January 30 Established the business when it acquired $51,000 cash from the issue of common stock. February
Fantastic news! We've Found the answer you've been seeking!
Question:
January 30 | Established the business when it acquired $51,000 cash from the issue of common stock. |
---|---|
February 1 | Paid rent for office space for two years, $16,700 cash. |
April 10 | Purchased $760 of supplies on account. |
July 1 | Received $24,500 cash in advance for services to be provided over the next year. |
July 20 | Paid $570 of the accounts payable from April 10. |
August 15 | Billed a customer $9,200 for services provided during August. |
September 15 | Completed a job and received $3,200 cash for services rendered. |
October 1 | Paid employee salaries of $38,000 cash. |
October 15 | Received $7,500 cash from accounts receivable. |
November 16 | Billed customers $34,000 for services rendered on account. |
December 1 | Paid a dividend of $1,300 cash to the stockholders. |
December 31 | Adjusted records to recognize the services provided on the contract of July 1. |
December 31 | Recorded $2,300 of accrued salaries as of December 31. |
December 31 | Recorded the rent expense for the year. (See February 1.) |
December 31 | Physically counted supplies; $80 was on hand at the end of the period. |
Required
a. Record the preceding transactions in the general journal.
b. Post the transactions to T-accounts. (You will also post the closing entries in Req E to these T-accounts.)
c. Prepare an adjusted Trial Balance.
d-1. Prepare an income statement for Year 1.
d-2. Prepare a statement of changes in stockholders’ equity for Year 1.
d-3. Prepare a balance sheet for Year 1.
d-4. Prepare a statement of cash flows for Year 1.
e. Record the entries to close the Year 1 temporary accounts to Retained Earnings in the general journal and post to the T-accounts.
f. Prepare a post-closing trial balance for December 31, Year 1.
Related Book For
Fundamental Financial Accounting Concepts
ISBN: 978-0078025907
9th edition
Authors: Thomas Edmonds, Christopher Edmonds
Posted Date: