Cullumber Print Corporation started business on January 1, 2024. The following transactions occurred in 2024. 1....

 

 

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Cullumber Print Corporation started business on January 1, 2024. The following transactions occurred in 2024. 1. On January 1, 2024, the company issued 12,000 common shares for $360,000. 2. On January 2, the company borrowed $47,700 from the bank. 3. On January 3, the company purchased equipment for $111,300 cash. 4. On January 1, the company rented a building at a cost of $900 per month. The company agreed to pay two additional months in advance for January and February 2025 along with the payment for the full year's rent for 2024. 5. Initial supplies were purchased for $89,300 cash. 6. Additional purchases of supplies during the year totalled $196,400, all on account. 7. Sales during the year totalled $492,000, of which $452,000 were on account. 8. Collections from customers on account totalled $424,000. 9. Payments to suppliers on account totalled $188,600. 10. The cost of supplies that was used during the year was $218,800. 11. Wages expense totalled $94,000 for the year. Of this amount, $4,400 was unpaid at year end. 12. 13. Interest of $2,650 on the loan payable from the bank was paid at December 31. In addition, $5,300 of the loan principal was repaid at that time. Miscellaneous expenses of $8,400 were paid during the year. 14. The company declared a dividend of $2,700 but paid only $1,350 of this amount. Show the effects of the transactions on the basic accounting equation, by preparing a template like the one below: (If an amount reduces the account balance then enter with negative sign. Indicate whether it is Revenue, Expense or Dividend Declared in the last column. In case if there is no effect then select "Not Applicable") Trans. 1. 2. $ 69 Cash 270,000 $ 44.100 3. 114,000 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. Accounts Receivable Assets Supplies $ Total $ $ $ 14 F 69 Cullumber Print Corporation started business on January 1, 2024. The following transactions occurred in 2024. 1. On January 1, 2024, the company issued 12,000 common shares for $360,000. 2. On January 2, the company borrowed $47,700 from the bank. 3. On January 3, the company purchased equipment for $111,300 cash. 4. On January 1, the company rented a building at a cost of $900 per month. The company agreed to pay two additional months in advance for January and February 2025 along with the payment for the full year's rent for 2024. 5. Initial supplies were purchased for $89,300 cash. 6. Additional purchases of supplies during the year totalled $196,400, all on account. 7. Sales during the year totalled $492,000, of which $452,000 were on account. 8. Collections from customers on account totalled $424,000. 9. Payments to suppliers on account totalled $188,600. 10. The cost of supplies that was used during the year was $218,800. 11. Wages expense totalled $94,000 for the year. Of this amount, $4,400 was unpaid at year end. 12. 13. Interest of $2,650 on the loan payable from the bank was paid at December 31. In addition, $5,300 of the loan principal was repaid at that time. Miscellaneous expenses of $8,400 were paid during the year. 14. The company declared a dividend of $2,700 but paid only $1,350 of this amount. Show the effects of the transactions on the basic accounting equation, by preparing a template like the one below: (If an amount reduces the account balance then enter with negative sign. Indicate whether it is Revenue, Expense or Dividend Declared in the last column. In case if there is no effect then select "Not Applicable") Trans. 1. 2. $ 69 Cash 270,000 $ 44.100 3. 114,000 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. Accounts Receivable Assets Supplies $ Total $ $ $ 14 F 69

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