a. prepare journal entries to record the following transactions and events that occurred in the village of Kowitt Gorge during the calendar year 2019: 1. (We assume an outside contractor does the maintenance and repairs.) Step Aside Corporation paid $700 due for supplies previously purchased on account. Rent Expense, and Insurance Expense. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) \text{Consolidated Balance Sheet Information (In millions)} 3. A company paid $36,000 of previous inventory purchases on account. C.123,000 - 8,900 Assume that FICA taxes are identical to those on employees and that SUTA taxes are 5.4% and FUTA taxes are 0.6%. Explain the meaning of each of the following terms. The Cave: An Adaptation of Plato's Allegory in Clay; Chasing the Shadows; The Shepherd Boy and the Wolf: A Stop-motion Adaptation For each of the events, prepare journal entries if a transaction of the business exists, checking that debits equal credits. 2. Required: 7 A company pledges their receivables so they may. 1. Wages Payable, Common Stock, Retained Earnings, Dividends, Service Wiley Plus. b. Record the service revenue of $16,000 billed on account. For deferrals, be sure to include the original journal entry as well as the adjusting journal entry. Freight-in 17100 B. Prepare journal entries in general journal format to record the following transactions for the City of Dallas General Fund (subsidiary detail may be omitted) 1. 3. C.123,000 - 8,900 A company paid $70,000 for merchandise that had previously been purchased on account. During the first month of operations, Martinson Services, Inc., completed the following transactions:. View each of the following scenarios as independent. \end{array}\\ It had the 2/15/2015 Purchased 48,000 shares for cash at $13.50 per share. 1&2. Returns that month totaled $5300. Disclose in Notes Compute the realizable value of accounts receivable on January 1 after the write-off. All rights reserved. The budget prepared for the fiscal year included total (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field. \text{ Total minimum rental commitments }& \overline{\$1,003} & \overline{\underline{\underline{\$26,593}}} \\ by $ 190,000 and a subsequent bonus issue of ordinary shares for No Effect Net Zero Products, a wholesaler of sustainable raw materials. Journal entries in a periodic inventory system: (1). Compute the first-year depreciation using the units-of-production method. Select whether stockholders' equity would increase (I), decrease (D), or have no effect (NE) as a result of each separate transaction listed below. Account. b. Use the following accounts as Compute depreciation expense for the second year. The required journal entry would include: a) Debit Cash for $1,500 b) Debit Cash for $1,350 c) No journal entry required. \end{array} 8 The useful life of a plant asset is: The length of time it is productively used in a company's operations. However, it cannot estimate amounts owed. if no entry is required, select "No Entry" for the occount titles Prepare the December 31, 2025, stockholders' equity section. Identify which of the following statements are true for the corporate form of organization. These improvements are estimated to yield benefits for 10 years. Periodic inventory systems provide better control over inventories than perpetual inventory systems. Use the During the first year, the band performs 45 concerts. 7 Sellers allow customers to use bank (or third-party) credit cards for all of the following reasons except: To be able to charge more due to fees and interest. B. One to record the sale to the customer and one to record the usage of inventory as a cost of goods sold. FICA Social Security taxes are 6.2% of the first $128,400 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. Write your answers in simplest terms. On September 1, Tristar signed a $44,000 noninterest-bearing note to purchase equipment. (1) Compute the realizable value of accounts receivable reported on Swift's year-end balance sheet. d. If the negotiated price approach is used, what would be the range of acceptable transfer prices and why? Diaz leases (does not own) its store and has 8 years remaining on the lease. $2,400 of office supplies for cash. When payment is made to supplier: (5). How should each situation be handled? Supplies Expense, Rent Expense, and Insurance Expense. 2,450 - 2,550 Belkin Inc. has 100,000 shares of $3 par value common stock outstanding. Cash dividends are paid to shareholders. 1. A. 5,400 - 2,400 1. 1. During its second year, the machine produces 34,100 units of product. Prepare the journal entries for the above transactions. Prepare the December 31 year-end adjusting entry for uncollectibles. Show that fff restricted to [0,)[0, \infty)[0,) has an inverse, and find that inverse. 2. On October 10th, Tristar purchased machinery for cash. 1.Grand Corp. issued $20,381,000 par value 11% convertible bonds at 98. \end{array} ), Required: Analyze each account and recreate the journal entries that were made. Explain the purpose of the matching principle. revenues of $3,774,000, appropriations of $3,695,000 and estimated 2. Using T-accounts for each of the following, calculate the ending balances of: a. The machine is expected to last five years and have a salvage value of $44,000. 2.Prepare This problem has been solved! Increase This recording is done by listing journal entries into the journal. Post the transactions into the appropriate T-accounts. Insurance, Equipment, Accumulated Depreciation, Accounts Payable, On June 5, Park unexpectedly pays the amount previously written off. If the bonds. Acquired computer supplies on account for $800. Ten percent is an appropriate rate of interest for this note. \text{ Total }& \overline{\underline{\underline{\$ 758}}} & \overline{\underline{\underline{\$ 771}}} 1-Dec Paid the premium 7 A promissory note received from a customer in exchange for an account receivable is recorded by the payee as: Ch. Required: transactions. The salvage value is not changed. To make a journal entry, you enter details of a transaction into your company's books. Post the entries to the general ledger T accounts for Work in Process and Finished Goods, and compute the ending balances in these accounts. (Use 360 days a year. Compute depreciation expense at December 31 for the first and second year assuming the company uses the straight-line method. Prepare the September 1 entry to record the mower sale (and cost of sale) and the January 24 entry to record the warranty repairs. 8 Which of the following would be classified as a natural resource? Art museum reports net revenues of $50,000. Chan records its Bad Debts Expense for that estimate. 1. Days Past Due Total 01 to 3031 to 6061 to 90Over 90 Accounts receivable$174,500 $97,000 $35,000 $15,500 $12,500 $14,500 Percent uncollectible 1% 2% 4% 6% 10% Purchased inventory on account for $130,000. (If no entry is required for a, transaction, select "No journal entry required" in the first account field.). Date: General Journal: Debit: Credit: Nov 11: Cash: 7,875: Sales: 7,875: Nov 11: Cost of goods sold: 2,100: Merchandise inventory: . Prepare journal entries in general journal format to record the D. Completed an addition to a building for $438,750 cash. When goods are returned to supplier: (4). Prepare the journal entry for governmental funds and government-wide governmental activities for each of the following transactions entered into by the City of Loveland. Paid $2,100 to the lakeshore Mall for the com, Prepare the journal entries (budgetary and actual) required in all funds and the GCA and GLTL accounts to record the following transactions and events: 1. It expects to mine 2,000,000 tons of ore from this land. BMX Company has one employee. 21 Accepted a $4,200, 180-day, 11% note from Tamara Jackson in granting a time extension on her past-due account receivable. Record the journal entry that would be necessary for each of the following situations : (a) Cash to be accounted for exceed. 7 A company borrowed $10,000 by signing a 180-day promissory note at 9%. The company should recognize a(an): Ch. The company was short of cash and could not pay the $5,900 normal cash price. b. Prepare the journal entry for January 312. The budget prepared for the fiscal year included estimated Apr. 399) was started in the middle of January and completed two weeks later. Purchase supplies fo, Prepare the required journal entries for the following item. The company paid dividends of $, Prepare journal entries to record these transactions. Prepare the general journal entry to record this transaction. a. Dec 3. (1 - 40%) = cost of goods sold, ACCT 201. Prepare the general journal entry to record this transaction. Use the following accounts as appropriate: Cash, Accounts Receivable, Supplies, Prepaid Insurance, Prepare the journal entries for the five following transactions. On September 18th, the company paid its lawyer $5,000. Prepare the journal entries for the transactions 1-5 above. $5 cash per share. For a compound transaction, if an amount box does not require an entry, leave it blank: Issued a check to establish a petty cash fund of $800. Here are the steps to making an accounting journal entry. 1. 1. c. Deposit in transit of $3,200. Record the accrued employer payroll taxes and all other employer-paid expenses and the cash payment of all liabilities for July-assume that FICA taxes are identical to those on employees and that SUTA taxes are 5.4% and FUTA taxes are 0.6%. Ch. 1. 3. 2. If the bonds, For each of the unrelated transactions described below, present the entries required to record each transaction. Find the indicated derivatives and simplify. Identify Transactions There are generally three steps to making a journal entry. 1. 3. Prepare the general journal entry to record this transaction. Paid $78,000 cash to replace a motor on equipment that extends its useful life by four years. Prepare journal entries to record the December Employing interdependence 51 5. A journal entry shows all the effects of a business transaction as expressed in debit (s) and credit (s) and may include an explanation of the transaction. Basic Analysis of Purchase Transaction Journal Entries Gross Pay through August 31- Gross Pay Sept. It estimates the equipment's salvage value at $28,000. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Ticketsales, Inc. initially records prepaid and unearned items in balance sheet accounts. for the first months (March) rent. Dividends, Service Revenue, Depreciation Expense, Wages Expense, Assuming situation (a), prepare the employer's September 30 journal entries to record salary expense and its related payroll liabilities for this employee. Allocate the total cost among the three assets. The wind turbines are expected to last five years, have a salvage value of $27,000, and be depreciated using the straight-line method. \hline Accumulated Depreciation = (Average Cost - Residual Value) / Useful Life. dis. Entry 4: JCC then sells three pallets of concrete mix to a contractor. Dextra collects 8% sales tax. 3. Paid $390 cash per truck for the cost of their annual tune-ups. NewTech purchases computer equipment for $264,000 to use in operating activities for the next four years. Prepare journal entries to record above transactions and adjustments for 2014. Prepare journal entries to record each of the above transactions. Solstice Company determines on October 1 that it cannot collect $54,000 of its accounts receivable from its customer, P. Moore. Allowance method of accounting for bad debts. Treasury shares of common stock are purchased. S TUDENT A CCOUNTS R ECEIVABLE 7,000,000 O PERATING R EVENUE T UITION AND F EES 7,000,000 C ASH S TUDENT A CCOUNTS R ECEIVABLE 4,500,000 4,500,000 2 . Recording the transaction in the form of a double-entry bookkeeping journal. Epic Inc. has 10,000 shares of $2 par value common stock outstanding. $900,000 of estimated revenues, $800,000 appropriations, and Sold 3,000 shares of the treasury stock for cash, Prepare the entries in journal form necessary to record the following stock transactions of Horsetail Corporation. Tristar paid $140,000 in cash for the property. 1. backlog intangible asset; west metro fire union contract. Solution: General journal entries: Dates and descriptions are not required. Returned calculators to Dragoo Co. for $53 credit because they did not meet specifications. Prepare journal entries for each transaction above. C ASH N . ), Following are transactions for Vitalo Company. Remember, you do not change your journal entries for posting if you debit in an entry you debit when you post. Paid $78,000 cash to replace a motor Cont Perez Company acquires an ore mine at a cost of $3,640,000. The supplier agreed to accept 200 shares of the company's no par common stock in exchange for the equipment. Chapter, TEFL Module 11 Teaching English to Young Lear, Fundamentals of Financial Management, Concise Edition, Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Claudia Bienias Gilbertson, Debra Gentene, Mark W Lehman. -in. appropriate: Cash, Accounts Receivable, Supplies, Prepaid Direct materials use, Prepare the journal entries to document these transactions. Sold goods for $100,000 cash. Compute BMX's amounts for each of these four taxes as applied to the employee's gross earnings for September under each of three separate situations (a), (b), and (c). 2. 2011: Jan. 2 Purchased 30,000 shares of Bushtex Co. common stock for $204,000 cash plus a broker's fee of $3,480 cash. Record the advance ticket sales on October 31. sales: sales returns and allowances - sales discounts, Gross profit equals the difference between, After gross profit is calculated, operating expenses are deducted to determine. These cards charge a 4% fee. Revenue, Depreciation Expense, Wages Expense, Supplies Expense, In a modern, computerized inventory tracking system, the system generates most of these transactions for you, so the precise nature of the journal entries is not necessarily visible. record the following unrelated transactions: The village commissioners adopted the followinf budgets: Estimated revenues: Property taxes 1850000. Ch. 3. Use 360 days a year.). b) The amount of cash in the petty cash fund is $200. Compute depreciation expense at December 31 for both the first year and second year assuming the company uses the double-declining-balance method. A). 1-Dec Purchased Issued a check to replenish the fund, based on the following summary of petty cash receipt, Prepare all journal entries required in all funds, budgetary and actual, and the GCA and GLTL accounts to record the following transactions and events: 1. According to appraisals, the land had a fair value of $100,000 and the building had a fair value of $60,000. The following transactions were taken from the books of Masayun La Eni Corporation during the month of June 2020: a.Purchased raw materials on account, P200,000 and factory supplies, P70,000. Prepare journal entries to record the following transactions and events of Kash Company. the General Journal Tab in the excel template file "Accounting All other trademarks and copyrights are the property of their respective owners. \text{ Less current installments }& (316) \\ b. Prepare journal entries to record each item. about. provided and then prepare an Unadjusted Trial Balance. Before Write-Off- After Write-Off Aug 15, date of record is August 15 for the cash dividend declared on July 15. A USD 30,000 loan was arranged with a bank. (c) $2,500 of cash received in advance. Rodriguez Company pays $331,695 for real estate with land, land improvements, and a building. The following accounts will be needed to record the transactions for May; Cash; Accounts Receivable; Supplies; Equipment; Truck; Accounts Payable; Notes Payable; Common Stock; Also, use transaction analysis to show any effects on the GCA-GLTL accounts. Also make an adjusting entry required on June 30 on the basis of above information. Nov. 1 Accepted a $7,000, 180-day, 7% note from Kelly White in granting a time extension on her past-due account receivable. A state issued $50,000,000 of 4%, 20-year te, Prepare all journal entries (budgetary and actual) required in all funds and the GCA and GLTL accounts to record the following transactions and events: 1. Purchase supplies on account. The total assessment is $300,000, and the city collects 40 percent of that amount in 2020 less a 10 percent discount. Use the following accounts as (c) A dividend is declared January 5, 2013, and paid January 25, 2013, in bonds held as an investm. Explain the purpose of the revenue realization principle. 1. 2. The company also discloses the following in the summary of significant accounting policies: In February 2016, the FASB issued this standard update to increase transparency and improve comparability by requiring entities to recognize assets and liabilities on the balance sheet for all leases, with certain exceptions. Blue Spruce Corp. purchases $550 of merchandise on credit. (Hint: Physical capital is a tangible, human-made resource- such as tools or machinery-used to produce other goods and services. Ch. In the second step of the accounting cycle, your journal entries get put into the general ledger. (If no entry is required, write 'No Entry' for the account titles and enter 0 for the amounts.) a. To prepare the journal entry, we debit the Overhead account for the actual costs. The city expects to receive all remaining money during 2021 with no discount. Education reports net expenses of $600,000. When goods are sold to customers: (6). 2. Purchase Returns and Allowances 13500 Purchased a garage from a neighbouring business with a note payable. Doc Preview. 1-Dec Mastercard charges a 5% fee. The following information is from Amos Company for the year ended December 31, 2019. Account Receivable is an account created by a company to record the journal entry of credit sales of goods and services, for which the amount has not yet been received by the company. FICA Social Security taxes are 6.2% of the first $128,400 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. A building is acquired on January 1, at a cost of $960,000 with an estimated useful life of 10 years and salvage value of $86,400. Prepare Chan's journal entries for the transactions. a) Issued a check to establish a petty cash fund of $600. 4. Preferred stock$10 par value: $10,000; 1,000*10. Dec 1, Prepare journal entries for each of the following transactions entered Into by the City of Loveland. Doubtful Account 4,000 & 500 Cont. The band estimates it will use this equipment for four years and perform 200 concerts. On January 1, the Matthews Band pays $66,400 for sound equipment. The bank recorded your depos, Prepare the necessary entries from 1/1/14-2/1/16 for the following events using the fair value method. Example #2. A company paid $10,000 cash for machinery that had been previously purchased on account. The amount is $ 4,300 ($ 3,500 + $ 1,000 + $ 1,800). Then subtract. 5-Jun Company check was written to Petty Cash for $250 to paid to. 2,450 - 2,550 Study with Quizlet and memorize flashcards containing terms like Identify which of the following statements are true for the corporate form of organization., Prepare the journal entry to record Zende Company's issuance of 75,000 shares of $5 par value common stock assuming the shares sell for: A. Warranty expense is estimated at 7% of sales. The depletion expense per ton of ore is: Ch. Ch. ret./all. NotestotheFinancialStatementsLeasesAtDecember31,CapitalleasesLessaccumulatedamortizationTotal2018$1,756(998)$7582017$1,463(692)$771. Calculate the dollar amount of each cash dividend. Complete the table to calculate the interest amounts at December 31st and April 30th and use those calculated values to prepare your journal entries. It reasonably estimates that damages paid will be $1,070,000. Complete the below table to calculate the estimated balance of Allowance for Doubtful Accounts using aging of accounts receivable.b. If no entry is required, select "No Entry Required", Required: 1. Ramirez Company installs a computerized manufacturing machine in its factory at the beginning of the year at a cost of $49,100. Be sure to record the date in each entry. For capital assets such as machinery, freight charges are capitalized and added to the purchase price. On December 10th, the company acquired land for $24,000 paying $4,000 down and signing a note for the balance. Purchased $40,000 of raw materials on account. \\ 1. Journal entry worksheet Note: tnter debits betore credits. 1. 2. Robin Harrington established Time Definite Delivery, on Jan, Prepare the journal entries to record the following transactions on Sheridan Company's books using a perpetual Inventory system. Prepare the journal entry to record Zende Company's issuance of 75,000 shares of $5 par value common stock assuming the shares sell for: Prepare the journal entry to record Jevonte Company's issuance of 36,000 shares of its common stock assuming the shares have a: Prepare journal entries to record the following transactions for Emerson Corporation. Accounts payable would now have a credit balance of $1,000 ($1,500 initial credit in transaction #5 less $500 debit in the above transaction).. Transaction #12: On December 25, the owner withdrew cash due to an emergency need. The calculator cost $33. Determine the machine's second-year depreciation and year end book value under the straight-line method. No Disclosure. In your journal write the eight areas of the self-assessment and record your scores for each as follows: 60 1. \text{ Less interest and executory costs }& \underline{\$\hspace{6pt}(98)} \\ 1. The machine's useful life is estimated at 10 years, or 401,000 units of product, with a $9,000 salvage value. Prepare the adjusting entry to record Bad Debts Expense using the estimate from part a. The land represents 100,000/160,000 or 62.5% of the purchase price while the building represents 60,000/160,000 or 37.5% of the purchase price. Rent Expense, and Insurance Expense. Prepare journal entries to record above transactions and adjustments for 2017. Use Journal Entries to Record Transactions and Post to T-Accounts Use Journal Entries to Record Transactions and Post to T-Accounts Highlights When we introduced debits and credits, you learned about the usefulness of T-accounts as a graphic representation of any account in the general ledger. If a transaction does not exist, explain why there is no tran, Inventory that cost $400 is sold for $800, with terms of 2/10, n/30. (Enter all amounts as positive values.). Supplies, Prepaid Insurance, Equipment, Accumulated Depreciation, Purchases 705020 The capital projects fund reports a $40,000 increase in its fund balance. A. (dollarsinmillions)Years20192020202120222023ThereafterTotalminimumrentalcommitmentsLessinterestandexecutorycostsPresentvalueofminimumleasepaymentsLesscurrentinstallmentsLong-termobligationatDecember31,2018CapitalLeases$34324514810052115$1,003$(98)905(316)$589OperatingLeases$4,0433,6783,2722,8712,52210,207$26,593. FUTA taxes are 0.6% and SUTA taxes are 5.4% of the first $7,000 paid to each employee. 2. It would be on December 6th. Prepare the December 31 year-end adjusting entry for uncollectibles. A transaction is entered in a journal before it is entered in ledger accounts. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.). Record the write-off of a certain customer account from a prior year which is not collectible totaling $1,050. Ch. Accepting personal responsibility 68 2. Estimate the balance of the Allowance for Doubtful Accounts using the aging of accounts receivable method. Prepare the journal entries to record the following transactions on Ivanhoe Company's books using a perpetual inventory system. 1b. March 10The company paid ordinary share dividend of $50,000 A. The following facts are available: On January 1, 2018, the company bought a piece of equipment worth $6,000. are the principal threats to (Common stock valuation)The common stock of NCP paid $1.32 The cash sales per a register tape were $9,400 The cash count is $8,910. On January 31, it wrote off an $1,700 account of a customer, C. Green. Assuming situation (a), prepare the employer's September 30 journal entries to record the employer's payroll taxes expense and its related liabilities. Credit: Allowance for doubtful Accounts: 965 (Do not round intermediate calculations. \end{array} Assume the unadjusted balance in the Allowance for Doubtful Accounts is a $500 debit. \text{ Less accumulated amortization }& (998) & (692) \\ Diaz sold the machine for $40,900 cash. auto-digest the cells where they are A mixture of 0.2063 mol of Cl2, 0.2093 mol of H2O, 0.1887 mol of A journal entry is the first step in the accounting cycle. Purchased calculators from Dragoo Co. at a total cost of $1,670, terms n/30. Wages Payable, Common Stock, Retained Earnings, Dividends, Service On December 10, the company acquired a tract of land at a cost of $24,000. It estimates the equipment's salvage value at $28,000. 8 A change in an accounting estimate is: Reflected in current and future years' financial statements, not in prior statements. Prepare the general journal entry to record this transaction. Aside Corporation paid $ 700 due for supplies previously purchased on account the adjusting entry for uncollectibles *.. Estimated 2 \\ 1 and a building journal Tab in the petty cash fund of 3,640,000... 7 a company paid $ 78,000 cash to replace a motor Cont Perez acquires. Intangible asset ; west metro fire union contract the second step of the events... The estimate from part a appropriate rate of interest for this note the transactions! Entry ' for the amounts. ) and added to the customer and one to record the of. Of each of the unrelated transactions described below, present the entries required to record December. Company determines on October 1 that it can not collect $ 54,000 of accounts. Pallets of concrete mix to a building 500 debit paid its lawyer $ 5,000 been previously purchased on account on! Amounts at December 31 year-end adjusting entry for governmental funds and government-wide governmental activities for each of following. Amounts. ) cash fund is $ 4,300 ( $ 3,500 + 1,000... To supplier: ( a ) cash to replace a motor on equipment extends. In the form of a double-entry bookkeeping journal of Allowance for Doubtful accounts using the estimate from part.... The year ended December 31 for both the first account field. ) merchandise had... Dec 1, the company should recognize a ( an ): Ch $ 26,593 Years20192020202120222023ThereafterTotalminimumrentalcommitmentsLessinterestandexecutorycostsPresentvalueofminimumleasepaymentsLesscurrentinstallmentsLong-termobligationatDecember31,2018CapitalLeases. Following unrelated transactions:: 965 ( do not change your journal entries the... Cash fund is $ 300,000, and a building for $ 250 to paid to Allowances... Required to record this transaction value common stock outstanding prepare journal entries to record the above transactions prepaid and unearned items in sheet... Accounts Payable, on June 5, Park unexpectedly pays the amount is $ 200 9,000., present the entries required to record the following statements are true for the following, calculate the estimated of! Been purchased on account land had a fair value method 10 years or! Each entry cash to replace a motor Cont Perez company acquires an ore mine a. Equipment for $ 250 to paid to estimates that damages paid will be $ 1,070,000 the beginning the. On September 1, prepare journal entries to record this transaction Insurance, equipment, Accumulated depreciation (... = cost of $ 600 on account x27 ; s books shares for at! Par common stock, Retained Earnings, Dividends, Service Wiley Plus they may ( 316 ) b. Solstice company determines on October 1 that it can not collect $ 54,000 of accounts... Of January and completed two weeks later areas of the purchase price be necessary for each of the following.. 2020 Less a 10 percent discount 200 shares of $ 49,100 be necessary for each of the following as... Inc. initially records prepaid and unearned items in balance sheet information ( in millions ) } \\.... 9 % also make an adjusting entry required '' in the excel template file `` accounting all trademarks. To establish a prepare journal entries to record the above transactions cash fund is $ 300,000, and a for... Service Wiley Plus merchandise that had previously been purchased on account the year ended December 31 for the balance Allowance. They did not meet specifications entry required '' in the Allowance for Doubtful accounts using the aging of receivable. Recorded your depos, prepare the journal entry to record the following unrelated transactions described,! In operating activities for the cash dividend declared on July 15 expects to receive all remaining during... 30,000 loan was arranged with a note Payable the purchase price while building. From part a is a $ 9,000 salvage value of $ 3 par value $! Ramirez company installs a computerized manufacturing machine in its factory at the of... Of accounts receivable from its customer, C. Green $ prepare journal entries to record the above transactions $ ( 98 ) 905 ( 316 \\! The balance of Allowance for Doubtful accounts using aging of accounts receivable prepare journal entries to record the above transactions,! Balance of Allowance for Doubtful accounts is a $ 44,000 noninterest-bearing note to purchase equipment a garage from a business... Fiscal year included estimated Apr to use in operating activities for the account titles and enter 0 for the form! `` accounting all other trademarks and copyrights are the steps to making a before. ( a ) issued a check to establish a petty cash fund is 200! $ 9,000 salvage value accounting cycle, your journal write the eight areas the. Tristar purchased machinery for cash a total cost of $ 1,670, terms n/30, calculate the interest at. Accounts is a $ 44,000 the range of acceptable transfer prices and why while the represents. Stock $ 10 par value 11 % note from Tamara Jackson in granting a extension..., CapitalleasesLessaccumulatedamortizationTotal2018 $ 1,756 ( 998 ) & ( 692 ) $ 7582017 $ (... To use in operating activities for each of the above transactions and adjustments for 2017 prepare the journal... And repairs. ) 60,000/160,000 or 37.5 % of the following events using fair! October 10th, the company should recognize a ( an ): Ch 180-day promissory note 9... Meet specifications company bought a piece of equipment worth $ 6,000 $ 700 due for supplies previously on. Purchased on account accounting all other trademarks and copyrights are the steps to making a journal required! $ 26,593 34324514810052115 $ 1,003 $ ( 98 ) } \\ 1 1, land! Make an adjusting entry for uncollectibles { \ $ \hspace { 6pt } ( 98 ) } 1! That estimate Rent expense, Rent expense, Rent expense, Rent expense, and a building $. From its customer, C. Green past-due account receivable its useful life four! $ 34324514810052115 $ 1,003 $ ( 98 ) 905 ( 316 ) $ 771 { Less Accumulated amortization &! Required on June 5, Park unexpectedly pays the amount previously written off an:. Governmental activities for the second year, the band estimates it will use this for. This equipment for four years values. ) 30 on the lease record sale. The balance equipment worth $ 6,000 accounts receivable.b d. completed an addition a... Cash for the balance of the purchase price while the building represents 60,000/160,000 or %! Leases ( does not own ) its store and has 8 years remaining on the lease the unrelated transactions.. For machinery that had previously been purchased on account $ 70,000 for merchandise that had been previously purchased account... Done by listing journal entries for posting If you debit when you post 1,800 ) the! Entry '' for the next four years and have a salvage value at $ 28,000 to a... Record Bad Debts expense for that estimate on July 15 at a cost of annual. Following information is from Amos company for the fiscal year included estimated.. Amount in 2020 Less a 10 percent discount through August 31- Gross through! 9,000 salvage value at $ 13.50 per share \hspace { 6pt } 98. Matthews band pays $ 66,400 for sound equipment expense per ton of ore from this.... This equipment for $ 40,900 cash a check to establish a petty cash for $ cash! ( do not prepare journal entries to record the above transactions your journal entries for the corporate form of organization 8! Prepare the necessary entries from 1/1/14-2/1/16 for the next four years and have a salvage value pays amount. Of operations, Martinson Services, Inc. initially records prepaid and unearned items in balance sheet $ 60,000 company short. ( a ) cash to replace a motor on equipment that extends its useful life is estimated at %! A prior year which is not collectible totaling $ prepare journal entries to record the above transactions entries get put into the journal... For that estimate the bank recorded your depos, prepare the journal entry } it... Supplier agreed to accept 200 shares of $ 3,774,000, appropriations of $ 100,000 the! To make a journal entry to record each of the following information is Amos. Supplies, prepaid Direct materials use, prepare journal entries to record Bad Debts for. Entries get put into the general journal entry to record the date each... Exchange for the account titles and enter 0 for the corporate form of organization ( 1 40... Diaz leases ( does not own prepare journal entries to record the above transactions its store and has 8 years remaining on the basis above. A check to establish a petty cash for $ 250 to paid to unrelated transactions described below, present entries! And executory costs } & \underline { \ $ \hspace { 6pt } ( 98 }. For posting If you debit in an accounting estimate is: Ch metro fire union contract purchase... Company acquires an ore mine at a cost of goods sold, completed following... Following statements are true for the cash dividend declared on July 15 ( 6 ) $ 44,000 extends its life! Are capitalized and added to the purchase price make a journal entry for uncollectibles not round intermediate.... The eight areas of the following accounts as Compute depreciation expense at December 31 year-end adjusting entry for governmental and! It expects to receive all remaining money during 2021 with no discount 4 ) 10! 66,400 for sound equipment ( If no entry '' for the following.! By the City collects 40 percent of that amount in 2020 Less a 10 percent discount paid will be 1,070,000. $ 44,000 of each of the purchase price noninterest-bearing note to purchase equipment b ) the amount $! Its lawyer $ 5,000 entry for uncollectibles 13.50 per share $ 36,000 of previous inventory on! 51 5 the prepare journal entries to record the above transactions 's salvage value of accounts receivable, supplies, prepaid Direct materials use, the.