Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

a. Gervais deposited $22,000 in a bank account in the name of the business. b. Bought a truck from Kelly Motors for $24,500, paying $7,000

image text in transcribed a. Gervais deposited $22,000 in a bank account in the name of the business. b. Bought a truck from Kelly Motors for $24,500, paying $7,000 in cash and placing the balance on account, Ck. No. 500 . c. Bought catering equipment on account from Luigi's Equipment, $3,100. d. Paid the rent for the month, $1,210, Ck. No. 501 (Rent Expense). e. Bought insurance for the truck for one year, $340,Ck. No. 502 . f. Sold catering services for cash for the first half of the month, $2,850 (Catering Income). g. Bought supplies for cash, $190,CK. No. 503. h. Sold catering services on account, $4,315 (Catering Income), i. Received and paid the heating bill, $250, CK. No. 504 (Utilities Expense), j. Received a bill from GC Gas and Lube for gas and oil for the truck, $110 (Gas and Oil Expense). k. Sold catering services for cash for the remainder of the month, $2,480 (Catering Income). I. Gervais withdrew cash for personal use, $1,600,Ck. No. 505 . m. Paid the salary of the assistant, $1,035, Ck. No. 506 (Salary Expense)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Cost Accounting Principles And Applications

Authors: Horace R. Brock

5th Edition

0070081522, 978-0070081529

More Books

Students also viewed these Accounting questions

Question

=+b. Is the company satisfying the terms ofthe bond indenture?

Answered: 1 week ago

Question

=+Does it present new cocktails or review restaurants?

Answered: 1 week ago

Question

=+Is the message on-strategy?

Answered: 1 week ago