Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

After researching the different forms of business organization. Natalie Koebel decides to operate Coolicie Creations as a proprietorship. She then starts the process of operating

image text in transcribed
image text in transcribed
After researching the different forms of business organization. Natalie Koebel decides to operate "Coolicie Creations" as a proprietorship. She then starts the process of operating the business. In November 2022, the following actirities take place. Nov 8 Natalie cashes her US. Savings Bonds and receives $550, which she deposits in her personal bank account. 8. She opens a bank account under the name "Cookie Creations" and transfers $530 from her personat account to the new account 11. Natalie pays $ so for advertisine 13. She buys bakine supplies, such as four, sufar, butter, and chocolate chips, for $155 cash, (Hint: Use the Supplies account) 14. Nataliestarts to gather some baking equipment to take with her when teaching the cookieclasses she has an excellent top-of the line food processtr and mixes that originally cost her $780. Natalie decides to start using it only in her new bosiness She estimates that the mber is currently worth 5415 . She invests the mber as equipment in the busines: 16 Natalie realizes that her inital cash imestment is not enough. Her grandmother iends her $2,300 cash, for which Natalie sugn a note payable in the narre of the business. Natalie deposits the money in the business bank account. (Hint: The note does not have to be repald for 24 months. As a result, the note payable should be reported in the accounts as the last llability and also on the batance sheet as the fast flability? 17. She buys more baking equipment for $890cash. 20 She teaches her firct class and collects $145 cash. 25 Nataliewithdraws $105 from the business for personal expenditures. 30 Natalie pays $1.410 for a cne-year insurance policy that will expire on December 1.2023. Prepare joumal entries to record the November transactions. (Credit account titles are automatically indented when amount is entered Do not indent manually. If no entry is required, select "No Entry" for the occount titles and enter ofor the amounts, Record journal entries in the order displayed in the problem.)

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

Step: 3

blur-text-image

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 management a strategic approach

Authors: Edward J. Blocher, David E. Stout, Gary Cokins

5th edition

73526940, 978-0073526942

More Books

Students also viewed these Accounting questions