For the past several years, Jolene Upton has operated a part-time consulting business from her home. As of 1 July 2020, Jolene decided to move to rented quarters and to operate the business, which was to be known as Gourmet Consulting, on a full-time basis. Gourmet Consulting entered into the following transactions during July: July 1. The following assets were received from Jolene Upton: cash, $19,000; accounts receivable, RM22,300; supplies, RM3,800; and office equipment, $8,900. There were no liabilities received. 1. Paid three months' rent on a lease rental contract, $6,000. 2. Paid the premiums on property and casualty insurance policies, $4,500. 4. Received cash from clients as an advance payment for services to be provided and recorded it as unearned fees, $8,000. 5. Purchased additional office equipment on account from Office Necessities Co., $5,100. 6. Received cash from clients on account, $12,750. 10. Paid cash for a newspaper advertisement, $500. 12. Paid Office Necessities Co. for part of the debt incurred on July 5, $3,000. 12. Provided services on account for the period July 1–12, $14,200. 14. Paid receptionist for two weeks' salary, $1,500. 17. Received cash from cash clients for fees earned during the period July 1–17, $10,400. 18. Paid cash for supplies, $1,000. 20. Provided services on account for the period July 13–20, $9,000. 24. Received cash from cash clients for fees earned for the period July 17–24, $8,500. 26. Received cash from clients on account, $12,000. 27. Paid receptionist for two weeks' salary, $1,500. 29. Paid telephone bill for July, $325. 31. Paid electricity bill for July, $675. 31. Received cash from cash clients for fees earned for the period July 25–31, $7,100. 31. Provided services on account for the remainder of July, $5,500. 31. Jolene withdrew RM20,000 for personal use. Additional information: At the end of July, the following adjustment data were assembled: a. Insurance expired during July is $375. b. Supplies on hand on July 31 are $2,850. c. Depreciation of office equipment for July is $400. d. Accrued receptionist salary on July 31 is $140. e. Rent expired during July is $2,000. f. Unearned fees on July 31 are $3,000. 1.Post the journal entries to T accounts 2. Prepare adjusting journal entries for transaction (a) to (f) . Then, post the entries to the appropriate T accounts.
For the past several years, Jolene Upton has operated a part-time consulting business from her home. As of 1 July 2020, Jolene decided to move to rented quarters and to operate the business, which was to be known as Gourmet Consulting, on a full-time basis. Gourmet Consulting entered into the following transactions during July:
July 1. |
The following assets were received from Jolene Upton: cash, $19,000; |
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1. |
Paid three months' rent on a lease rental contract, $6,000. |
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2. |
Paid the premiums on property and casualty insurance policies, $4,500. |
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4. |
Received cash from clients as an advance payment for services to be provided and recorded it as unearned fees, $8,000. |
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5. |
Purchased additional office equipment on account from Office Necessities Co., $5,100. |
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6. |
Received cash from clients on account, $12,750. |
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10. |
Paid cash for a newspaper advertisement, $500. |
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12. |
Paid Office Necessities Co. for part of the debt incurred on July 5, $3,000. |
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12. |
Provided services on account for the period July 1–12, $14,200. |
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14. |
Paid receptionist for two weeks' salary, $1,500. |
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17. |
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Received cash from cash clients for fees earned during the period July 1–17, $10,400. |
18. |
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Paid cash for supplies, $1,000. |
20. |
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Provided services on account for the period July 13–20, $9,000. |
24. |
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Received cash from cash clients for fees earned for the period July 17–24, $8,500. |
26. |
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Received cash from clients on account, $12,000. |
27. |
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Paid receptionist for two weeks' salary, $1,500. |
29. |
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Paid telephone bill for July, $325. |
31. |
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Paid electricity bill for July, $675. |
31. |
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Received cash from cash clients for fees earned for the period July 25–31, $7,100. |
31. |
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Provided services on account for the remainder of July, $5,500. |
31. |
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Jolene withdrew RM20,000 for personal use. |
Additional information:
At the end of July, the following adjustment data were assembled:
a. Insurance expired during July is $375.
b. Supplies on hand on July 31 are $2,850.
c.
d. Accrued receptionist salary on July 31 is $140.
e. Rent expired during July is $2,000.
f. Unearned fees on July 31 are $3,000.
1.Post the
2. Prepare
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