M3-3 Identifying Accrual Basis Revenues garwollot saf The following transactions are July activities of Bill's Extreme Bowling, Inc., which operates sev- eral bowling centers. If revenue is to be recognized in July, indicate the amount. If revenue is not to be recognized in July, explain why. Activity a. Bill's collected $12,000 from customers for services related to games played in July. b. Bill's billed a customer for $250 for a party held at the cen- ter on the last day of July. The bill is to be paid in August. c. The men's and women's bowling leagues gave Bill's advance payments totaling $1,500 for the fall season that starts in September. d. Bill's received $1,000 from credit sales made to customers last month (in June). Amount or Explanation LC 101 10 pict

M3-3 Identifying Accrual Basis Revenues garwollot saf The following transactions are July activities of Bill's Extreme Bowling, Inc., which operates sev- eral bowling centers. If revenue is to be recognized in July, indicate the amount. If revenue is not to be recognized in July, explain why. Activity a. Bill's collected $12,000 from customers for services related to games played in July. b. Bill's billed a customer for $250 for a party held at the cen- ter on the last day of July. The bill is to be paid in August. c. The men's and women's bowling leagues gave Bill's advance payments totaling $1,500 for the fall season that starts in September. d. Bill's received $1,000 from credit sales made to customers last month (in June). Amount or Explanation LC 101 10 pict

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Revenue Jourmal The following revenue transactions occurred during August: Aug. 4. Issued Invoice No. 162 to Oasis Enterprises Co. for services provided on account, $320. Aug. 15. Issued Invoice No. 163 to City Electric Inc. for services provided on account, $535. Aug. 25. Issued Invoice No. 164 to Juniper Co. for services provided on account, $170. Record these three transactions into the following revenue journal. REVENUE JOURNAL Accounts Rec. Dr. DATE Invoice No. Account Debited Post. Ref. Fees Earned Cr. Aug. 4 162 Oasis Enterprises Co. Aug. 15 City Electric Inc. 163 Aug. 25 Juniper Co. 164
Oswego Clay Pipe Company sold $46,000 of pipe to Southeast Water District 45 on April 12 of the current year with terms 1/10,n/30. Oswego uses the gross method of accounting for sales discounts. What entry would Oswego make on April 18, assuming the customer made the correct payment on that date? Account Title Debit Credit Cash Sales 45,540 460 Accounts receivable 46,000 Account Title Debit Credit Cash 46,000 Accounts receivable Sales 45,540 460 Account Title Debit Credit Cash 45,540 Sales discounts 460 Accounts receivable 46,000 Account Title Debit Credit Cash 46,000 Sales discounts 460 Accounts receivable 46,000 Sales discounts forfeited 460
Problem 4-4 (ACP) Fiancee Company records sales return during the year as a credit to accounts receivable. However, at the end of the accounting period, the entity estimates the probable sales return and records the same by means of an allowance account. The following transactions occurred in summary form: 1. Sale of merchandise on account, 2/10, n/30 2. Collection within the discount period 3. Collection beyond the discount period 4. Sales return granted 5. Sales return estimated at the end of the year 4,000,000 1,470,000 1,000,000 100,000 20,000 Required: Prepare journal entries to record the transactions. Problem 4-5 (IAA) On June 15, 2019, Romela Company sold 100 air conditioning units. The sale price for each unit is P45,000. All of sales are subject to terms 2/10, n30. The entity used the gross method of accounting for accounts receivable. Required: 1. Prepare journal entry to record the sale. 2. Prepare journal entry to record receipt of the payment assuming the correct amount…
Problem Record the following transactions in general journal form for Ford Education Outfitters and Romero Textbooks, Inc. a. Ford Educational Outfitters bought merchandise on account from Romero Textbooks, Inc., invoice no. 10594, $1,875.34; terms net 30 days; FOB destination. Romero Textbooks, Inc., paid $93.80 for shipping. b. Ford Education Outfitters received credit memo no. 513A from Romero Textbooks, Inc., for merchandise returned, $135.78.
Revenue Journal The following revenue transactions occurred during August: Issued Invoice No. 162 to Carson Enterprises Co. for services provided on account, $255. Aug. 4. Issued Invoice No. 163 to City Electric Inc. for services provided on account, $340. Aug. 15. Issued Invoice No. 164 to Juniper Co. for services provided on account, $185. Aug. 25. Record these three transactions into the following revenue journal. REVENUE JOURNAL Accounts Rec. Dr. Post. Ref. DATE Invoice No. Account Debited Fees Earned Cr. Aug. 4 Aug. 15 Aug. 25
Required information [The following information applies to the questions displayed below.] Chase Company posted transactions (a through in the following T-accounts in December, its first month of operations. a. C. Debit Debit Cash 15,600 b. 14,600 e. f. Accounts Payable 4,200 d. Debit Credit Services Revenue C. Credit Credit Prepare its December 31 trial balance. Chase Company Trial Balance 5,200 b. 6,200 d. 4,200 6,300 14,600 e. Debit Debit Debit Supplies 5,200 6,300 Common Stock a. Rent Expense 6,200 Credit Credit Credit 15,600
Journalize the following five transactions for Nexium & Associates, Inc. Omit explanations. Mar. 1 Invoiced client for services provided on account, $800. 9 Purchased office furniture ($1,060) and office supplies ($160) on account from Corner Office, Inc., receiving an invoice for $1,220. 15 Paid Corner Office, Inc. for the furniture and office supplies delivered on March 9. 23 Paid utility bill for the month, $430. 31 Paid salaries of $850 are paid to employees. If an amount box does not require an entry, leave it blank. Mar. 1 fill in the blank 2 fill in the blank 3 fill in the blank 5 fill in the blank 6 Mar. 9 fill in the blank 8 fill in the blank 9 fill in the blank 11 fill in the blank 12 fill in the blank 14 fill in the blank 15 Mar. 15 fill in the blank 17 fill in the blank 18 fill in the blank 20 fill in the blank 21 Mar. 23 fill in the blank 23 fill in the blank…
Journal entry worksheet
July 1 Purchase of $20,500 worth of computers on account, term of 2/10, n/30. July 3 Return of $4,000 of the computers to the vendor. July 9 Payment made on account. Jul. 1: Purchase of $20,500 worth of computers on account, term of 2/10, n/30. Date Accounts and Explanation Debit Credit Jul. 1 Accounts Receivable Sales Revenue Jul. 3: Return of $4,000 of the computers to the vendor. Date Accounts and Explanation Debit Credit Jul. 3 Jul. 9: Payment made on account. Date Accounts and Explanation Debit Credit Jul. 9
Warton Company posts individual sales to the accounts receivable subsidiary ledger immediately. At the end of each month, Warton posts the end-of-month totals to the general ledger. July 2 Mary Mack . . . . . . . . . . . . . . . . $ 8,600 8 Eric Horner . . . . . . . . . . . . . . . . 11,100 10 Troy Wilson . . . . . . . . . . . . . . . . 13,400 14 Hong Jiang . . . . . . . . . . . . . . . . 20,500 20 Troy Wilson . . . . . . . . . . . . . . . . 11,200 29 Mary Mack . . . . . . . . . . . . . . . . 7,300 Total credit sales . . . . . . . . . . . . $72,100 1. Open an accounts receivable subsidiary ledger with a T-account for each customer. Post the amounts to the subsidiary ledger. 2. Open an Accounts Receivable controlling T-account and a Sales T-account to reflect general ledger accounts. Post the end-of-month total to these accounts. 3. Prepare a schedule of accounts receivable and prove (confirm) that its total equals the Accounts Receivable controlling account balance.
1 EJ-3 On September 1, the balance of the Accounts Receivable control account in the general ledger of Stark Company was $10,960. The customers' subsidiary ledger contained account balances as follows: Zeyen $1,440, Milo $2,640, Baez $2,060, and Dey $4,820. At the end of September, the various journals contained the following information. Sales journal: Sales to Dey $800; to Zeyen $1,260; to Guy $1,330; to Baez $1,260. Cash receipts journal: Cash received from Baez $1,310; from Dey $2,300; from Guy $380; from Milo $1,800; from Zeyen $1,240. General journal: An allowance is granted to Dey $185. Instructions (a) Set up control and subsidiary accounts and enter the beginning balances. Do not con- struct the journals. (b) Post the various journals. Post the items as individual items or as totals, whichever would be the appropriate procedure. (No sales discounts given.) (c) Prepare a schedule of accounts receivable and prove the agreement of the controlling account with the subsidiary…
Transaction Description Previous balance, $2651.45 Billing date June 1 June 6 June 8 June 9 June 17 Payment Charge: Gas Charge: Groceries Charge: Gas Charge: Groceries Charge: Clothing June 27 June 30 End of billing period Payment Due Date: July 9 Transaction Amount $1200.00 credit $35.77 $137.19 $41.45 $126.18 $215.54