Chapter 2, Problem P2.41CT

To determine

Journal Entries:

Journal entries are the medium of logging transaction carried by a business organization during an accounting period.

T-accounts:

T-accounts are an informal accounting term used to describe ledger accounts which appears as an alphabet T and uses dual entry booking.

Income Statement:

The statement which is concerned with revenues earned and expenses occurred and determining income or loss during particular period.

Statement of owner’s equity:

A statement of owner’s equity shows the balance of owner’s equity employed in the overall fund of a business.

Balance Sheet:

A balance sheet is a financial statement which displays the total assets, liabilities and owner’s equity of a business entity.

To determine:

1. Journalizing the April transaction of Redmond Company for the year 2018.

2. Posting the journal entries into their respective T-accounts.

3. Prepare the income statement, statement of owner’s equity, and balance sheet of Redmond Company for the month ended April 30, 2018.