The general ledger of Jackrabbit Rentals at January 1, 2021, includes the following account balances:   Accounts Debits   Credits Cash $ 47,500           Accounts Receivable   31,700           Land   116,800           Accounts Payable           15,900   Notes Payable (due in 2 years)           36,000   Common Stock           106,000   Retained Earnings           38,100   Totals $ 196,000     $ 196,000       The following is a summary of the transactions for the year:   1.   January   12   Provide services to customers on account, $68,400. 2.   February   25   Provide services to customers for cash, $78,300. 3.   March   19   Collect on accounts receivable, $46,300. 4.   April   30   Issue shares of common stock in exchange for $36,000 cash. 5.   June   16   Purchase supplies on account, $13,300. 6.   July   7   Pay on accounts payable, $11,900. 7.   September   30   Pay salaries for employee work in the current year, $70,200. 8.   November   22   Pay advertising for the current year, $23,100. 9.   December   30   Pay $3,500 cash dividends to stockholders.   The following information is available for the adjusting entries. Accrued interest on the notes payable at year-end amounted to $3,100 and will be paid January 1, 2022. Accrued salaries at year-end amounted to $2,100 and will be paid on January 5, 2022. Supplies remaining on hand at the end of the year equal $2,900.   1. 3. 6. & 10. Post the transactions, adjusting entries (ADJ. 1/2/3) and closing entries (Cl. entry) to the T-accounts. Be sure to include beginning balances. Cash Supplies Account Payable Interest Payable Common Stock Dividends Salaries Expense Interest Expense Account Receivable Land Salaries Payable Notes Payable Retain Earnings Service Revenue Advertising Expense Supplies Expense

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
icon
Concept explainers
Topic Video
Question

 

The general ledger of Jackrabbit Rentals at January 1, 2021, includes the following account balances:

 

Accounts Debits   Credits
Cash $ 47,500          
Accounts Receivable   31,700          
Land   116,800          
Accounts Payable           15,900  
Notes Payable (due in 2 years)           36,000  
Common Stock           106,000  
Retained Earnings           38,100  
Totals $ 196,000     $ 196,000  
 

 

The following is a summary of the transactions for the year:

 

1.   January   12   Provide services to customers on account, $68,400.
2.   February   25   Provide services to customers for cash, $78,300.
3.   March   19   Collect on accounts receivable, $46,300.
4.   April   30   Issue shares of common stock in exchange for $36,000 cash.
5.   June   16   Purchase supplies on account, $13,300.
6.   July   7   Pay on accounts payable, $11,900.
7.   September   30   Pay salaries for employee work in the current year, $70,200.
8.   November   22   Pay advertising for the current year, $23,100.
9.   December   30   Pay $3,500 cash dividends to stockholders.

 

The following information is available for the adjusting entries.

Accrued interest on the notes payable at year-end amounted to $3,100 and will be paid January 1, 2022. Accrued salaries at year-end amounted to $2,100 and will be paid on January 5, 2022. Supplies remaining on hand at the end of the year equal $2,900.

 

1. 3. 6. & 10. Post the transactions, adjusting entries (ADJ. 1/2/3) and closing entries (Cl. entry) to the T-accounts. Be sure to include beginning balances.

Cash
Supplies

Account Payable
Interest Payable
Common Stock
Dividends
Salaries Expense
Interest Expense
Account Receivable
Land
Salaries Payable
Notes Payable
Retain Earnings
Service Revenue
Advertising Expense
Supplies Expense

 

Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

Blurred answer
Knowledge Booster
Financial Statements
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education