The following events apply to Paradise Vacations's first year of operations: 1. Acquired $32,000 cash from the issue of common stock on January 1, Year 1. 2. Purchased $1,400 of supplies on account. 3. Paid $5,640 cash in advance for a one-year lease on office space. 4. Earned $40,350 of revenue on account. 5. Incurred $14,300 of other operating expenses on account. 6. Collected $30,000 cash from accounts receivable. 7. Paid $9,600 cash on accounts payable. 8. Paid a $4,200 cash dividend to the stockholders. Information for Adjusting Entries 9. There was $270 of supplies on hand at the end of the accounting period. 10. The lease on the office space covered a one-year period beginning November 1. 11. There was $4,800 of accrued salaries at the end of the period. Required a. Record these transactions in general journal form. b. Post the transaction data from the journal to ledger T-accounts. c. Prepare a trial balance.

The following events apply to Paradise Vacations's first year of operations: 1. Acquired $32,000 cash from the issue of common stock on January 1, Year 1. 2. Purchased $1,400 of supplies on account. 3. Paid $5,640 cash in advance for a one-year lease on office space. 4. Earned $40,350 of revenue on account. 5. Incurred $14,300 of other operating expenses on account. 6. Collected $30,000 cash from accounts receivable. 7. Paid $9,600 cash on accounts payable. 8. Paid a $4,200 cash dividend to the stockholders. Information for Adjusting Entries 9. There was $270 of supplies on hand at the end of the accounting period. 10. The lease on the office space covered a one-year period beginning November 1. 11. There was $4,800 of accrued salaries at the end of the period. Required a. Record these transactions in general journal form. b. Post the transaction data from the journal to ledger T-accounts. c. Prepare a trial balance.

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

A company has a fiscal year-end of December 31: (1) on October 1, $21,000 was paid for a one-year fire insurance policy; (2) on June 30 the company loaned its chief financial officer $19,000; principal and interest at 5% on the note are due in one year; and (3) equipment costing $69,000 was purchased at the beginning of the year for cash. Prepare journal entries for each of the above transactions. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. No 1 2 3 Transaction 1 2 3 Prepaid insurance Insurance expense Interest revenue Interest receivable X Answer is not complete. General Journal Accumulated depreciation Depreciation expense X XX XX Debit 5,250 x 69,000 Credit 5,250 x 69,000
A company had the following transactions during the year: 1. Paid rent for the next two years, $8,100. 2. Purchased office supplies on account, $2,900. 3. Purchased equipment, paying $15,000 cash and issuing a note payable for $7,000. 4. Borrowed from the bank, $6,600. 5. Paid employee salaries, $7,800. 6. Paid $1,300 on account related to transaction 2 above. 7. Paid dividends to stockholders, $3,200. 8. Sold land for $10,400 that was purchased in a prior year for $8,000. 9. Collected cash from customers for services provided, $25,100. Calculate cash flows from operating activities, investing activities, and financing activities. (Cash outflows should be indicated with a minus sign.) Operating activities Investing activities Financing activities
Sage Inc. experienced the following transactions for Year 1, its first year of operations: 1. Issued common stock for $90,000 cash. 2. Purchased $195,000 of merchandise on account. 3. Sold merchandise that cost $162,000 for $322,000 on account. 4. Collected $288,000 cash from accounts receivable. 5. Paid $175,000 on accounts payable. 6. Paid $64,000 of salaries expense for the year. 7. Paid other operating expenses of $80,000. 8. Sage adjusted the accounts using the following information from an accounts receivable aging schedule: Number of Days Past Due Current 0-30 31-60 61-90 Over 90 days Amount $20,400 8,500 1,700 1,700 1,700 Percent Likely to Be Uncollectible 0.01 0.05 0.10 0.20 0.50 Allowance Balance Required a. Organize the transaction data in accounts under an accounting equation. b. Prepare the income statement, statement of changes in stockholders' equity, balance sheet, and statement of cash flows for Sage Inc. for Year 1. c. What is the net realizable value of the accounts…
Prepare an income statement for the month ended January 31,2018 General Entries: Jan5 Received $60,000 from Shophia Lebron and issued 12,000 common shares of $5 par value. Jan5 Paid $6,000 of general liability and property insurance. The disbursement by Check No. 100 was for a complete year of service. Jan6 Rented an office and furniture for $2,000 per month. Issued Check No. 101 for $6,000, representing the first and last month's rent and the security deposit.[ the security deposit (debit deposit), the last month's rent, and the current rent are to be classified separately.] Jan7 Issued Check No. 102 for $1,600 for the purchase of office supplies. Jan7 Issued Check No. 103 for $7,000 for advertising to be run in local nespaper and magazines in the month of Jan Jan10 Roxana Perini engaged My Place, House of Decor to renovate her oceanfront condominium. Received $10,000 from Roxana Perini after services were completed. Jan12 Recorded $6,000 (net 30) decorating fees earned on account…
Please answer the full question
a. Received $16,600 cash for consulting services rendered in January. b. Issued common stock to investors for $15,000 cash. c. Purchased $16,100 of equipment, paying 25 percent in cash and owing the rest on a note due in 2 years. d. Received $12,500 cash for consulting services to be performed in February. e. Bought and received $1,550 of supplies on account. f. Received utility bill for January for $1,960, due February 15. g. Consulted for customers in January for fees totaling $19,600, due in February. h. Received $14,300 cash for consulting services rendered in December. i. Paid $775 toward supplies purchased in (e). E3-19 (Algo) Creating an Unadjusted Trial Balance [LO 3-4) Required: Prepare an unadjusted trial balance for Tongo, Incorporated for the month ended January 31. Account Name TONGO, INCORPORATED Unadjusted Trial Balance Debit Credit +
1. Husain Corporation has the following account it trial balance at the end of year: Accounting Receivables $ 230,000, Inventories $ 342,000, Allowances for doubtful debts $ 11,000, Long –term notes payable $ 56,000, Prepaid Rent $ 13,000, Unearned fee $ 5,000, Cash $ 46,000, Trading Securities $ 32,000. Prepare current assets section of the balance sheet.
Lowell Company sells swimming pool supplies and equipment. The majority of Lowell's customers are small, family-owned businesses. Assume that Lowell Corporation completed the following transactions during the current year. Lowell's fiscal year ends on December 31. September 15 October 1 October 5 October 15 December 12 December 31 Required: Paid a supplier $129,500 for inventory previously purchased on credit. Borrowed $904,500 from Mass Bank for general use; signed an 11-month, 5% annual interest-bearing note for the money. Received a $42,250 customer deposit from Jim Scanlon for services to be performed in the future. Performed $19,800 of the services paid for by Mr. Scanlon. Received electric bill for $12,450. Lowell plans to pay the bill in early January. Determined wages of $52,900 earned but not yet paid on December 31 (disregard payroll taxes). 1.&2. Prepare journal entries for each of these transactions.
During its first month of operation, the Quick Tax Corporation, which specializes in tax preparation, completed the following transactions. Began business by making a deposit in a company bank account of $60,000, in exchange for 6,000 shares of $10 par value common stock. July 1 July 3 Paid the current month's rent, $3,500 July 5 Paid the premium on a 1-year insurance policy, $4,200 July 7 Purchased supplies on account from Little Company, $1,000. July 10 Paid employee salaries, $3,500 July 14 Purchased equipment from Lake Company, $10,000. Paid $2,500 down and the balance was placed on account. Payments will be $500.00 per month until the equipment is paid. The first payment is due 8/1. Note: Use accounts payable for the balance due. July 15 Received cash for preparing tax returns for the first half of July, $8,000 July 19 Made payment on account to Lake Company, $500. July 31 Received cash for preparing tax returns for the last half of July, $9,000 July 31 Declared and paid cash…
ABC Company ended Year 1 with the following account balances: Cash 600, Common Stock 400, and Retained Earnings 200. The following transactions occurred during Year 2: • Issued common stock for $19,000 cash. • ABC borrowed an additional $11,000 from Chris Bank. • ABC earned $9,000 of revenue on account. • ABC incurred $4,000 of operating expenses on account. • Cash collections of accounts receivables were $6,000. • ABC provided additional services to customers for $1,000 cash. • ABC purchased land for $14,000. • ABC used $3,000 in cash to make a partial payment on its accounts payable. • ABC declared and paid a $200 dividend to the stockholders • On December 31 ABC had accrued salaries of $4,000. What is the net cash flow from operating activities shown on the statement of cash flows for the year ending December 31, Year 2? Multiple Choice O O $4,000 $3,800 $6,000 None of these answer choices is correct.
Give me write answers and I give you good reviews
Financial Transactions: Journalize the following transactions that occurred during the year: January 1: Received $100,000 cash in exchange for common stock. January 1: Purchased a delivery truck for $36,000 by paying $6,000 in cash and signing a note f remainder. January 15: Purchased $1,200 of supplies on account July 1: Paid $12,000 for an annual insurance policy. December 31: Made sales of $500,000 on the account. The Cost of Goods Sold was $300,000.