The following transactions occurred for Olivier Bondar Ltd., an restaurant management consulting service, during May, 2016:...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
The following transactions occurred for Olivier Bondar Ltd., an restaurant management consulting service, during May, 2016: May 1 May 1 May 2 May 3 May 4 May 5 Received a cheque in the amount of $5,000 from TUV Restaurant Ltd., for a restaurant food cleanliness assessment to be conducted in June. Paid $5,000 for office rent for the month of May. Purchased office supplies for $3,000 on account. Completed a consultation project for McDanny's Restaurant and billed them $27,000 for the work. Purchased a laptop computer for $3,000 in exchange for a note payable due in 45 days. Olivier Bondar was a little short on cash, so the manager made an application for a bank loan in the amount of $20,000. It is expected that the bank will make their decision regarding the loan next week. May 6 Received an invoice from the utilities company for electricity in the amount of $300. May 10 Bank approved the loan and deposited $20,000 into Olivier Bondar's bank account. First loan payment is due on June 10. May 11 Paid for several invoices outstanding from April for goods and services received for a total of $8,000. The breakdown of the invoice costs are: telephone expense $500; advertising expense $3,000; office furniture $2,000; office supplies $2,500. May 13 Paid employee salaries owing from May 1 to May 13 in the amount of $3,000. May 14 Completed consulting work for a U.S. client and invoiced $18,000 US (US funds). The Canadian equivalent is $25,000 CAD. May 15 Received $25,000 cash for work done and invoiced in April. May 18 Hired a new employee who will begin work on May 25. Salary will be $2,500 every two weeks. May 21 Placed an order request for new shelving for the office. Catalogue price is $2,500. May 27 Paid employee salaries owing from May 14 to May 27 in the amount of $3,500. May 29 The bookkeeper was going to be away for two weeks, so the June rent of $5,000 was paid. May 31 Reimbursed $50 in cash to an employee for use of his personal vehicle for company business on May 20. May 31 Shelving unit ordered on May 21 was delivered and installed. Total cost was $3,000, including labour. 16 17 18 Bal 14 15 12 13 18 19 10 6 4 5 3 2 Bal 1 including labour. Required: Create a table with the following column headings and opening balances. Below the opening balance, number each row from 1 to 18: Open+10,000+25,000 Accounts Office Prepaid Equipment Office Accounts Note/Loun Unearned Shure Retained receivable supplies expenses revenue furniture payable payable +25,000 +15,000+35,000 0 capital camnings -8.000-34,000 +2,000 0 jo Using the table as shown in Figure 1.3 of the text, complete the table for the 18 items listed in May and total each column. If any of the items are not to be recorded, leave the row blank. PROBLEM 1-6 (LOS) Transaction Analysis and Table Required: Using the data from the table in PROBLEM 1-5, prepare the balance sheet as at May 31, 2016. The following transactions occurred for Olivier Bondar Ltd., an restaurant management consulting service, during May, 2016: May 1 May 1 May 2 May 3 May 4 May 5 Received a cheque in the amount of $5,000 from TUV Restaurant Ltd., for a restaurant food cleanliness assessment to be conducted in June. Paid $5,000 for office rent for the month of May. Purchased office supplies for $3,000 on account. Completed a consultation project for McDanny's Restaurant and billed them $27,000 for the work. Purchased a laptop computer for $3,000 in exchange for a note payable due in 45 days. Olivier Bondar was a little short on cash, so the manager made an application for a bank loan in the amount of $20,000. It is expected that the bank will make their decision regarding the loan next week. May 6 Received an invoice from the utilities company for electricity in the amount of $300. May 10 Bank approved the loan and deposited $20,000 into Olivier Bondar's bank account. First loan payment is due on June 10. May 11 Paid for several invoices outstanding from April for goods and services received for a total of $8,000. The breakdown of the invoice costs are: telephone expense $500; advertising expense $3,000; office furniture $2,000; office supplies $2,500. May 13 Paid employee salaries owing from May 1 to May 13 in the amount of $3,000. May 14 Completed consulting work for a U.S. client and invoiced $18,000 US (US funds). The Canadian equivalent is $25,000 CAD. May 15 Received $25,000 cash for work done and invoiced in April. May 18 Hired a new employee who will begin work on May 25. Salary will be $2,500 every two weeks. May 21 Placed an order request for new shelving for the office. Catalogue price is $2,500. May 27 Paid employee salaries owing from May 14 to May 27 in the amount of $3,500. May 29 The bookkeeper was going to be away for two weeks, so the June rent of $5,000 was paid. May 31 Reimbursed $50 in cash to an employee for use of his personal vehicle for company business on May 20. May 31 Shelving unit ordered on May 21 was delivered and installed. Total cost was $3,000, including labour. 16 17 18 Bal 14 15 12 13 18 19 10 6 4 5 3 2 Bal 1 including labour. Required: Create a table with the following column headings and opening balances. Below the opening balance, number each row from 1 to 18: Open+10,000+25,000 Accounts Office Prepaid Equipment Office Accounts Note/Loun Unearned Shure Retained receivable supplies expenses revenue furniture payable payable +25,000 +15,000+35,000 0 capital camnings -8.000-34,000 +2,000 0 jo Using the table as shown in Figure 1.3 of the text, complete the table for the 18 items listed in May and total each column. If any of the items are not to be recorded, leave the row blank. PROBLEM 1-6 (LOS) Transaction Analysis and Table Required: Using the data from the table in PROBLEM 1-5, prepare the balance sheet as at May 31, 2016.
Expert Answer:
Answer rating: 100% (QA)
Worksheet as follows May 10 May 11 Open Bal May 01 May 01 May 02 May 03 May 04 May 05 No entry for l... View the full answer
Related Book For
Posted Date:
Students also viewed these accounting questions
-
The following transactions occurred for Rachels Natural Food. If using working papers, be sure to put in beginning balances. 201X Aug. 8 Purchased $800 of merchandise on account from Airon Co.,...
-
The following transactions occurred for Mouawad Inc. 1. Inventory costing $300,000 was purchased on account. 2. A new vehicle costing $30,000 was purchased. Mouawad paid $5,000 as a down payment and...
-
The following transactions Occurred for Bedford Sausage Supply Co. Required a. Journalize the transactions in the appropriate journals. b. Record and post as appropriate. c. Prepare a schedule of...
-
Several industries located along the Ohio River discharge a toxic substance called carbon tetrachloride into the river. The state Environmental Protection Agency monitors the amount of carbon...
-
Companies often face a basket purchase situation when they buy real estate, because the acquisition usually involves both the land that is purchased and the building that is located on the land. If...
-
Briefly explain why, for a small anode-to-cathode area ratio, the corrosion rate will be higher than for a large ratio. Solution
-
The Dude Map Go to $h t t p: / / q z . c o m / 316906 / t h e-$ dude-map-how-american-men-refer-to-their-bros/ to see "The dude map: How Americans refer to their bros,"89 a heat map of the United...
-
Apocalyptica Corp. pays a constant $8.50 dividend on its stock. The company will maintain this dividend for the next 11 years and will then cease paying dividends forever. If the required return on...
-
A firm sells to a single consumer using the optimal two-part tariff. Briefly explain why this firm has MR(Q) = P(Q). Provide an intuitive explanation.
-
Jeremiah Restoration Company completed the following selected transactions during January: Jan. 3. Store supplies, $470. 7. Express charges on merchandise sold, $s5 (Delivery Expense). 9. Office...
-
After a highly successful racing career. professional cyclist Mark Devonshire decides to retire from competition. He decides to use the millions he has earned as a cyclist to establish a new...
-
Interesting take on temporarily suspending operations in Russia. Do you believe that a temporary suspension could lead to the government of Russia taking over the operations?
-
Explain why aliasing will always be present when sampling the signal () = rect .
-
accounting questions related to non-controlling interest: 1. What is non-controlling interest (NCI) in accounting and financial reporting? 2. How is non-controlling interest presented in a...
-
What beliefs are held about the biological processes occurring with regard to her body?
-
Describe the preparation theory of play and explain the limitations of the theory--what does it and does it not explain?
-
1. Could Crypto Save the Unbanked? https://www.brookings.edu/research/debunking-the-narratives-about-cryptocurrency-and-financial-inclusion/ 2. WSJ video on Bitcoin...
-
Trade credit from suppliers is a very costly source of funds when discounts are lost. Explain why many firms rely on this source of funds to finance their temporary working capital.
-
Compute the net pay for each employee using the federal income tax withholding table in Figure. Assume that FICA OASDI tax is 6.2% on a wage base limit of $106,800, Medicare is 1.45% on all earnings,...
-
On March 1, 201X, Leffer Corporation issued $280,000 of 12%, 5-year bonds for $301,650, yielding a market rate of 10%. Interest is paid on September 1 and March 1. Leffer Corporation uses the...
-
The following transactions occurred in April for Joyous Co.: 201X Apr. 1 Issued check no. 14 for $125 to establish a petty cash fund. 5 Paid $13 from petty cash for postage, voucher no. 1. 8 Paid $16...
-
solve the given problem using PSO method \[f(X)=1200\left(2 x_{1} x_{3}+2 x_{2} x_{3} ight)+2500 x_{1} x_{2}+500\left(\frac{1000}{x_{1} x_{2} x_{3}} ight)+100\left(\frac{1000}{10 x_{1} x_{2} x_{3}}...
-
Show 3 iterations for solving the problem below \[\min f(X)=-12 x_{1}-7 x_{2}+x_{2}^{2}\] subject to $-2 x_{1}^{4}-x_{2}+2=0$ \[0 \leq x_{1} \leq 3,0 \leq x_{2} \leq 3\]
-
Solve the optimization problem using SA \[\min f(X)=100\left(x_{1}^{2}+x_{2} ight)^{2}+\left(1-x_{1} ight)^{2}\] subject to $X \in[0,7]$
Study smarter with the SolutionInn App