Journalist the transactions in the Account and Explanation . Journalist both normal transactions and adjustment journal entries at the same time. And complete one trial adjusted balance for July 31, 2024 In the June trial balance, the cash balance is 159,666.50 not 159667 the merchandise inventory balance is 4,309.50 not 4310 Transactions for July 2024 1 The business owner contributed a truck with a fair value of $28,250 to the business. The business issued the owner shares of common stock in exchange for this contribution. 1 Paid $2,610 cash for a six-month insurance policy. The policy begins July 1. 4 Paid $1,390 cash for office supplies. 7 Purchased $2,790 of merchandise on account with terms of 2/10, n/30. 12 Performed coaching services for a customer and received $3,480 cash. Completed a large coaching job, billed the customer, $3,950, and received a promise to collect the 15 $3,950 within one week. 17 Sold merchandise inventory on account for $8,280. Payment terms were 2/10, n/30. These goods cost the company $4,390. 18 Paid prior months accrued salaries. 20 Received $9,960 cash for performing coaching services. 22 Collected $4,140 in advance for coaching service to be performed later. 25 Collected $4, 180 cash from customer on account. 27 Received the electric bill and cell phone bill for the business totaling $1,140. (Credit Accounts Pavable) 28 Performed coaching services on account, $6,380. 30 Paid $770 on account. 31 Received cash from July 17 customer in full settlement of their debt. 31 Cash dividends of $1,290 were paid to stockholders. Adjusting Entries A. Accrued Salaries Expense, $11,200. B. Depreciation was recorded on the truck using the straight-line method. Assume a useful life of five years and a salvage value of $1,000. C. Prepaid Insurance for the month has expired. D. Office Supplies on hand, $965 E. Unearned Revenue earned during the month, $1,020. F. Accrued Service Revenue, $920. G. Six months of rent was prepaid at the end of June covering July - December. One month of rent has expired H. Another month of depreciation was recorded on the building I. Another month of depreciation was recorded on the equipment
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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Journalist the transactions in the Account and Explanation . Journalist both normal transactions and adjustment
In the June
| 159,666.50 |
not 159667
the merchandise inventory balance is
| 4,309.50 |
not 4310
Transactions for July 2024
1 The business owner contributed a truck with a fair value of $28,250 to the business. The business issued the owner shares of common stock in exchange for this contribution.
1 Paid $2,610 cash for a six-month insurance policy. The policy begins July 1.
4 Paid $1,390 cash for office supplies.
7 Purchased $2,790 of merchandise on account with terms of 2/10, n/30.
12 Performed coaching services for a customer and received $3,480 cash.
Completed a large coaching job, billed the customer, $3,950, and received a promise to collect the 15 $3,950 within one week.
17 Sold merchandise inventory on account for $8,280. Payment terms were 2/10, n/30. These goods cost the company $4,390.
18 Paid prior months accrued salaries.
20 Received $9,960 cash for performing coaching services.
22 Collected $4,140 in advance for coaching service to be performed later.
25 Collected $4, 180 cash from customer on
27 Received the electric bill and cell phone bill for the business totaling $1,140. (Credit Accounts Pavable)
28 Performed coaching services on account, $6,380.
30 Paid $770 on account.
31 Received cash from July 17 customer in full settlement of their debt.
31 Cash dividends of $1,290 were paid to stockholders.
A. Accrued Salaries Expense, $11,200.
B.
C. Prepaid Insurance for the month has expired.
D. Office Supplies on hand, $965
E. Unearned Revenue earned during the month, $1,020.
F. Accrued Service Revenue, $920.
G. Six months of rent was prepaid at the end of June covering July - December. One month of rent has expired
H. Another month of depreciation was recorded on the building
I. Another month of depreciation was recorded on the equipment
Trial Balance is a statement that records all the assets, liabilities, stockholders' equity, revenue and expenses of the business with their respective balances. The total debit side of trial balance is always equal to the credit side.
Journal Entry is the primary step in recording the transactions in the books of accounts.
The increase in the assets is debited while increase the liabilities is credited.
Expenses incurred are debited while revenue earned is credited.
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