The following transaction occurred during March 2023, for Rehearsal Gift Shop, a SOLE PROPRIETORSHIP: March 1 3 7 9 10 12 16 23 30 Owner made $20,000 cash investment in the business. Purchased $5,000 of inventory on account under terms of 4/10, n/30. Returned $1,000 of defective merchandise purchased on March 3. Paid freight bill of $250 for the March 3 inventory purchase. Sold inventory on account for $8,000. Payment terms were 2/15, n/30. These goods originally cost the company $4,000. Paid amount owed on the March 3 inventory. Received sales return of $1,000 on the March 10 sale. The original cost is $500. Received cash from March 10 customer in full settlement of her debt. Dress Rehearsal Gift Shop also incurred the following Operating Expenses and paid with cash: Salary Expense $ 1,500 750 Rent Expense $ Utilities Expense $ 375 Supplies Expense $ 250 Requirements: 1. Journalize the transactions noted above. 2. Post the transactions to the T-accounts. 3. Prepare the Trial Balance.
The following transaction occurred during March 2023, for Rehearsal Gift Shop, a SOLE PROPRIETORSHIP: March 1 3 7 9 10 12 16 23 30 Owner made $20,000 cash investment in the business. Purchased $5,000 of inventory on account under terms of 4/10, n/30. Returned $1,000 of defective merchandise purchased on March 3. Paid freight bill of $250 for the March 3 inventory purchase. Sold inventory on account for $8,000. Payment terms were 2/15, n/30. These goods originally cost the company $4,000. Paid amount owed on the March 3 inventory. Received sales return of $1,000 on the March 10 sale. The original cost is $500. Received cash from March 10 customer in full settlement of her debt. Dress Rehearsal Gift Shop also incurred the following Operating Expenses and paid with cash: Salary Expense $ 1,500 750 Rent Expense $ Utilities Expense $ 375 Supplies Expense $ 250 Requirements: 1. Journalize the transactions noted above. 2. Post the transactions to the T-accounts. 3. Prepare the Trial Balance.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
PLEASE PROVIDE ANSWER IN THE FORMAT STEPWISE AND ALSO EXPLANATION OF ANSWER IN TEXT..?
![The following transaction occurred during March 2023, for Rehearsal Gift Shop, a SOLE PROPRIETORSHIP:
March 1
3
7
9
10
12
16
23
30
Owner made $20,000 cash investment in the business.
Purchased $5,000 of inventory on account under terms of 4/10, n/30.
Returned $1,000 of defective merchandise purchased on March 3.
Paid freight bill of $250 for the March 3 inventory purchase.
Sold inventory on account for $8,000. Payment terms were 2/15, n/30.
These goods originally cost the company $4,000.
Paid amount owed on the March 3 inventory.
Received sales return of $1,000 on the March 10 sale. The original cost is $500.
Received cash from March 10 customer in full settlement of her debt.
Dress Rehearsal Gift Shop also incurred the following Operating Expenses and paid with cash:
Salary Expense $
1,500
750
Rent Expense $
Utilities Expense $ 375
Supplies Expense $
250
Requirements:
1. Journalize the transactions noted above.
2. Post the transactions to the T-accounts.
3. Prepare the Trial Balance.
4. Prepare a multi-step income statement for Rehearsal Gift Shop for the month ended March 31, 2023.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fa1590255-e26f-4a81-a626-d747bb9be55c%2F010104e1-6ca8-4dcc-928b-1e3dcad4e0f1%2F4cmwe29_processed.jpeg&w=3840&q=75)
Transcribed Image Text:The following transaction occurred during March 2023, for Rehearsal Gift Shop, a SOLE PROPRIETORSHIP:
March 1
3
7
9
10
12
16
23
30
Owner made $20,000 cash investment in the business.
Purchased $5,000 of inventory on account under terms of 4/10, n/30.
Returned $1,000 of defective merchandise purchased on March 3.
Paid freight bill of $250 for the March 3 inventory purchase.
Sold inventory on account for $8,000. Payment terms were 2/15, n/30.
These goods originally cost the company $4,000.
Paid amount owed on the March 3 inventory.
Received sales return of $1,000 on the March 10 sale. The original cost is $500.
Received cash from March 10 customer in full settlement of her debt.
Dress Rehearsal Gift Shop also incurred the following Operating Expenses and paid with cash:
Salary Expense $
1,500
750
Rent Expense $
Utilities Expense $ 375
Supplies Expense $
250
Requirements:
1. Journalize the transactions noted above.
2. Post the transactions to the T-accounts.
3. Prepare the Trial Balance.
4. Prepare a multi-step income statement for Rehearsal Gift Shop for the month ended March 31, 2023.
![The accounts of Rehearsal Biz, a SOLE PROPRIETORSHIP, are listed along with their adjusted balances before closing for the
year ended June 30, 2023,
Prepaid Expenses
Inventory
Note payable, long-term
Salary payable
Supplies Expense
Depreciation Expense
Sales revenue
Rent Expense
Office Supplies
Unearned sales revenue
Sales Returns & Allowances
S
1,000
39,000
46,000
2,000
2,500
7,500
400,000
38,000
6,000
13,000
40,000
Accounts payable
Accounts receivable
Accumulated depreciation
Owner Capital, July 1, 2022
Owner Withdrawals
Cash
Cost of goods sold
Equipment
Salaries Expense
Notes payable, short-term
Sales Discounts
All month-end adjustments have already been made. Assume all accounts have normal balances.
No dividends were declared or paid during the fiscal year.
Requirements:
1. Prepare a multi-step income statement
2. Prepared the statement of retained earnings
3. Prepared a classified balance sheet
16,700
33,000
37,000
208,000
54,000
84,000
200,000
135,000
80,000
1,300
4,000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fa1590255-e26f-4a81-a626-d747bb9be55c%2F010104e1-6ca8-4dcc-928b-1e3dcad4e0f1%2F8v8aija_processed.jpeg&w=3840&q=75)
Transcribed Image Text:The accounts of Rehearsal Biz, a SOLE PROPRIETORSHIP, are listed along with their adjusted balances before closing for the
year ended June 30, 2023,
Prepaid Expenses
Inventory
Note payable, long-term
Salary payable
Supplies Expense
Depreciation Expense
Sales revenue
Rent Expense
Office Supplies
Unearned sales revenue
Sales Returns & Allowances
S
1,000
39,000
46,000
2,000
2,500
7,500
400,000
38,000
6,000
13,000
40,000
Accounts payable
Accounts receivable
Accumulated depreciation
Owner Capital, July 1, 2022
Owner Withdrawals
Cash
Cost of goods sold
Equipment
Salaries Expense
Notes payable, short-term
Sales Discounts
All month-end adjustments have already been made. Assume all accounts have normal balances.
No dividends were declared or paid during the fiscal year.
Requirements:
1. Prepare a multi-step income statement
2. Prepared the statement of retained earnings
3. Prepared a classified balance sheet
16,700
33,000
37,000
208,000
54,000
84,000
200,000
135,000
80,000
1,300
4,000
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