Question
Accounting Cycle Monopoly: record each as an adjusting entries transactions. Depreciation expense / Accumulated depreciation. Interest expense / Interest payable. Prepaid insurance. Week Transaction 1
Accounting Cycle Monopoly: record each as an adjusting entries transactions.
Depreciation expense / Accumulated depreciation. Interest expense / Interest payable. Prepaid insurance.
Week Transaction
1 Equipment Water Works Utility $120
Purchased house for Ventnor $150 and paid $52 for insurance
2 Purchased house for Tennessee $100 and paid $52 for insurance
3 Purchased house for North Carolina $200 and paid $52 for insurance
Equipment B&O Railroad $160
4 Collected $650 from passing go the first time (Note Payable - loan from the bank)
Purchased house for Tennessee $100 and paid $52 for insurance
5 Purchased house for Ventnor $150 and paid $52 for insurance
6 Purchased house for North Carolina $200 and paid $52 for insurance
10 Purchased house for Illinois for $150 and paid $52 for insurance
P.s Assume the game time is quarterly. Loan from the bank is a 6 months, 5%. Interest accrues starting with the week you received the loan. Any interest due on loans will be paid next quarter. The insurance policy cost $52 for one year (52 weeks). Depreciation (52 weeks) House /4 yr. life/ Straight-line / Salvage 20% of cost - RR Equipment /5 yr. life/ Double declining balance / Salvage 10% of cost - Utility Equipment /7 yr. life/ Double declining balance / Salvage 10% of cost.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started