Karen Noonan opened Splish Brothers Inc. on February 1, 2022. During February, the following transactions were completed. Feb. 1 Issued 4,900 shares of Splish Brothers common stock for $13,720. Each share has a $1.50 par. 1 Borrowed $8,400 on a 2-year, 6% note payable. 1 Paid $9,520 to purchase used floor and window cleaning equipment from a company going out of business ($4,820 was for the floor equipment and $4,700 for the window equipment). 1 Paid $210 for February Internet and phone services. 3 Purchased cleaning supplies for $960 on account. 4 Hired 4 employees. Each will be paid $480 per 5-day work week (Monday-Friday). Employees will begin working Monday, February 9. 5 5 16 17 18 20 20 23 22 Obtained insurance coverage for $10,200 per year. Coverage runs from February 1, 2022, through January 31, 2023. Karen paid $2,550 cash for the first quarter of coverage. Discussions with the insurance agent indicated that providing outside window cleaning services would cost too much to insure. Karen sold the window cleaning equipment for $4,420 cash. Billed customers $3,700 for cleaning services performed through February 13, 2022. Received $540 from a customer for 4 weeks of cleaning services to begin February 21, 2022. (By paying in advance, this customer received 10% off the normal weekly fee of $150.) Paid $400 on amount owed on cleaning supplies. Paid $3 per share to buy 200 shares of Splish Brothers common stock from a shareholder who disagreed with management goals. The shares will be held as treasury shares. Billed customers $4,500 for cleaning services performed through February 20. 24 Paid cash for employees' wages for 2 weeks (February 9-13 and 16-20). 25 Collected $2,400 cash from customers billed on February 16. 27 Paid $210 for Internet and phone services for March. 28 Declared and paid a cash dividend of $0.20 per share.
Karen Noonan opened Splish Brothers Inc. on February 1, 2022. During February, the following transactions were completed. Feb. 1 Issued 4,900 shares of Splish Brothers common stock for $13,720. Each share has a $1.50 par. 1 Borrowed $8,400 on a 2-year, 6% note payable. 1 Paid $9,520 to purchase used floor and window cleaning equipment from a company going out of business ($4,820 was for the floor equipment and $4,700 for the window equipment). 1 Paid $210 for February Internet and phone services. 3 Purchased cleaning supplies for $960 on account. 4 Hired 4 employees. Each will be paid $480 per 5-day work week (Monday-Friday). Employees will begin working Monday, February 9. 5 5 16 17 18 20 20 23 22 Obtained insurance coverage for $10,200 per year. Coverage runs from February 1, 2022, through January 31, 2023. Karen paid $2,550 cash for the first quarter of coverage. Discussions with the insurance agent indicated that providing outside window cleaning services would cost too much to insure. Karen sold the window cleaning equipment for $4,420 cash. Billed customers $3,700 for cleaning services performed through February 13, 2022. Received $540 from a customer for 4 weeks of cleaning services to begin February 21, 2022. (By paying in advance, this customer received 10% off the normal weekly fee of $150.) Paid $400 on amount owed on cleaning supplies. Paid $3 per share to buy 200 shares of Splish Brothers common stock from a shareholder who disagreed with management goals. The shares will be held as treasury shares. Billed customers $4,500 for cleaning services performed through February 20. 24 Paid cash for employees' wages for 2 weeks (February 9-13 and 16-20). 25 Collected $2,400 cash from customers billed on February 16. 27 Paid $210 for Internet and phone services for March. 28 Declared and paid a cash dividend of $0.20 per share.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Journalize the february transactions
Transcribed Image Text:Karen Noonan opened Splish Brothers Inc. on February 1, 2022. During February, the following transactions were completed.
Feb. 1
Issued 4,900 shares of Splish Brothers common stock for $13,720. Each share has a $1.50 par.
1
Borrowed $8,400 on a 2-year, 6% note payable.
1
Paid $9,520 to purchase used floor and window cleaning equipment from a company going out of business ($4,820 was
for the floor equipment and $4,700 for the window equipment).
1
Paid $210 for February Internet and phone services.
3
Purchased cleaning supplies for $960 on account.
4
Hired 4 employees. Each will be paid $480 per 5-day work week (Monday-Friday). Employees will begin working
Monday, February 9.
5
5
16
17
18
20
20
23
22
Obtained insurance coverage for $10,200 per year. Coverage runs from February 1, 2022, through January 31, 2023.
Karen paid $2,550 cash for the first quarter of coverage.
Discussions with the insurance agent indicated that providing outside window cleaning services would cost too much to
insure. Karen sold the window cleaning equipment for $4,420 cash.
Billed customers $3,700 for cleaning services performed through February 13, 2022.
Received $540 from a customer for 4 weeks of cleaning services to begin February 21, 2022. (By paying in advance, this
customer received 10% off the normal weekly fee of $150.)
Paid $400 on amount owed on cleaning supplies.
Paid $3 per share to buy 200 shares of Splish Brothers common stock from a shareholder who disagreed with
management goals. The shares will be held as treasury shares.
Billed customers $4,500 for cleaning services performed through February 20.
24
Paid cash for employees' wages for 2 weeks (February 9-13 and 16-20).
25
Collected $2,400 cash from customers billed on February 16.
27
Paid $210 for Internet and phone services for March.
28
Declared and paid a cash dividend of $0.20 per share.
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