Following are selected transactions of Mogg Company. A. Shareholders contribute $10,000 cash to the business in exchange for common stock. B. Employees earn $500 in wages that have not been paid at period-end. C. Inventory of $3,000 is purchased on credit. D. The inventory purchased in transaction 3 is sold for $4,500 on credit. E. The company collected the $4,500 owed to it per transaction 4. F. Equipment is purchased for $5,000 cash. G. Depreciation of $1,000 is recorded on the equipment from transaction 6. H. The Supplies account had a $3,800 balance at the beginning of this period; a physical count at period-end shows that $800 of supplies are still available. No supplies were purchased during this period. 1. The company paid $10,000 cash toward the principal on a note payable; also, $500 cash is paid to cover this note's interest expense for the period. J. The company receives $8,000 cash in advance for services to be delivered next period. Hint: For transaction 4, enter net effect amount for balance sheet answers. Required: 1. Record the effects of each using the financial statement effects template.

Following are selected transactions of Mogg Company. A. Shareholders contribute $10,000 cash to the business in exchange for common stock. B. Employees earn $500 in wages that have not been paid at period-end. C. Inventory of $3,000 is purchased on credit. D. The inventory purchased in transaction 3 is sold for $4,500 on credit. E. The company collected the $4,500 owed to it per transaction 4. F. Equipment is purchased for $5,000 cash. G. Depreciation of $1,000 is recorded on the equipment from transaction 6. H. The Supplies account had a $3,800 balance at the beginning of this period; a physical count at period-end shows that $800 of supplies are still available. No supplies were purchased during this period. 1. The company paid $10,000 cash toward the principal on a note payable; also, $500 cash is paid to cover this note's interest expense for the period. J. The company receives $8,000 cash in advance for services to be delivered next period. Hint: For transaction 4, enter net effect amount for balance sheet answers. Required: 1. Record the effects of each using the financial statement effects template.

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

Explain an example of external users.
Define the term lnvesting activities? Explain with an example?
explain the fill answer
Explain an example of external events.
Still need answers and details for B and C?