Aracel Engineering completed the following transactions in the month of June. a. Jenna Aracel, the owner, invested $155,000 cash, office equipment with a value of $6,600, and $64,000 of drafting equipment to launch the company in exchange for common stock. b. The company purchased land worth $56,000 for an office by paying $9,200 cash and signing a long-term note payable for $46,800. c. The company purchased a portable building with $57,000 cash and moved it onto the land acquired in b. d. The company paid $3,700 cash for the premium on an 18-month insurance policy. e. The company provided services to a client and collected $9,700 cash. 1. The company purchased $22,000 of additional drafting equipment by paying $9,000 cash and signing a long-term note payable for $13,000. g. The company completed $17,500 of services for a client. This amount is to be received in 30 days. h. The company purchased $1,550 of additional office equipment on credit. I. The company completed $30,000 of services for a customer on credit. J. The company purchased $1,542 of TV advertising on credit. k. The company collected $8,000 cash in partial payment from the client described in transaction g. 1. The company paid $2,300 cash for employee wages. m. The company paid $1,550 cash to settle the account payable created in transaction h. n. The company paid $1,155 cash for repairs. o. The company paid a $10,020 cash dividend. p. The company paid $2,100 cash for employee wages. q. The company paid $2,600 cash for advertisements on the Web during June. Required: 1. Prepare general journal entries to record these transactions using the following tities: Cash (101): Accounts Receivable (106): Prepaid Insurance (108): Office Equipment (163); Drafting Equipment (164); Building (170): Land (172): Accounts Payable (201); Notes Payable (250); Common Stock (307): Dividends (319); Services Revenue (403); Wages Expense (601); Advertising Expense (603); and Repalrs Expense (604). 2. Post the journal entries from part 1 to the ledger accounts. 3. Prepare a trial balance as of the end of June.
Aracel Engineering completed the following transactions in the month of June. a. Jenna Aracel, the owner, invested $155,000 cash, office equipment with a value of $6,600, and $64,000 of drafting equipment to launch the company in exchange for common stock. b. The company purchased land worth $56,000 for an office by paying $9,200 cash and signing a long-term note payable for $46,800. c. The company purchased a portable building with $57,000 cash and moved it onto the land acquired in b. d. The company paid $3,700 cash for the premium on an 18-month insurance policy. e. The company provided services to a client and collected $9,700 cash. 1. The company purchased $22,000 of additional drafting equipment by paying $9,000 cash and signing a long-term note payable for $13,000. g. The company completed $17,500 of services for a client. This amount is to be received in 30 days. h. The company purchased $1,550 of additional office equipment on credit. I. The company completed $30,000 of services for a customer on credit. J. The company purchased $1,542 of TV advertising on credit. k. The company collected $8,000 cash in partial payment from the client described in transaction g. 1. The company paid $2,300 cash for employee wages. m. The company paid $1,550 cash to settle the account payable created in transaction h. n. The company paid $1,155 cash for repairs. o. The company paid a $10,020 cash dividend. p. The company paid $2,100 cash for employee wages. q. The company paid $2,600 cash for advertisements on the Web during June. Required: 1. Prepare general journal entries to record these transactions using the following tities: Cash (101): Accounts Receivable (106): Prepaid Insurance (108): Office Equipment (163); Drafting Equipment (164); Building (170): Land (172): Accounts Payable (201); Notes Payable (250); Common Stock (307): Dividends (319); Services Revenue (403); Wages Expense (601); Advertising Expense (603); and Repalrs Expense (604). 2. Post the journal entries from part 1 to the ledger accounts. 3. Prepare a trial balance as of the end of June.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Please answer Requirement 1 only

Transcribed Image Text:Aracel Engineering completed the following transactions in the month of June.
a. Jenna Aracel, the owner, invested $155,000 cash, office equipment with a value of $6,600, and $64,000 of drafting equipment to
launch the company in exchange for common stock.
b. The company purchased land worth $56,000 for an office by paying $9,200 cash and signing a long-term note payable for
$46,800.
c. The company purchased a portable building with $57,000 cash and moved it onto the land acquired in b.
d. The company paid $3,700 cash for the premium on an 18-month insurance policy.
e. The company provided services to a client and collected $9,700 cash.
f. The company purchased $22,000 of additional drafting equipment by paying $9,000 cash and signing a long-term note payable for
$13,000.
g. The company completed $17,500 of services for a client. This amount is to be received in 30 days.
h. The company purchased $1,550 of additional office equipment on credit.
i. The company completed $30,000 of services for a customer on credit.
j. The company purchased $1,542 of TV advertising on credit.
k. The company collected $8,000 cash in partial payment from the client described in transaction g.
1. The company paid $2,300 cash for employee wages.
m. The company paid $1,550 cash to settle the account payable created in transaction h.
n. The company paid $1,155 cash for repairs.
o. The company paid a $10,020 cash dividend.
p. The company paid $2,100 cash for employee wages.
q. The company paid $2.600 cash for advertisements on the Web during June.
Required:
1. Prepare general journal entries to record these transactions using the following titles: Cash (101): Accounts Receivable (106): Prepaid
Insurance (108): Office Equipment (163); Drafting Equipment (164); Building (170); Land (172): Accounts Payable (201); Notes Payable
(250): Common Stock (307): Dividends (319); Services Revenue (403): Wages Expense (601); Advertising Expense (603); and Repairs
Expense (604).
2. Post the journal entries from part 1 to the ledger accounts.
3. Prepare a trial balance as of the end of June.
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