Q2. As a new employee of Software Company, the staff welcomed you and assigned the first and fresh task to analyze the following transactions. a) A cash receipt from payment on account was posted as debit to cash and credit to account receivable. The amount was $2500. b) The business purchased inventory on account which was posted as debiting inventory for $1000 and crediting cash $1000. c) The business paid an amount on account which was posted as debit to accounts payable for $1200 and crediting accounts receivable. d) Some supplies was purchase for cash for an amount of $500. The recording was carried out as a debit to cash and credit for supplies. e) The firm purchased bonds for $5000 and recorded as debit to bonds and credit to cash. ) The business sold the above bonds for $5s00 cash. We could not record the transaction. Required: After seeing the above you don't know what to do. You contacted your boss and he, after looking at your state, assigned the following easy tasks for you to carry out.

Q2. As a new employee of Software Company, the staff welcomed you and assigned the first and fresh task to analyze the following transactions. a) A cash receipt from payment on account was posted as debit to cash and credit to account receivable. The amount was $2500. b) The business purchased inventory on account which was posted as debiting inventory for $1000 and crediting cash $1000. c) The business paid an amount on account which was posted as debit to accounts payable for $1200 and crediting accounts receivable. d) Some supplies was purchase for cash for an amount of $500. The recording was carried out as a debit to cash and credit for supplies. e) The firm purchased bonds for $5000 and recorded as debit to bonds and credit to cash. ) The business sold the above bonds for $5s00 cash. We could not record the transaction. Required: After seeing the above you don't know what to do. You contacted your boss and he, after looking at your state, assigned the following easy tasks for you to carry out.

Name: Q2.As a new employee of Software Company, the staff welcomed you and
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Description: Q2.As a new employee of Software Company, the staff welcomed you and assigned the first and fresh task toanalyze the following transactions.a) A cash receipt from payment on account was posted as debit to cash and credit to account receivable. Theam

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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