Requlred Information [The following information applies to the questions displayed below.] Peter loves dogs and cats. For the past several years, he has owned and operated Homeward Bound, which temporarily houses pets while their owners go on vacation. For the month of June, the company has the following transactions: 1. June 2 Obtain cash by borrowing $20,eee fron the bank by signing a note. 2. June 3 Pay rent for the current month, $1,e00. 3. June 7 Provide services to customers, $4,000 for cash and $2,30e on account. 4. June 11 Purchase cages and equipment necessary to maintain the animals, $7,280 cash. 5. June 17 Pay employees' salaries for the first half of the nonth, $5,30e. 6. June 22 Pay dividends to stockholders, $1, 258. 7. June 25 Receive cash in advance from a custoner who wants to house his two dogs (Chance and Shadow) and cat (Sassy) while he goes on vacation the month of July, $1,5ee. 8. June 28 Pay utilities for the month, $2,100. 9. June 30 Record salaries earned by employees for the second half of the month, $5,30e. Payment will be nade on July 2. 3. Assuming the balance of cash at the beginning of June is $13.500. post each cash transaction to the Cash T-account. Cash June 1 13,500 End. bal. 13,500
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.
![Requlred Informatlon
[The following information applies to the questions displayed below.]
Peter loves dogs and cats. For the past several years, he has owned and operated Homeward Bound, which temporarily houses pets while their owners go on
vacation. For the month of June, the company has the following transactions:
1. June 2 Obtain cash by borrowing $20,e00 from the bank by signing a note.
2. June
3. June 7 Provide services to customers, $4,000 for cash and $2,300 on account.
4. June 11 Purchase cages and equipment necessary to maintain the animals, $7,200 cash.
5. June 17 Pay employees' salaries for the first half of the month, $5, 300.
6. June 22 Pay dividends to stockholders, $1,258.
7. June 25 Receive cash in advance from a custoner who wants to house his two dogs (Chance and Shadow) and cat (Sassy) while he goes on vacation the month of July, $1,5ee.
8. June 28 Pay utilities for the month, $2,100.
9. June 30 Record salaries earned by enployees for the second half of the month, $5,300. Payment will be made on July 2.
3 Pay rent for the current month, $1,000.
3. Assuming the balance of cash at the beginning of June is $13,500. post each cash transaction to the Cash T-account.
Cash
June 1
13,500
End. bal.
13,500](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F5d592a0b-d573-438f-9a00-69d7ef309f31%2F1cc75023-85c7-4a65-a284-cdaba53b06da%2Fuegsivt_processed.jpeg&w=3840&q=75)
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