Assessing Financial Statement Effects of Transactions and Adjustments

D. Roulstone opened Roulstone Roofing Service on April 1. Transactions for April follow.

Apr. 01 Roulstone contributed $11,500 cash to the business in exchange for common stock.

Apr. 02 Paid $6,100 cash for the purchase of a used truck.

Apr. 02 Purchased $6,200 of ladders and other equipment; the company paid $1,000 cash, with the balance due in 30 days.

Apr. 03 Paid $2,880 cash for two-year (or 24-month) premium toward liability insurance.

Apr. 05 Purchased $1,200 of supplies on credit.

Apr. 05 Received an advance of $1,800 cash from a customer for roof repairs to be done during April and May.

Apr. 12 Billed customers $5,500 for roofing services performed.

Apr. 18 Collected $4,900 cash from customers toward their accounts billed on April 12.

Apr. 29 Paid $675 cash for truck fuel used in April.

Apr. 30 Paid $100 cash for April newspaper advertising.

Apr. 30 Paid $4,500 cash for assistants' wages earned.

Apr. 30 Billed customers $4,000 for roofing services performed.

a. Use the financial statement effects template to record the twelve transactions for April. Note: For each account category, indicate the appropriate account name. Enter "N/A" for any account category that is not used for a given transaction. Note: Indicate a decrease in an account category by including a negative sign with the amount.

Use the financial statement effects template to record the adjustments at the end of April.

Apr. 30 One month of insurance has expired.

Apr. 30 Supplies still available on April 30 amount to $200.

Apr. 30 Depreciation for April was $125 on the truck.

Apr. 30 Depreciation for April was $35 on equipment.

Apr. 30 One-fourth of roofing fee received on April 5 was earned by April 30.

Note: For each account category, indicate the appropriate account name. Enter "N/A" for any account category that is not used for a given transaction. Note: Indicate a decrease in an account category by including a negative sign with the amount.