Need help Patty's Party Planners had $1,500 of supplies on hand onJanuary 1 2017. During the year, they purchased $30,850of supplies with cash. On December 31, 2017, they had$4,220 of supplies on hand. Patty's Party Planners has thecalendar year as its fiscal year and makes adjusting entrieson a yearly basis. What entry will they report to record thesupplies used for the year?A. Debit Supplies Expense and credit Supplies for $4,200.B. Debit Supplies and credit Cash for $30,850.C. None of these answers are correct.D. Debit Supplies Expense and credit Supplies for $26,630.E. Debit Supplies Expense and credit Supplies for $28,130.

Step 1: Define Adjusting EntriesIn accounting, the recognition of adjusting entries is necessary to…

Answered: Patty's Party Planners had $1,500 of…

SWFT Comprehensive Vol 2020

43rd Edition

ISBN:9780357391723

Author:Maloney

Publisher:Maloney

Chapter16: Accounting Periods And Methods

Section: Chapter Questions

Problem 33P

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Blue Company, an architectural firm, has a bookkeeper who maintains a cash receipts and disbursements journal. At the end of the year (2019), the company hires you to convert the cash receipts and disbursements into accrual basis revenues and expenses. The total cash receipts are summarized as follows. The accounts receivable from customers at the end of the year are 120,000. You note that the accounts receivable at the beginning of the year were 190,000. The cash sales included 30,000 of prepayments for services to be provided over the period January 1, 2019, through December 31, 2021. a. Compute the companys accrual basis gross income for 2019. b. Would you recommend that Blue use the cash method or the accrual method? Why? c. The company does not maintain an allowance for uncollectible accounts. Would you recommend that such an allowance be established for tax purposes? Explain.
Like New Steam Cleaning performs services on account. When a customer account becomes four months old, Like New converts the account to a note receivable. During 2018,the company completed the following transactions: Record the transactions in Like New's journal. Round to the nearest dollar. (Use a 365-day year for computations. Record debits first, then credits. Select the explanation on the last line of the journal entry table.)
The Accounts Receivable balance and Allowance for Bad Debts for Turning Leaves Furniture Restoration at December 31, 2015, was $10,800 and $2,000 (credit balance). During 2016, Turning Leaves completed the following transactions: i (Click the icon to view the transactions.) Read the requirements. 1925 a. Requirement 1. Journalize Turning Leaves's transactions for 2016 assuming Turning Leaves uses the allowance method. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.) a. Sales revenue on account, $265,800 (ignore Cost of Goods Sold). Accounts and Explanation Debit .. Credit
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Flood Relief Inc. prepares monthly financial statements and therefore adjusts its accounts at the end of every month. The following information is available for June 2016: a. Flood received a $10,000, 4%, two-year note receivable from a customer for services rendered. The principal and interest are due on June 1, 2018. Flood expects to be able to collect the note and interest in full at that time. b. Office supplies totaling $5,600 were purchased during the month. The asset account Supplies is debited whenever a purchase is made. A count in the storeroom on June 30, 2016, indicates that supplies on hand amount to $507. The supplies on hand at the beginning of the month total $475. c. The company purchased machines last year for $170,000. The machines are expected to be used for four years and have an estimated salvage value of $2,000. d. On June 1, the company paid $4,650 for rent for June, July, and August. The asset Prepaid Rent was debited; it did not have a balance on…
You are given the following selected transactions of Bobby merchandising for the year ended December 31, 2020. You are required to prepare the adjusting journal entries without explanations.a. Supplies on hand account is shown in the books with a balance of P450. An actual count shows only P150 worth of supplies are still on hand.b. Interest of P60 was debited to Prepaid Interest account for interest paid in advance on a 60-day-6% note dated December 16.c. Salaries of P850 remain unpaid as at the end of the year.d. Office equipment was bought for P50,000 on May 31 of the current year. It is expected to be useful for only 7 years and have a salvage value of P8,000.e. Commission Income account which is shown in the books at P1,000 is only ¾ earned.f. A bill for P2,000 for services rendered to a client has not been collected.g. It is expected that only 95% of outstanding accounts receivable of P20,000 will be collectible.h. Unearned Rental Income account which is shown in the books at…
The Accounts Receivable balance and Allowance for Bad Debts for Turning Leaves Furniture Restoration at December 31, 2015, was $10,800 and $2,000 (credit balance). During 2016, Turning Leaves completed the following transactions: (Click the icon to view the transactions) Read the requirements. Requirement 1. Journalize Turning Leaves's transactions for 2016 assuming Turning Leaves uses the allowance method. (Record debits first, then credits. Select the explanation on the last line of the journal entry table) a. Sales revenue on account, $265,800 (ignore Cost of Goods Sold). Accounts and Explanation a. OMIS. 001 Debit Credit
Please help me answer all the requirements
Rasheed Company uses net method to record the sales made on credit. On June 30, 2019, it made sales of $45,000 with term 2/15, n/45. Prepare the required journal entries, if: On July 22 Rasheed company received full payment.
What would the journal entries look like for these adjusting entries?
On April 1, 2018, Solutions Insurance Company sold a one-year insurance policycovering the year ended March 31, 2019. Solutions collected the full $2,700 on April 1, 2018.Solutions made the following journal entry to record the receipt of cash in advance:A112345A B C D E F2,700Cash 2,700Unearned RevenueApr 1Journal EntryDate Accounts Debit CreditNine months have passed, and Solutions has made no adjusting entries. Based on these facts,the adjusting entry needed at December 31, 2018, isA1123456789123456789A B C D E Fa.b.c.d.Unearned RevenueInsurance RevenueInsurance RevenueUnearned RevenueUnearned RevenueInsurance RevenueInsurance RevenueUnearned Revenue2,0252,0256756752,0252,025675675
At December 31, 2021, Wonder of the World Travel has an Accounts Receivable balance of $89,000. Allowance for Uncollectible Accounts has a credit balance of $830 before the year-end adjustment. Service revenue (all on account) for 2021 was $700,000. Wonder of the World estimates that its uncollectible-account expense for the year is 2% of service revenue. Read the requirement. Make the year-end entry to record uncollectible-account expense. (Record debits first, then credits. Exclude explanations from any journal entries.) Date Dec 31 Journal Entry Accounts Debit Credit Show how Accounts Receivable and the Allowance for Uncollectible Accounts are reported on the balance sheet at December 31, 2021. BALANCE SHEET (Partial) Current assets: Less:

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