Question: The Palace Theater opened on April 1. All facilities were completed on March 31. At this time, the ledger showed No. 101 Cash $6,000, No.

The Palace Theater opened on April 1. All facilities were completed on March 31. At this time, the ledger showed No. 101 Cash $6,000, No. 140 Land $12,000, No. 145 Buildings (concession stand, projection room, ticket booth, and screen) $8,000, No. 157 Equipment $6,000, No. 201 Accounts Payable $2,000, No. 275 Mortgage Payable $10,000, and No. 311 Common Stock $20,000. During April, the following events and transactions occurred.

I'm not sure where to even begin so if someone doesn't mind helping out, that would be great. Thank you

The Palace Theater opened on April 1. All facilities were completed onMarch 31. At this time, the ledger showed No. 101 Cash $6,000,

Problem 2-5A (Part Level Submission) The Palace Theater opened on April 1. All facilities were completed on March 31. At this time, the ledger showed No. 101 Cash $6,000, No. 140 Land $12,000, No. 145 Buildings (concession stand, 157 Equipment $6,000, No. 201 Accounts Payable $2,000, No. 275 Mortgage Payable $10,000, and No. 311 Common Stock $20,000. During April, the following events and transactions occurred. Paid film rental of $800 on first movie. Apr. 2 Ordered two additional films at $950 each. 9 Received $1,800 cash from admissions. 10 Made $2,000 payment on mortgage and $1,000 for accounts payable due. to pay 18% of gross concession receipts (payable monthly) for the rental the concession stand. 11 Palace Theater contracted with Dever Company to operate the concession stand. Dever Paid advertising expenses $320 Received one of the films ordered on April 3 and was billed $950. The film will be shown in April 12 20 25 Received $5,200 cash from admissions. 29 Paid salaries $1,600. 30 Received statement from Dever showing gross concession receipts of $1,000 and the balance due to The Palace Theater of $180 ($1,000 x 18%) for April. Dever paid one-half of the May. 30 Prepaid $1,000 rental on special film to ber the accounts identified above, the chart of accounts shows No. 112 Accounts Receivable, No. 136 Prepaid Rent, No. 400 Service Revenue, No. 429 Rent Revenue, No. 610 Advertising In addition Expense, No. 726 Salaries and Wages Expense, and No. 729 Rent Expense. (a) Enter the beginning balances in the ledger as of April 1 Cash No. 101 Date Explanation Ref. Debit Credit Balance Apr. 1 Balance Land No. 140 Date Explanation Ref. Debit Credit Balance V Apr. 1 Balance Buildings No.145 Date Explanation Ref. Debit Credit Balance Apr. 1 Balance Equipment No. 157 Date Explanation Ref. Debit Credit Balance Apr. 1 Balance Accounts Payable No. 201 Date Explanation Ref. Debit Credit Balance Apr. 1 Balance Mortgage Payable No. 275 Credit Date Explanation Ref. Debit Balance Apr. 1 Balance Common Stock No.311 Debit Date Explanation Ref. Credit Balance Apr. 1 Balance

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!