Sandhill had the following account balances at December 31, 2023: Cash Accounts Receivable Supplies Prepaid Insurance...

     

Transcribed Image Text:

Sandhill had the following account balances at December 31, 2023: Cash Accounts Receivable Supplies Prepaid Insurance Inventory Equipment 1. 2. 3. 4. 5. 6. 7. $24,000 Accumulated Depreciation, Equipment 8. 25,000 During 2024, the following transactions occurred: 50,000 3,000 46,500 75,000 Wages Payable Accounts Payable Common Shares Retained Earnings 25,000 The company paid $47,800 for utilities expenses. Ingredients with a cost of $200,000 were used in paninis that were sold. Payments for ingredients purchased on account totalled $234,000. The company paid $101,000 for wages. A dividend of $37,200 was declared and paid at the end of the year. 6,000 50,000 75,000 67,500 Sales of paninis for cash were $691,000, and sales of paninis on account were $60,000. Purchases of ingredients were $186,000, all on account. Collections from customers for sales on account totalled $19,100. Information for adjusting entries: 9. 10. 11. 12. The balance in the Supplies account at the end of 2024 was $1,200. Wages owed to employees at the end of 2024 were $3,720. At the end of 2024, the account balance in Prepaid Insurance was $1,500. The equipment had an estimated useful life of eight years with a residual value of $3,000. Prepare journal entries for transactions 1 through 8. Create new accounts as necessary. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no er is required, select "No Entry" for the account titles and enter 0 for the amounts.) Prepare adjusting journal entries for adjustments 9 to 12. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Sandhill had the following account balances at December 31, 2023: Cash Accounts Receivable Supplies Prepaid Insurance Inventory Equipment 1. 2. 3. 4. 5. 6. 7. $24,000 Accumulated Depreciation, Equipment 8. 25,000 During 2024, the following transactions occurred: 50,000 3,000 46,500 75,000 Wages Payable Accounts Payable Common Shares Retained Earnings 25,000 The company paid $47,800 for utilities expenses. Ingredients with a cost of $200,000 were used in paninis that were sold. Payments for ingredients purchased on account totalled $234,000. The company paid $101,000 for wages. A dividend of $37,200 was declared and paid at the end of the year. 6,000 50,000 75,000 67,500 Sales of paninis for cash were $691,000, and sales of paninis on account were $60,000. Purchases of ingredients were $186,000, all on account. Collections from customers for sales on account totalled $19,100. Information for adjusting entries: 9. 10. 11. 12. The balance in the Supplies account at the end of 2024 was $1,200. Wages owed to employees at the end of 2024 were $3,720. At the end of 2024, the account balance in Prepaid Insurance was $1,500. The equipment had an estimated useful life of eight years with a residual value of $3,000. Prepare journal entries for transactions 1 through 8. Create new accounts as necessary. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no er is required, select "No Entry" for the account titles and enter 0 for the amounts.) Prepare adjusting journal entries for adjustments 9 to 12. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.)

Answer rating: 100% (QA)

1 The journal entries for transactions 1 through 8 Entry Account Titles and Explanation Debit Credit ... View the full answer