Here is Justin's credit card statement for the month of June. Transaction Date Transaction amount June 1 Beginning balance $2500.04 June 9 Payment $840.00 June 23 Purchase $46.35 June 26 Payment $200.00 (a) Use the credit card statement to help fill in the table below. Note that there are 30 days in June. Also, a purchase increases the unpaid balance, and a payment decreases the unpaid balance. Date Transaction Transaction Unpaid amount balance $2500.04 $2500.04 Unpaid Number balance of days X Number of days at that balance 8 days (from June 1 through June 8) Beginning balance June 1 $20,000.32 June 9 Payment $840.00 $1660.04 days (from June 9 through June 22) $0 June 23 Purchase $46.35 $ 3 days (from June 23 through June 25) $0 June 26 Payment $200.00 $ $0 5 days (from June 26 through June 30) Total: 30 days Total: S (b) Find the average daily balance. Write your answer to the nearest cent. $0 (c) Suppose the credit card company charges an interest rate of 1.4% on the average daily balance for June found in part (b). How much interest will be charged? Write your answer to the nearest cent. (d) What will Justin's beginning balance be for the month of July (including the interest for June found in part (c))? $0
The Effect Of Prepaid Taxes On Assets And Liabilities
Many businesses estimate tax liability and make payments throughout the year (often quarterly). When a company overestimates its tax liability, this results in the business paying a prepaid tax. Prepaid taxes will be reversed within one year but can result in prepaid assets and liabilities.
Final Accounts
Financial accounting is one of the branches of accounting in which the transactions arising in the business over a particular period are recorded.
Ledger Posting
A ledger is an account that provides information on all the transactions that have taken place during a particular period. It is also known as General Ledger. For example, your bank account statement is a general ledger that gives information about the amount paid/debited or received/ credited from your bank account over some time.
Trial Balance and Final Accounts
In accounting we start with recording transaction with journal entries then we make separate ledger account for each type of transaction. It is very necessary to check and verify that the transaction transferred to ledgers from the journal are accurately recorded or not. Trial balance helps in this. Trial balance helps to check the accuracy of posting the ledger accounts. It helps the accountant to assist in preparing final accounts. It also helps the accountant to check whether all the debits and credits of items are recorded and posted accurately. Like in a balance sheet debit and credit side should be equal, similarly in trial balance debit balance and credit balance should tally.
Adjustment Entries
At the end of every accounting period Adjustment Entries are made in order to adjust the accounts precisely replicate the expenses and revenue of the current period. It is also known as end of period adjustment. It can also be referred as financial reporting that corrects the errors made previously in the accounting period. The basic characteristics of every adjustment entry is that it affects at least one real account and one nominal account.
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