The accounting Cycle: Nov. 1: Luis Ruiz invests $ 20,000 to start his own consulting agency. Nov. 1: Purchased a one- year fire insurance policy, $960. Nov. 5: Acquired a computer for $ 10,000, paying $3,500 down with balance due in 60 days. Nov. 6: Purcahsed office supplies on account from Talyor Supply, $ 1,500. Nov. 9: Paid Taylor Supply $400 on account. Nov. 10: Billed Barkley Insurance for consulting services performed, $6,000. Nov. 12: Collected $1,500 from Barkley Insurance. Nov. 12: Hired secretary to be paid $600 per week. Nov. 15: Collected $1,000 from Bryany Realty for consulting services to be performed. Nov. 26: Paid the secretary two weeks' wages $1,200. Nov. 29: Received and paid the Novemeber utility bill, $100. Nov. 30: Received (but did not pay) the November telephone bill,$100. Nov. 30: Performed consulting services for Bing Enterprises, $4,800, to be collected in December. Nov. 30: Ruiz withdrew $1,400 from the business for personal living expenses. Required: 1. Journalize and post the November transactions for Ruiz Consulting. 2. Prepare a Trial Balance as of November 30. 3. Prepare and post adjusting entries for the month ended November 30. a. Expired insurance, $80 b. Supplies on hand at November 30, $900 c. Monthly depreciation of computer, $250 d. 20% of advance fee from Bryant Brokerage was earned by November 30 e. Accrued 3 days wages, $360
The accounting Cycle:
Nov. 1: Luis Ruiz invests $ 20,000 to start his own consulting agency.
Nov. 1: Purchased a one- year fire insurance policy, $960.
Nov. 5: Acquired a computer for $ 10,000, paying $3,500 down with balance due in 60 days.
Nov. 6: Purcahsed office supplies on account from Talyor Supply, $ 1,500.
Nov. 9: Paid Taylor Supply $400 on account.
Nov. 10: Billed Barkley Insurance for consulting services performed, $6,000.
Nov. 12: Collected $1,500 from Barkley Insurance.
Nov. 12: Hired secretary to be paid $600 per week.
Nov. 15: Collected $1,000 from Bryany Realty for consulting services to be performed.
Nov. 26: Paid the secretary two weeks' wages $1,200.
Nov. 29: Received and paid the Novemeber utility bill, $100.
Nov. 30: Received (but did not pay) the November telephone bill,$100.
Nov. 30: Performed consulting services for Bing Enterprises, $4,800, to be collected in December.
Nov. 30: Ruiz withdrew $1,400 from the business for personal living expenses.
Required:
1. Journalize and post the November transactions for Ruiz Consulting.
2. Prepare a
3. Prepare and
a. Expired insurance, $80
b. Supplies on hand at November 30, $900
c. Monthly
d. 20% of advance fee from Bryant Brokerage was earned by November 30
e. Accrued 3 days wages, $360
4. Prepare an Adjusted Trial Balance
5. Prepare the following Financial Statements
a. Income statement for the month ended November 30.
b. Statement of Owner's Equity for the month ended November 30.
c.
6. Prepare and post the closing entries.
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