March 31, 2022 marks the end of the first month of operations for Minnie's Doggie Day...

  

Transcribed Image Text:

March 31, 2022 marks the end of the first month of operations for Minnie's Doggie Day Care Limited. Ms. Socks & Mr. Fore have come to you for assistance in preparing their financial statements for the month ended March 31, 2022. To assist you they have provided you with their chart of accounts and a list of the transactions for the month of March 2022. Minnie's Doggie Day Care Limited Chart of Accounts Cash Accounts receivable Prepaid insurance Dog Care Supplies Land Building Accounts payable Salaries payable Unearned revenue Note payable Share Capital Retained earnings Dividends Dog care revenue Advertising expense Dog supplies expense Insurance expense Office supplies expense Salary expense Utilities expense The following are the transactions for the month of March 2022: 1-Mar-22 The company issued shares to Ms. Mouse and received $15,000 cash. 2-Mar-22 Minnie's paid $3,600 for a one year insurance policy for March 1, 2022 to February 28, 2023. 4-Mar-22 The company signed a note with the bank for $150,000. The 4% note is to be repaid with interest on September 1, 2023. 6-Mar-22 The company purchased land at a cost of $ 20,000 & a building at a cost of $120,000. 7-Mar-22 Miinnie's purchased $4,600 worth of supplies on account. 14-Mar-22 Minnie's Doggie Day Care Limited opened for business. 15-Mar-22 The company received $1,000 from a customer for services to be performed in April & May. 23-Mar-22 The corporation paid the following operating expenses for the month of March: $800 for advertising expenses; and $4,400 for salaries. 24-Mar-22 The company paid cash for 1/2 of the amount owing from the March 7 purchase of supplies. 31-Mar-22 Between opening day & March 31, the company performed services & billed $25,000, receiving cash of $20,000, the remaining amount will be received in April. 31-Mar-22 Minnie's received a bill for utilities for the month of March in the amount of $400. 31-Mar-22 Minnie's paid a dividend of $800 to Ms Mouse, the shareholder. Note: not all accounts listed in the chart of accounts will need to be used. Required: A. Prepare the journal entries for the month of March 2022. (if no entry is required indicate why) B. Post the journal entries prepared in part A to the appropriate T-accounts. Using the attached template. C. Prepare the trial balance at March 31, 2022 using the attached template. D. Prepare an income statement for the month ended March 31, 2022 for Minnie's Doggie Day Care Limited. E. Prepare the statement of changes in equity for the month ended March 31, 2022. F. Prepare the balance sheet as of March 31, 2022 for Minnie's Doggie Day Care Limited. March 31, 2022 marks the end of the first month of operations for Minnie's Doggie Day Care Limited. Ms. Socks & Mr. Fore have come to you for assistance in preparing their financial statements for the month ended March 31, 2022. To assist you they have provided you with their chart of accounts and a list of the transactions for the month of March 2022. Minnie's Doggie Day Care Limited Chart of Accounts Cash Accounts receivable Prepaid insurance Dog Care Supplies Land Building Accounts payable Salaries payable Unearned revenue Note payable Share Capital Retained earnings Dividends Dog care revenue Advertising expense Dog supplies expense Insurance expense Office supplies expense Salary expense Utilities expense The following are the transactions for the month of March 2022: 1-Mar-22 The company issued shares to Ms. Mouse and received $15,000 cash. 2-Mar-22 Minnie's paid $3,600 for a one year insurance policy for March 1, 2022 to February 28, 2023. 4-Mar-22 The company signed a note with the bank for $150,000. The 4% note is to be repaid with interest on September 1, 2023. 6-Mar-22 The company purchased land at a cost of $ 20,000 & a building at a cost of $120,000. 7-Mar-22 Miinnie's purchased $4,600 worth of supplies on account. 14-Mar-22 Minnie's Doggie Day Care Limited opened for business. 15-Mar-22 The company received $1,000 from a customer for services to be performed in April & May. 23-Mar-22 The corporation paid the following operating expenses for the month of March: $800 for advertising expenses; and $4,400 for salaries. 24-Mar-22 The company paid cash for 1/2 of the amount owing from the March 7 purchase of supplies. 31-Mar-22 Between opening day & March 31, the company performed services & billed $25,000, receiving cash of $20,000, the remaining amount will be received in April. 31-Mar-22 Minnie's received a bill for utilities for the month of March in the amount of $400. 31-Mar-22 Minnie's paid a dividend of $800 to Ms Mouse, the shareholder. Note: not all accounts listed in the chart of accounts will need to be used. Required: A. Prepare the journal entries for the month of March 2022. (if no entry is required indicate why) B. Post the journal entries prepared in part A to the appropriate T-accounts. Using the attached template. C. Prepare the trial balance at March 31, 2022 using the attached template. D. Prepare an income statement for the month ended March 31, 2022 for Minnie's Doggie Day Care Limited. E. Prepare the statement of changes in equity for the month ended March 31, 2022. F. Prepare the balance sheet as of March 31, 2022 for Minnie's Doggie Day Care Limited.

Answer rating: 100% (QA)

Minnies Doggie Day Care Limited Journal Entries for the month of Mar 2022 All Fig in Date Particulars Debit Credit 1st Mar Cash 1500000 Ms Mouse Capital 1500000 Being Share issued for cash as Capital ... View the full answer