Appendix E Analyzing Transactions with Journal Entries The Concordia Construction Corporation (CCC) was formed on March 1 of this year. The company is a full service construction company, specializing in excavation and construction of commercial buildings. Journalize the following transactions for the month of March for Concordia Construction Corporation and prepare a balance sheet and income statement for CCC for the month of March. March 1. The corporation is organized by selling stock for $100,000. March 1. Purchase a parcel of land for $28,000, paid $10,000 in cash and issued a promissory note for the balance. March 1. Purchased excavating equipment with cash for $30,000. March 1. Purchased a two-year liability insurance premium for $6,464, paying cash. March 9. Purchased office supplies, on account, for $1,260. March 11. Purchased a used backhoe for $7,500, paying cash. March 13. Paid $4,800 to rent an office/warehouse building for one year. March 14. Paid Brown Construction Company $8,000 for a pole-shed to be used as a yard office. Paid an additional cost of $2,000 to have the pole-shed moved to the Concordia Construction site.,

March 15. Paid employee wages of $14,000. March 17. Billed Madison Construction Company $8,000 for excavating work preformed on March 13. March 19. Received $15,000 from Brown Dear Contractors, Inc. for excavating work performed on March 5. March 21. Paid $8,000 on the note payable signed on March 1. March 23. Paid $2,300 for advertisement in trade magazine for March. March 23. Received check from Madison Construction Corporation for $4,000 for work completed in March. March 25. Received a bill for utilities from Alliant Energy Company for $1,200 to be paid in April. March 25. Paid BP Oil Company bill for $4,000 for gasoline used during March. March 27. Billed New Berlin Contractors, Inc. $7,500 for work preformed in March. March 28. Paid $2,550 for repairs made on bulldozer. March 29. Recognized insurance expense for the month of March.

March 30. Recognize the employee wages expense of $4,000; these wages to be paid in April. March 30. Remaining office supplies amount is $600. March 30. Recognized a portion of the prepaid rent on the office/warehouse. Post all of the transactions to the appropriate income statement or balance sheet for Concordia Construction Corporation. Concordia Construction Corporation The Income Statement For the Month Ended March 31 Revenues: Expenses: Excavating Revenues Employee Wages Expense Utilities Expense Office Supply Expense Advertising Expense Rent Expense Gasoline Expense Insurance Expense Repairs Expense Concordia Construction Corporation Balance Sheet as of March 31 Assets: Cash Accounts Payable (A/P) Accounts Receivable (A/R) Note Payable Prepaid Insurance Wages Payable Office Supplies Land Common Stock Building Retained Earnings Equipment

Analyzing Transactions with Journal Entries Concordia Construction Corporation Accounts Revenues Excavating Revenues Expenses Employee Wages Expense Utilities Expense Office Supplies Expense Advertising Expense Rent Expense Gasoline Expense Insurance Expense Repairs Expense Assets Cash Accounts Receivable (A/R) Prepaid Insurance Prepaid Rent Office Supplies Land Building Equipment Liabilities Accounts Payable (A/P) Note Payable Employee Wages Payable Owners Equity Retained Earnings Owners Equity