St. Thomas Yacht Services, Inc. had the following transactions during its first month of operations:/22]Dec 2Borrowed $50,000 from First Bank after signing a 10 year, 6% promissory note. Payments are due on thelast day of the month.40)20)/28]/15]Dec 7Signed lease and paid the landlord $1,200 rent for the current month.Dec 12Purchased a one year insurance policy for $2,100.Purchased $1,800 of supplies on account.Paid $340 to have advertising materials to be used during the current month.Detailed 8 sailboats competing in the Maxi Yacht Rolex Cup this March. The bookkeeper sent an invoicefor $10,000.Received $5,000 in advance from a customer to clean two 63 foot yachts next month.Paid $54 in wages to employees who cleaned Serendipity and $81 in wages to employees who distributedadvertising materials. (Ignore payroll taxes for this problem).Sent a $2,200 invoice to Serendipity's Captain Samantha for services provided on account.Paid First Bank $555 for the first payment on the loan signed on December 2nd.Dec 155)Dec 1830Dec 23Dec 25Dec 29Dec 30Dec 31Complete Step 2 of the Accounting Cycle: Prepare journal entries of the transactions.DateDescriptionDebitCreditDec 2Dec 7Dec 12 Dec 15Dec 18Dec 23Dec 25Dec 29Dec 30Dec 31

Journal Entries - Every transaction entered into by the business are recorded in the form of journal…

St Thomas Yacht Services, Inc. had the following transactions during its first month of operations: Borrowed $50,000 from First Bank after signing a 10 year, 6% promissory note. Payments are due on the last day of the month. Dec 2 Dec 7 Signed lease and paid the landlord $1,200 rent for the current month. Purchased a one year insurance policy for $2,100. Purchased $1,800 of supplies on account. Dec 12 Dec 15 Dec 18 Paid $340 to have advertising materials to be used during the current month. Detailed 8 sailboats competing in the Maxi Yacht Rolex Cup this March. The bookkeeper sent an invoice for $10,000. Dec 23 Dec 25 Received $5,000 in advance from a customer to clean two 63 foot yachts next month. Paid $54 in wages to employees who cleaned Serendipity and $81 in wages to employees who distributed advertising materials. (Ignore payroll taxes for this problem). Sent a $2,200 invoice to Serendipity's Captain Samantha for services provided on account. Paid First Bank $555 for the first payment on the loan signed on December 2nd. Dec 29 Dec 30 Dec 31 Complete Step 2 of the Accounting Cycle: Prepare journal entries of the transactions.

St Thomas Yacht Services, Inc. had the following transactions during its first month of operations: Borrowed $50,000 from First Bank after signing a 10 year, 6% promissory note. Payments are due on the last day of the month. Dec 2 Dec 7 Signed lease and paid the landlord $1,200 rent for the current month. Purchased a one year insurance policy for $2,100. Purchased $1,800 of supplies on account. Dec 12 Dec 15 Dec 18 Paid $340 to have advertising materials to be used during the current month. Detailed 8 sailboats competing in the Maxi Yacht Rolex Cup this March. The bookkeeper sent an invoice for $10,000. Dec 23 Dec 25 Received $5,000 in advance from a customer to clean two 63 foot yachts next month. Paid $54 in wages to employees who cleaned Serendipity and $81 in wages to employees who distributed advertising materials. (Ignore payroll taxes for this problem). Sent a $2,200 invoice to Serendipity's Captain Samantha for services provided on account. Paid First Bank $555 for the first payment on the loan signed on December 2nd. Dec 29 Dec 30 Dec 31 Complete Step 2 of the Accounting Cycle: Prepare journal entries of the transactions.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

In the month of January beginning Peter company borrowed $ 5000 from Lios by issuing 10 % Note , Prepare the entry for the Amount borrowed.
Rosewood Company made a loan of $11,600 to one of the company's employees on April 1, Year 1. The one-year note carried a 6% rate of interest. What is the amount of interest revenue that Rosewood would report in Year 1 and Year 2, respectively? Multiple Choice $696 in Year 1 and $0 in Year 2 $0 in Year 1 and $696 in Year 2 О $174 in Year 1 and $522 in Year 2
On August 1, Year 1, Company A, an aeronautic electronics company, borrows $19.7 million cash to expand operations. The loan is made by Company B under a short-term line of credit arrangement. Company A signs a six-month, 9% promissory note. Interest is payable at maturity. Company A's year-end is December 31. Required: 1.-3. Record the necessary entries in the Journal Entry Worksheet below for Company A. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Enter your answers in dollars, not in millions (i.e. 5 should be entered as 5,000,000).) View transaction list Journal entry worksheet 1 3 > Record the issuance of note. Note: Enter debits before credits. Date General Journal Debit Credit August 01
In the month of January beginning Peter company borrowed $ 5000 from Lios by issuing 10 % Note, Prepare the entry for the Amount borrowed.
On August 1, Year 1, Company A, an aeronautic electronics company, borrows $19.7 million cash to expand operations. The loan is made by Company B under a short-term line of credit arrangement. Company A signs a six-month, 9% promissory note. Interest is payable at maturity. Company B's year-end is December 31. Required: 1.-3. Record the necessary entries in the Journal Entry Worksheet below for Company B. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Enter your answers in dollars, not in millions (i.e. 5 should be entered as 5,000,000).) View transaction list Journal entry worksheet 1 > Record the acceptance of note. Note: Enter debits before credits. Date General Journal Debit Credit August 01
On August 1, Year 1, Company A, an aeronautic electronics company, borrows $19.7 million cash to expand operations. The loan is made by Company B under a short-term line of credit arrangement. Company A signs a six-month, 9% promissory note. Interest is payable at maturity. Company B's year-end is December 31. Required: 1.-3. Record the necessary entries in the Journal Entry Worksheet below for Company B. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Enter your answers in dollars, not in millions (i.e. 5 should be entered as 5,000,000).) X Answer is complete but not entirely correct. No Date General Journal Debit Credit 1 August 01 Notes Receivable 19,700,000 Notes Payable 19,700,000 2 December 31 Interest Receivable 738,750 Interest Revenue 738,750 January 31 Cash 20,586,500 Interest Receivable 147,750 X Notes Receivable 738,750 X Cash 19,700,000 X
On September 1, Year 1, West Company borrowed $34,000 from Valley Bank. West agreed to pay interest annually at the rate of 9% per year. The note issued by West carried an 18-month term. West Company has a calendar year-end. What is the amount of interest expense that will be reported on West's income statement for Year 1? Multiple Choice O O $-0- $1,020 $306 $765
Rosewood Company made a loan of $7,000 to one of the company's employees on April 1, Year 1. The one-year note carried a 6% rate of interest. What is the amount of interest revenue that Rosewood would report in Year 1 and Year 2, respectively? Multiple Choice O O $420 in Year 1 and $0 in Year 2 $0 in Year 1 and $420 in Year 2 $105 in Year 1 and $315 in Year 2 $315 in Year 1 and $105 in Year 2
On September 1, Year 1, West Company borrowed $30,000 from Valley Bank. West agreed to pay interest annually at the rate of 5% per year. The note issued by West carried an 18-month term. West Company has a calendar year-end. What is the amount of interest expense that will be reported on West's income statement for Year 1? Multiple Choice $500 $375 $-0- $150
Ellen Company loaned $10,000 cash to Ann Company on August 1, Year 1. The loan had a one year term and a 6% annual interest rate. Principal and interest are payable at maturity. Match the amounts shown in the right column with Ellen Company's financial statement items that are shown in the left column. Assume that the company's balance sheet date is 31st December each year
On August 1, Year 1, Company A, an aeronautic electronics company, borrows $19.7 million cash to expand operations. The loan is made by Company B under a short-term line of credit arrangement. Company A signs a six-month, 9% promissory note. Interest is payable at maturity. Company B's year-end is December 31. Required: 1.-3. Record the necessary entries in the Journal Entry Worksheet below for Company B. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Enter your answers in dollars, not in millions (i.e. 5 should be entered as 5,000,000).) View transaction list Journal entry worksheet 1 2 3 > Record the receipt of cash at maturity. Note: Enter debits before credits. Date General Journal Debit Credit January 31
Rosewood Company made a loan of $12,200 to one of the company's employees on April 1, Year 1. The one-year note carried a 6% rate of interest. What is the amount of interest revenue that Rosewood would report in Year 1 and Year 2, respectively? Multiple Choice $0 in Year 1 and $732 in Year 2 $732 in Year 1 and $0 in Year 2 $183 in Year 1 and $549 in Year 2 $549 in Year 1 and $183 in Year 2