ACCT 1310 Handwritten Homework #1 Chapters 1 & 2 Tate. C Name Part 1: Prepare the journal entry in good form for each of the following transactions. The and the owner, McDuff, closes his books at the end of each month. course in the state. 1. McDuff invested $175,000 of his personal money to take over the only Putt-Putt golf owners ensity C 195,00 5,0w0 Cash 2. As a measure to increase awareness of the golf course being under new ownership, McDufr spent $2,500 in advertising: the bill will be paid later in the month Advertising Expense 2.500 the 1,500 AD 3. McDuff purchased putters and golf balls costing $3,600 on account and created a supplies account for it Supplies 3,COO Accouts Payable 3,600 4. Following the grand opening, McDuff recorded revenue of $5,400, of which $1,800 was placed on account and the balance was collected in cash. AR 1,800 Cash 3,600 Revenue $5.400 for $6,000 cash 5. The old ball retriever for water holes broke down so McDuff purchased a new machine machine legup 6.000 cash 6,000 1 6. McDuff hired putt-putt golf pro, Venus, to hang around the club house and provide lessons for S100 per hour. Venus will begin next week at a salary of $1.000 per week 7. McDuff paid for the advertising expense incurred in transaction 12 8. The golf pro provided fourteen (14) one hour lessons at $100 each. All services were paid in cash 9. McDuff paid the golf pro for the last week worked in the month 10. McDuff received a utility bill for $1,200 which will be paid next month. 11. Subsequent green fees collected from golf patrons after the grand opening totaled $6,00 and it was all on account. 12. McDuff collected the balance due from the receivables booked in transaction 4 13. McDuff withdrew $3,000 from the company for his personal use. BS BUS 15 Part II in the chart below, indicate whether these various accounts we have a debut of credit balance and state whether the account would appear on the Balance Sheet() or the Income Statement (US) The first one is done for you. Account Debit (Dr) or Credit (Cn) normal ending balance Rent Expense De Accounts Receivable Revenue Equipment Accounts payable Supplies expense Interest payable Prepaid insurance Depreciation expense Salaries payable Insurance expense Notes payable Investments Land (used in operations) Uncamned revenue Part III: On the following page opening balances have been posted for the company's ending balance sheet dated October 31, 2020 (the company closes its books monthly). Post the result of the following 10 transactions that occurred during November 2020 to the accounts and prepare a pre-closing trial balance. 1. Recorded 59,000 in revenue, S5,000 in cash and the balance on account 2. Purchased a 12-month insurance policy for $2.500. 3. Purchased additional supplies on account for $600. 4. Paid workers $4.000 for services performed this month. 5. Paid S1,200 rent for the current month 6. Paid $1,400 on accounts payablo. 7. Hired a new employee at $15 per hour who will begin next week & Took out a 12-month bank loan for $30,000 at 10% interest 9. Withdrew $400 from the business for personal use. 10. Collected $4,000 in customer deposits for work to be performed later this year. 3 Supplies 3,400 A/R 18.000 Cash 14.000 A/P 2,000 Prepaid Insurance Equipment 20,000 Notes Payable 0 Unearned Revenue 0 OE Capital 53,400 Revenue Expenses Withdrawal pre-closing trial balance Account Title DR. CR. 1 Total