Scott Loder opened Ledford Miniature Golf and Driving Range Inc. on March 1. The following selected events
Question:
Scott Loder opened Ledford Miniature Golf and Driving Range Inc. on March 1. The following selected events and transactions occurred during March.
Mar. 1 Invested $62,500 cash in the business in exchange for common stock.
3 Purchased Moises Moreno’s Golf Land for $47,500 cash. The price consists of land $12,500; building $27,500; and equipment $7,500. (Make one compound entry.)
5 Advertised the opening of the driving range and miniature golf course, paying advertising expenses of $2,000.
6 Paid cash $1,850 for a one-year insurance policy.
10 Purchased golf equipment for $3,125 from Moore Company, payable in 30 days.
18 Received golf fees of $1,500 in cash.
25 Declared and paid a $625 cash dividend.
30 Paid wages of $1,125.
30 Paid Moore Company in full.
31 Received $950 of fees in cash.
Ledford uses the following accounts:
Cash
Prepaid Insurance
Land
Buildings
Equipment
Accounts Payable
Common Stock
Dividends
Service Revenue
Advertising Expense
Salaries and Wages Expense
Instructions
Journalize the March transactions.
Step by Step Answer:
Intermediate Accounting
ISBN: 978-1118147290
15th edition
Authors: Donald E. Kieso, Jerry J. Weygandt, and Terry D. Warfield