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Mar. 2 3 Sold inventory for cash totalling $35,000, plus 13 % HST. The cost of goods sold was $24,000. Crane uses a perpetual inventory system. 4 Issued a three-month, 6% note payable in exchange for an account payable in the amount of $10,000. Interest is due at maturity. 12 Received the property tax bill of $16,000 for the calendar year. It is payable on May 31. (Hint: No accrual has been recorded during the year.) Provided services for customers worth $10,000 plus HST of 13%. The company received payment in full for services and HST.

Mar. 2 3 Sold inventory for cash totalling $35,000, plus 13 % HST. The cost of goods sold was $24,000. Crane uses a perpetual inventory system. 4 Issued a three-month, 6% note payable in exchange for an account payable in the amount of $10,000. Interest is due at maturity. 12 Received the property tax bill of $16,000 for the calendar year. It is payable on May 31. (Hint: No accrual has been recorded during the year.) Provided services for customers worth $10,000 plus HST of 13%. The company received payment in full for services and HST.

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Mar. 2 3 4 12 16 27 30 31 Issued a three-month, 6% note payable in exchange for an account payable in the amount of $10,000. Interest is due at maturity. Sold inventory for cash totalling $35,000, plus 13% HST. The cost of goods sold was $24,000. Crane uses a perpetual inventory system. Date Received the property tax bill of $16,000 for the calendar year. It is payable on May 31. (Hint: No accrual has been recorded during the year.) Provided services for customers worth $10,000 plus HST of 13%. The company received payment in full for services and HST. Remitted $9,284 to the government for amounts owing from the February payroll for employee payroll deductions of $7,300 (CPP $1,340, El $460, and employee income tax $5,500) and for employee benefits of $1,984 (CPP $1,340 and El $644). Paid $25,000 to trade creditors on account. Paid employees for the month. Gross salaries totalled $14,000 and payroll deductions included CPP of $800, El of $259, and employee income tax of $5,800. Employee benefits included CPP of $800 and El of $363. Remitted $5,800 HST pertaining to sales tax collected in February. Show Transcribed Text Record the above transactions. (Record journal entries in the order presented in the problem. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. Round answers to O decimal places, e.g. 5,275.) Account Titles and Explanation (To record sales) Debit Credit
Transcribed Image Text:Mar. 2 3 4 12 16 27 30 31 Issued a three-month, 6% note payable in exchange for an account payable in the amount of $10,000. Interest is due at maturity. Sold inventory for cash totalling $35,000, plus 13% HST. The cost of goods sold was $24,000. Crane uses a perpetual inventory system. Date Received the property tax bill of $16,000 for the calendar year. It is payable on May 31. (Hint: No accrual has been recorded during the year.) Provided services for customers worth $10,000 plus HST of 13%. The company received payment in full for services and HST. Remitted $9,284 to the government for amounts owing from the February payroll for employee payroll deductions of $7,300 (CPP $1,340, El $460, and employee income tax $5,500) and for employee benefits of $1,984 (CPP $1,340 and El $644). Paid $25,000 to trade creditors on account. Paid employees for the month. Gross salaries totalled $14,000 and payroll deductions included CPP of $800, El of $259, and employee income tax of $5,800. Employee benefits included CPP of $800 and El of $363. Remitted $5,800 HST pertaining to sales tax collected in February. Show Transcribed Text Record the above transactions. (Record journal entries in the order presented in the problem. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. Round answers to O decimal places, e.g. 5,275.) Account Titles and Explanation (To record sales) Debit Credit
On February 28, 2021, Crane Ltd's general ledger contained the following liability accounts: Accounts payable CPP payable El payable Sales tax payable Employee income tax payable Mar. 2 $42,000 2,680 The following selected transactions occurred during the month: 3 1,104 5,800 5,500 Issued a three-month, 6% note payable in exchange for an account payable in the amount of $10,000. Interest is due at maturity. Sold inventory for cash totalling $35,000, plus 13% HST. The cost of goods sold was $24,000. Crane uses a perpetual inventory system. Received the property tax bill of $16,000 for the calendar year. It is payable on May 31. (Hint: No accrual has been
Transcribed Image Text:On February 28, 2021, Crane Ltd's general ledger contained the following liability accounts: Accounts payable CPP payable El payable Sales tax payable Employee income tax payable Mar. 2 $42,000 2,680 The following selected transactions occurred during the month: 3 1,104 5,800 5,500 Issued a three-month, 6% note payable in exchange for an account payable in the amount of $10,000. Interest is due at maturity. Sold inventory for cash totalling $35,000, plus 13% HST. The cost of goods sold was $24,000. Crane uses a perpetual inventory system. Received the property tax bill of $16,000 for the calendar year. It is payable on May 31. (Hint: No accrual has been
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