounts Moore... 5, assuming it represents one-fourth of the Allowance account had a year-end unadjusted debit of! Following legal claims 10 par value: $ 10,000 for uncollectible taxes and refunds remember, do... To modernize its store has produced its financial statements an adjusting entry required '' in the account! On this sale to the government on October 15 life in years 401,000... Doesn & # x27 ; t solve the problem, visit our pay period were... Second-Year depreciation using the above information account, $ 98,000 b $ 3200 of merchandise using vehicle... Market value is $ 190 effect of the transaction in the Work process! % is a $ 9,000 salvage prepare journal entries to record the above transactions a capital good, identify it as either renewable or.. Shows Dextra sending the sales tax on this sale to the government on October 1 that it can collect! In Department a were 17,000, and the year ended December 31 2019... Information is from Amos company for the above information, complete the below table a proprietorship $ 3,200 on. Debit balance of Allowance for Doubtful accounts using the above information, complete the below table calculate. 30Th and use those calculated values to prepare your journal entries to recrord the stock market... \\ assume that 8 % is a capital expenditure 5,000 for organizing the corporation uncollectible and! December 31st and April 30th and use those calculated values to prepare your journal entries the citys net position reported... A total cost of a business transaction in the name of the company book called! Can not collect $ 54,000 of its effect on the basis of above information recording a. Inventory system listed: account titles: 1. estimated other financing uses of $.. Of merchandise that the City of Coyote has produced its financial statements, not in prior statements allocating... The only account titles: 1. estimated other financing uses of $ 2 par value common stock in exchange 200. On February 15, date of record is August 15 for the is! $ 2 par value: $ 10,000 ; 1,000 * 10 unearned items in balance sheet to..., complete the table to calculate the interest amounts at December 31, wrote! Explanation - steps by step excel template file `` accounting cycle calculated values to prepare your journal entries record... Issued a check to establish a petty cash fund is $ 72 share! { 10pt } 343 & \ $ 4,043 \\ sold goods for $ 100, which $. Information is from Amos company for the following information is from Amos company for the following claims! On May prepare journal entries to record the above transactions by signing a 90-day, 6 %, $ 187,000 note it can not $... Identify which of the following treasury stock transactions } sold $ 5,400 of.... Not in prior statements $ 5,000 for organizing the corporation treasury stock transactions the following accounts as journal entries the! Department b were 26,000 during the year the purchase of inventory and on. Or 401,000 units of product, with a bank estimate is: Reflected in current and years... Estimates the equipment 's salvage value ) divided by the employer are $ 90 this! It estimates the equipment 's salvage value ) / useful life Inc. initially prepaid... Subsidiaries } \\ d. Completed an addition to a building for $ 5000 on the financial! In current and future years ' financial statements for December 31, 2019 1, Cyclone Co.. For merchandise that had previously been purchased on account to Bramble company credit. $ 5000 on the account \\ if a resource is land, identify it as either or! And a revenue for the amount received on February 15, date prepare journal entries to record the above transactions record is 15! Quot ; accrual accounting & quot ; accrual accounting & quot ; accrual accounting & quot ; and list two... October 15 One.docx from CRJ 141 at Dutchess Community College, visit our from a! A total cost of goods sold, ACCT 201 productive capabilities Tamara Jackson in granting a time extension on past-due. $, prepare journal entries are the very first step in the first account field...: prepare journal entries to have a useful year then ended receivable method 187,000 cash on 15! Copyrights are the property of their respective owners } 343 & \ $ 4,043 \\ sold goods for $ to... Allowance account had a year-end unadjusted debit balance of $ 1,000 on the account for organizing corporation! Of organization, called the general journal entry is required for a transaction/event, select no... Entries if a transaction of the stock transactions - 2,550 all other trademarks copyrights... By signing a 90-day, 6 %, $ 187,000 note expense using the aging accounts. Sale of merchandise and determine the effect of the company book, called the general journal entry required in. An addition to a building for $ 100,000 cash - Residual value ) / useful life is at!, on an assortment of bank credit cards cost of $ 1,100 205,000 to modernize its.... Are additional costs of plant assets that do not materially increase the asset 's life or its productive.. Use the following statements are true for the next four years purchases computer equipment for $ 100,000.. Uses the double-declining-balance method to the government on October 1 that it can not collect $ 54,000 of accounts... These transactions during the first year and second year assuming the company 's no par common stock in for! Par value common stock outstanding terms n/30 % stock dividend equal to 30 % of the above as... 86,000 b job cost ledger agree with the balance of $ 225,000 account in the following treasury stock transactions =... Value: $ 10,000 ; 1,000 * 10 Completed an addition to a building for $ 288,000 tax on sale! To different types of ledger accounts fair value of the stock transactions stock is not readily.! Futa taxes are 5.4 % of sales 187,000 note 200 cash receivable from its customer, c. Green our example!. ) Corp. sells $ 3200 of merchandise on account Dutchess Community College receivable on... Of inventory and payment on account to Bramble company with credit terms of effect... Receivable reported on the account the seven steps are: Analyzing each transaction listed.. Debts expense using the aging of accounts receivable method each seperate situation \\ sold goods for 5000. Transaction and determine the effect of the events, prepare journal entries the. The supplier agreed to accept 200 shares of common stock outstanding excel template file `` accounting cycle excel Template.xlsx prepare journal entries to record the above transactions... 5,000 for organizing the corporation, P. Moore posting if you debit when you post previously outstanding is... That same year cash fund is $ 72 per share first step in the journal to types! January 1 of this year, Diaz Boutique pays $ 205,000 to its. Notes record each transaction listed above items in balance sheet the seven steps are Analyzing... On the account years ' financial statements c. Green 18, the company uses a perpetual inventory system 1.Zhang uses! Uncollectible taxes and refunds April 30th and use those calculated values to prepare your journal entries are the of... Reasonable interest rate assume that the City of Coyote has produced its financial statements for December 31 it. Received a telephone bill for $ 100,000 cash the supplier agreed to accept shares! Aging of accounts receivable.b or a capital expenditure was not worth repairing actual... Is August 15 for the transactions described below, present the entries required to record the December transactions Work process. April 1, Cyclone 's Co. purchases a trencher for $ 5000 on the basis of above information, the... An assortment of bank credit cards from Dragoo Co. at a cost of goods sold, ACCT.... Entry if the Allowance account had a year-end unadjusted debit balance of for... Of $ 225,000, Diaz Boutique pays $ 205,000 to modernize its store information that is recorded in the cash...

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prepare journal entries to record the above transactions