Journal entries is a systematic method of recording transactions as and when they occur. It is a summary of transactions divided into the debit and credit items that are recorded chronologically. It is an act of keeping and recoding all the transactions occurring in the business. The journal entries for the transactions to be entered into the books of local government

Question

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Answer 1

Question

Chapter 19, Problem 19.15P

(a)

To determine

Introduction: Journal entries is a systematic method of recording transactions as and when they occur. It is a summary of transactions divided into the debit and credit items that are recorded chronologically. It is an act of keeping and recoding all the transactions occurring in the business.

The journal entries for the transactions to be entered into the books of local government

(a)

Expert Solution

Answer to Problem 19.15P

Journal Entries

S.no	Date	Particulars	Debit (in $)	Credit (in$)
1		Equipment purchase	25,000
		Cash		25,000

2		Cash	100,000
		Revenue		100,000

3		Cash	55,000
		Investment		50,000
		Gain on sale of investment		5,000

4		Cash	1,000,000
		Issue of bond		1,000,000

		Construction expenses	1,000,000
		Cash		1,000,000

Explanation of Solution

Recording the amount released from the general fund for the purchase of equipment
Recording the donation received from donor
Recording the sale of investment
Recording the issue of bonds

(b)

To determine

Introduction: Journal entries is a systematic method of recording transactions as and when they occur. It is a summary of transactions divided into the debit and credit items that are recorded chronologically. It is an act of keeping and recoding all the transactions occurring in the business.

The journal entries for the transactions to be entered into the books of Voluntary Health and Welfare Organization

(b)

Expert Solution

Answer to Problem 19.15P

Journal Entries

S.no	Date	Particulars	Debit (in $)	Credit (in$)
1		Equipment purchase	25,000
		Cash		25,000

		Cash	25,000
		Net assets realized- Asset acquisition		25,000

		Net asset realized- Asset acquisition	25,000
		Cash		25,000

2		Cash	55,000
		Investment- common stock		50,000
		Gain on sale of investment		5,000

3		Cash	1,000,000
		Bonds payable		1,000,000

		Buildings	1,000,000
		Cash		1,000,000

Explanation of Solution

Recording the asset acquisition
Recording the donation received from donor
Recording the sale of investment
Recording the issue of bonds

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Students have asked these similar questions

Answer both i and ii. please answer asap Assume instead that Good Charity prepares its annual financial statements using the restricted fund method of accounting for contributions and has chosen to have a general, capital and endowment fund to account for its activities. Jan 1: a donor contributes land for a future operations site. Land has a fair value of $32,000. Feb 1: A donor contributes $60,000 on the condition that the principal amount be invested in marketable securities and that only the income earned from the investment be spent on operations. Income of $2,000 was earned and received during 2020 on these investments. General donations of $85,000 were received during 2020. d) Feb 1: the government gave $80,000 to Good Charity to purchase equipment and furniture with a useful life of 10 years. This was all used to purchase $100,000 of equipment and furniture on July 1, 2020 and the operation opened in a rented facility on July 2, 2020. e) Costs of $72,000 were incurred…

b. Prepare journal entries for the following selected transactions of the Eastern Kidney Association, which uses the restricted fund method and has an operating fund, a capital fund and an endowment fund: ● ● ● Pledges totaling $325,000 were received of which $65,000 applies to the operations of the following year. It is estimated that 3% of the pledges will be uncollectible. The association purchased office equipment at a cost of $5,100. Pledges of $285,000 were collected and pledges totaling $3,750 were written off as uncollectible. Air time with a value of $7,200 was donated by a local radio station. Interest and dividends received were $13,700 on endowment fund investments. Endowment fund earnings are unrestricted. Depreciation for the year amounted to $35,600.

1

Answer 2

Question

Chapter 19, Problem 19.15P

(a)

To determine

Introduction: Journal entries is a systematic method of recording transactions as and when they occur. It is a summary of transactions divided into the debit and credit items that are recorded chronologically. It is an act of keeping and recoding all the transactions occurring in the business.

The journal entries for the transactions to be entered into the books of local government

(a)

Expert Solution

Answer to Problem 19.15P

Journal Entries

S.no	Date	Particulars	Debit (in $)	Credit (in$)
1		Equipment purchase	25,000
		Cash		25,000

2		Cash	100,000
		Revenue		100,000

3		Cash	55,000
		Investment		50,000
		Gain on sale of investment		5,000

4		Cash	1,000,000
		Issue of bond		1,000,000

		Construction expenses	1,000,000
		Cash		1,000,000

Explanation of Solution

Recording the amount released from the general fund for the purchase of equipment
Recording the donation received from donor
Recording the sale of investment
Recording the issue of bonds

(b)

To determine

Introduction: Journal entries is a systematic method of recording transactions as and when they occur. It is a summary of transactions divided into the debit and credit items that are recorded chronologically. It is an act of keeping and recoding all the transactions occurring in the business.

The journal entries for the transactions to be entered into the books of Voluntary Health and Welfare Organization

(b)

Expert Solution

Answer to Problem 19.15P

Journal Entries

S.no	Date	Particulars	Debit (in $)	Credit (in$)
1		Equipment purchase	25,000
		Cash		25,000

		Cash	25,000
		Net assets realized- Asset acquisition		25,000

		Net asset realized- Asset acquisition	25,000
		Cash		25,000

2		Cash	55,000
		Investment- common stock		50,000
		Gain on sale of investment		5,000

3		Cash	1,000,000
		Bonds payable		1,000,000

		Buildings	1,000,000
		Cash		1,000,000

Explanation of Solution

Recording the asset acquisition
Recording the donation received from donor
Recording the sale of investment
Recording the issue of bonds

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Answer 3

Question

Chapter 19, Problem 19.15P

(a)

To determine

Introduction: Journal entries is a systematic method of recording transactions as and when they occur. It is a summary of transactions divided into the debit and credit items that are recorded chronologically. It is an act of keeping and recoding all the transactions occurring in the business.

The journal entries for the transactions to be entered into the books of local government

(a)

Expert Solution

Answer to Problem 19.15P

Journal Entries

S.no	Date	Particulars	Debit (in $)	Credit (in$)
1		Equipment purchase	25,000
		Cash		25,000

2		Cash	100,000
		Revenue		100,000

3		Cash	55,000
		Investment		50,000
		Gain on sale of investment		5,000

4		Cash	1,000,000
		Issue of bond		1,000,000

		Construction expenses	1,000,000
		Cash		1,000,000

Explanation of Solution

Recording the amount released from the general fund for the purchase of equipment
Recording the donation received from donor
Recording the sale of investment
Recording the issue of bonds

(b)

To determine

Introduction: Journal entries is a systematic method of recording transactions as and when they occur. It is a summary of transactions divided into the debit and credit items that are recorded chronologically. It is an act of keeping and recoding all the transactions occurring in the business.

The journal entries for the transactions to be entered into the books of Voluntary Health and Welfare Organization

(b)

Expert Solution

Answer to Problem 19.15P

Journal Entries

S.no	Date	Particulars	Debit (in $)	Credit (in$)
1		Equipment purchase	25,000
		Cash		25,000

		Cash	25,000
		Net assets realized- Asset acquisition		25,000

		Net asset realized- Asset acquisition	25,000
		Cash		25,000

2		Cash	55,000
		Investment- common stock		50,000
		Gain on sale of investment		5,000

3		Cash	1,000,000
		Bonds payable		1,000,000

		Buildings	1,000,000
		Cash		1,000,000

Explanation of Solution

Recording the asset acquisition
Recording the donation received from donor
Recording the sale of investment
Recording the issue of bonds

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Answer 4

Question

Chapter 19, Problem 19.15P

(a)

To determine

Introduction: Journal entries is a systematic method of recording transactions as and when they occur. It is a summary of transactions divided into the debit and credit items that are recorded chronologically. It is an act of keeping and recoding all the transactions occurring in the business.

The journal entries for the transactions to be entered into the books of local government

(a)

Expert Solution

Answer to Problem 19.15P

Journal Entries

S.no	Date	Particulars	Debit (in $)	Credit (in$)
1		Equipment purchase	25,000
		Cash		25,000

2		Cash	100,000
		Revenue		100,000

3		Cash	55,000
		Investment		50,000
		Gain on sale of investment		5,000

4		Cash	1,000,000
		Issue of bond		1,000,000

		Construction expenses	1,000,000
		Cash		1,000,000

Explanation of Solution

Recording the amount released from the general fund for the purchase of equipment
Recording the donation received from donor
Recording the sale of investment
Recording the issue of bonds

(b)

To determine

Introduction: Journal entries is a systematic method of recording transactions as and when they occur. It is a summary of transactions divided into the debit and credit items that are recorded chronologically. It is an act of keeping and recoding all the transactions occurring in the business.

The journal entries for the transactions to be entered into the books of Voluntary Health and Welfare Organization

(b)

Expert Solution

Answer to Problem 19.15P

Journal Entries

S.no	Date	Particulars	Debit (in $)	Credit (in$)
1		Equipment purchase	25,000
		Cash		25,000

		Cash	25,000
		Net assets realized- Asset acquisition		25,000

		Net asset realized- Asset acquisition	25,000
		Cash		25,000

2		Cash	55,000
		Investment- common stock		50,000
		Gain on sale of investment		5,000

3		Cash	1,000,000
		Bonds payable		1,000,000

		Buildings	1,000,000
		Cash		1,000,000

Explanation of Solution

Recording the asset acquisition
Recording the donation received from donor
Recording the sale of investment
Recording the issue of bonds

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Answer 5

Chapter 19, Problem 19.15P

(a)

To determine

Introduction: Journal entries is a systematic method of recording transactions as and when they occur. It is a summary of transactions divided into the debit and credit items that are recorded chronologically. It is an act of keeping and recoding all the transactions occurring in the business.

The journal entries for the transactions to be entered into the books of local government

(a)

Expert Solution

Answer to Problem 19.15P

Journal Entries

S.no	Date	Particulars	Debit (in $)	Credit (in$)
1		Equipment purchase	25,000
		Cash		25,000

2		Cash	100,000
		Revenue		100,000

3		Cash	55,000
		Investment		50,000
		Gain on sale of investment		5,000

4		Cash	1,000,000
		Issue of bond		1,000,000

		Construction expenses	1,000,000
		Cash		1,000,000

Explanation of Solution

Recording the amount released from the general fund for the purchase of equipment
Recording the donation received from donor
Recording the sale of investment
Recording the issue of bonds

(b)

To determine

Introduction: Journal entries is a systematic method of recording transactions as and when they occur. It is a summary of transactions divided into the debit and credit items that are recorded chronologically. It is an act of keeping and recoding all the transactions occurring in the business.

The journal entries for the transactions to be entered into the books of Voluntary Health and Welfare Organization

(b)

Expert Solution

Answer to Problem 19.15P

Journal Entries

S.no	Date	Particulars	Debit (in $)	Credit (in$)
1		Equipment purchase	25,000
		Cash		25,000

		Cash	25,000
		Net assets realized- Asset acquisition		25,000

		Net asset realized- Asset acquisition	25,000
		Cash		25,000

2		Cash	55,000
		Investment- common stock		50,000
		Gain on sale of investment		5,000

3		Cash	1,000,000
		Bonds payable		1,000,000

		Buildings	1,000,000
		Cash		1,000,000

Explanation of Solution

Recording the asset acquisition
Recording the donation received from donor
Recording the sale of investment
Recording the issue of bonds

Answer 6

Chapter 19, Problem 19.15P

(a)

To determine

Introduction: Journal entries is a systematic method of recording transactions as and when they occur. It is a summary of transactions divided into the debit and credit items that are recorded chronologically. It is an act of keeping and recoding all the transactions occurring in the business.

The journal entries for the transactions to be entered into the books of local government

(a)

Expert Solution

Answer to Problem 19.15P

Journal Entries

S.no	Date	Particulars	Debit (in $)	Credit (in$)
1		Equipment purchase	25,000
		Cash		25,000

2		Cash	100,000
		Revenue		100,000

3		Cash	55,000
		Investment		50,000
		Gain on sale of investment		5,000

4		Cash	1,000,000
		Issue of bond		1,000,000

		Construction expenses	1,000,000
		Cash		1,000,000

Explanation of Solution

Recording the amount released from the general fund for the purchase of equipment
Recording the donation received from donor
Recording the sale of investment
Recording the issue of bonds

Answer 7

Chapter 19, Problem 19.15P

(a)

To determine

Introduction: Journal entries is a systematic method of recording transactions as and when they occur. It is a summary of transactions divided into the debit and credit items that are recorded chronologically. It is an act of keeping and recoding all the transactions occurring in the business.

The journal entries for the transactions to be entered into the books of local government

Answer 8

(a)

Expert Solution

Answer to Problem 19.15P

Journal Entries

S.no	Date	Particulars	Debit (in $)	Credit (in$)
1		Equipment purchase	25,000
		Cash		25,000

2		Cash	100,000
		Revenue		100,000

3		Cash	55,000
		Investment		50,000
		Gain on sale of investment		5,000

4		Cash	1,000,000
		Issue of bond		1,000,000

		Construction expenses	1,000,000
		Cash		1,000,000

Answer 9

(a)

Expert Solution

Answer 10

(a)

Expert Solution

Answer 11

Expert Solution

Answer 12

Explanation of Solution

Recording the amount released from the general fund for the purchase of equipment
Recording the donation received from donor
Recording the sale of investment
Recording the issue of bonds

Answer 13

(b)

To determine

Introduction: Journal entries is a systematic method of recording transactions as and when they occur. It is a summary of transactions divided into the debit and credit items that are recorded chronologically. It is an act of keeping and recoding all the transactions occurring in the business.

The journal entries for the transactions to be entered into the books of Voluntary Health and Welfare Organization

(b)

Expert Solution

Answer to Problem 19.15P

Journal Entries

S.no	Date	Particulars	Debit (in $)	Credit (in$)
1		Equipment purchase	25,000
		Cash		25,000

		Cash	25,000
		Net assets realized- Asset acquisition		25,000

		Net asset realized- Asset acquisition	25,000
		Cash		25,000

2		Cash	55,000
		Investment- common stock		50,000
		Gain on sale of investment		5,000

3		Cash	1,000,000
		Bonds payable		1,000,000

		Buildings	1,000,000
		Cash		1,000,000

Explanation of Solution

Recording the asset acquisition
Recording the donation received from donor
Recording the sale of investment
Recording the issue of bonds

Answer 14

(b)

To determine

Introduction: Journal entries is a systematic method of recording transactions as and when they occur. It is a summary of transactions divided into the debit and credit items that are recorded chronologically. It is an act of keeping and recoding all the transactions occurring in the business.

The journal entries for the transactions to be entered into the books of Voluntary Health and Welfare Organization

Answer 15

(b)

Expert Solution

Answer to Problem 19.15P

Journal Entries

S.no	Date	Particulars	Debit (in $)	Credit (in$)
1		Equipment purchase	25,000
		Cash		25,000

		Cash	25,000
		Net assets realized- Asset acquisition		25,000

		Net asset realized- Asset acquisition	25,000
		Cash		25,000

2		Cash	55,000
		Investment- common stock		50,000
		Gain on sale of investment		5,000

3		Cash	1,000,000
		Bonds payable		1,000,000

		Buildings	1,000,000
		Cash		1,000,000