Create journal entries for each transactions and post them to the correct ledger/t-accounts. Standard Transactions: 1. On

Fantastic news! We've Found the answer you've been seeking!

Question:

Create journal entries for each transactions and post them to the correct ledger/t-accounts.

Standard Transactions:

1. On November 1, Chris Clark deposited $25,000 in a bank account in the name of NetSolutions.

2. On November 5, NetSolutions paid $20,000 for the purchase of land as a future building site.

3. On November 10, NetSolutions purchased supplies on account for $1,350.

4. On November 18, NetSolutions received cash of $7,500 from customers for services provided.

5. On November 30, 2018, NetSolutions paid the following expenses: wages, $2,125; rent, $800; utilities, $450; and miscellaneous, $275.

6. On November 30, 2018, NetSolutions paid creditors on account, $950.

7. On November 30, 2018, Chris Clark determined that the cost of supplies on hand at the end of the month was $550.

8. On November 30, 2018, Chris Clark withdrew $2,000 from NetSolutions for personal use.

9. On December 1, NetSolutions paid rent for December, $800.

10. On December 1, NetSolutions received an offer from a local retailer to rent the land purchased on November 5. The retailer plans to use the land as a parking lot for its employees and customers. NetSolutions agreed to rent the land to the retailer for three months, with the rent payable in advance. NetSolutions received $360 for three months’ rent beginning December 1.

11. On December 4, NetSolutions purchased office equipment on account from Executive Supply Co. for $1,800.

12. On December 6, NetSolutions paid $180 for a newspaper advertisement.

13. On December 11, NetSolutions paid creditors $400.

14. On December 13, NetSolutions paid a receptionist and a part-time assistant $950 for two weeks’ wages.

15. On December 16, NetSolutions received $3,100 from fees earned for the first half of December.

16. Fees earned on account totaled $1,750 for the first half of December.

17. On December 20, NetSolutions paid $900 to Executive Supply Co. on the $1,800 debt owed from the December 4 transaction.

18. On December 21, NetSolutions received $650 from customers in payment of their accounts.

19. On December 23, NetSolutions paid $1,450 for supplies.

20. On December 27, NetSolutions paid the receptionist and the part-time assistant $1,200 for two weeks’ wages.

21. On December 31, NetSolutions paid its $310 telephone bill for the month.

22. On December 31, NetSolutions paid its $225 electric bill for the month.

23. On December 31, NetSolutions received $2,870 from fees earned for the second half of December.

24. On December 31, fees earned on account totaled $1,120 for the second half of December.

25. On December 31, Chris Clark withdrew $2,000 for personal use

Adjusting Entries:

26. Assume that NetSolutions signed an agreement with Dankner Co. on December 15 to provide services at a rate of $20 per hour. As of December 31, NetSolutions had provided 25 hours of services. The revenue will be billed on January 15.

27. NetSolutions pays it employees biweekly. During December, NetSolutions paid wages of $950 on December 13 and $1,200 on December 27. As of December 31, NetSolutions owes $250 of wages to employees for Monday and Tuesday, December 30 and 31.

28. NetSolutions paid wages of $1,275 on January 10. This payment includes the $250 of accrued wages recorded on December 31.

29. The December 31 unadjusted trial balance of NetSolutions indicates a balance in the unearned rent account of $360. This balance represents the receipt of three months’ rent on December 1 for December, January, and February. At the end of December, one month’s rent has been earned.

30. The December 31, 2018, unadjusted trial balance of NetSolutions indicates a balance in the supplies account of $2,000. Some of these supplies were used during December, and some are still on hand (not used). Assuming that on December 31 the amount of supplies on hand is $760, the amount to be transferred from the asset account to the expense account is computed as follows:

31. The December 31, unadjusted trial balance of NetSolutions indicates a balance in the prepaid insurance account of $2,400. The debit balance of $2,400 represents the December 1 prepayment of insurance for 12 months. At the end of December, the insurance expense account is increased (debited), and the prepaid insurance account is decreased (credited) by $200, the insurance for one month.

32. NetSolutions’ office equipment depreciates $50 during December.