The November 30, 2021, unadjusted trial balance of Quick Gigs is found in the Trial balance tab. Quick Gigs had the following transactions and events in December 2021. December 2 Paid $1,360 cash to Lakeside Mall for Quick Gigs' share of mall advertising costs. December 3 Paid $720 cash for minor repairs to the company's computer. December 4 Received $5,900 cash from Fox Engineering Compnay for the receivable from November. December 10 Paid cash to Paul Aloan for six days of work at the rate of $200 per day. December 14 Notified by Fox Engineering Compnay that Quick Gigs' bid of $8,100 on a proposed project has been accepted. F a $2,050 cash advance to Quick Gigs. December 15 Purchased $1,650 of computer supplies on credit from Kuhl Office Products. December 16 Sent a reminder to Sanchez Compnay to pay the fee for services recorded on November 8. December 20 Completed a project for Potter Corporation and received $6,700 cash. December 22-26 Took the week off for the holidays. December 28 Received $3,600 cash from Sanchez Compnay on its receivable. December 29 Reimbursed B. Aloan for business automobile mileage (650 miles at $0.32 per mile). December 31 Paid $1,900 cash for dividends. The following additional facts are collected for use in making adjusting entries prior to preparing financial statements for the company's first three months: a. The December 31 inventory count of computer supplies shows $1,020 still available. b. Three months have expired since the 12-month insurance premium was paid in advance. c. As of December 31, Paul Aloan has not been paid for four days of work at $200 per day. d. The computer system, acquired on October 1, is expected to have a four-year life with no salvage value. e. The office equipment, acquired on October 1, is expected to have a five-year life with no salvage value. f. Three of the four months' prepaid rent has expired. Requirement General Journal General Ledger Trial Balance Income St of Retained Statement Earnings Balance Sheet Impact on Income For each adjustment, indicate the income statement and balance sheet account affected, and the impact on net income. If an adjustment caused net income to decrease, enter the amount as a negative value. Net income before adjustments can be found on the income statement tab. (Hint: Select unadjusted on the drop-down.) Unadjusted Account affecting the: Adjusting entry related to: Income Statement Balance Sheet Impact on net income a) Computer supplies b) Prepaid insurance c) Accrued wages d) Depreciation-Computer equipment Requirement General Journal General Trial Balance Ledger Income Statement St of Retained Earnings Balance Sheet Impact on Income Show less For each adjustment, indicate the income statement and balance sheet account affected, and the impact on net income. If an adjustment caused net income to decrease, enter the amount as a negative value. Net income before adjustments can be found on the income statement tab. (Hint: Select unadjusted on the drop-down.) Unadjusted Account affecting the Adjusting entry related to: Impact on net Income Statement Balance Sheet income a) Computer supplies b) Prepaid insurance c) Accrued wages d) Depreciation-Computer equipment e) Depreciation-Office equipment Prepaid rent

The November 30, 2021, unadjusted trial balance of Quick Gigs is found in the Trial balance tab. Quick Gigs had the following transactions and events in December 2021. December 2 Paid $1,360 cash to Lakeside Mall for Quick Gigs' share of mall advertising costs. December 3 Paid $720 cash for minor repairs to the company's computer. December 4 Received $5,900 cash from Fox Engineering Compnay for the receivable from November. December 10 Paid cash to Paul Aloan for six days of work at the rate of $200 per day. December 14 Notified by Fox Engineering Compnay that Quick Gigs' bid of $8,100 on a proposed project has been accepted. F a $2,050 cash advance to Quick Gigs. December 15 Purchased $1,650 of computer supplies on credit from Kuhl Office Products. December 16 Sent a reminder to Sanchez Compnay to pay the fee for services recorded on November 8. December 20 Completed a project for Potter Corporation and received $6,700 cash. December 22-26 Took the week off for the holidays. December 28 Received $3,600 cash from Sanchez Compnay on its receivable. December 29 Reimbursed B. Aloan for business automobile mileage (650 miles at $0.32 per mile). December 31 Paid $1,900 cash for dividends. The following additional facts are collected for use in making adjusting entries prior to preparing financial statements for the company's first three months: a. The December 31 inventory count of computer supplies shows $1,020 still available. b. Three months have expired since the 12-month insurance premium was paid in advance. c. As of December 31, Paul Aloan has not been paid for four days of work at $200 per day. d. The computer system, acquired on October 1, is expected to have a four-year life with no salvage value. e. The office equipment, acquired on October 1, is expected to have a five-year life with no salvage value. f. Three of the four months' prepaid rent has expired. Requirement General Journal General Ledger Trial Balance Income St of Retained Statement Earnings Balance Sheet Impact on Income For each adjustment, indicate the income statement and balance sheet account affected, and the impact on net income. If an adjustment caused net income to decrease, enter the amount as a negative value. Net income before adjustments can be found on the income statement tab. (Hint: Select unadjusted on the drop-down.) Unadjusted Account affecting the: Adjusting entry related to: Income Statement Balance Sheet Impact on net income a) Computer supplies b) Prepaid insurance c) Accrued wages d) Depreciation-Computer equipment Requirement General Journal General Trial Balance Ledger Income Statement St of Retained Earnings Balance Sheet Impact on Income Show less For each adjustment, indicate the income statement and balance sheet account affected, and the impact on net income. If an adjustment caused net income to decrease, enter the amount as a negative value. Net income before adjustments can be found on the income statement tab. (Hint: Select unadjusted on the drop-down.) Unadjusted Account affecting the Adjusting entry related to: Impact on net Income Statement Balance Sheet income a) Computer supplies b) Prepaid insurance c) Accrued wages d) Depreciation-Computer equipment e) Depreciation-Office equipment Prepaid rent

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter6: Cash And Receivables

Section: Chapter Questions

Problem 9RE: Refer to RE6-8. On April 23, 2020, McKinncy Co. receives a check, from Mangold Corporation for...

See similar textbooks