Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Carpet Company began operations in May and completed the following transactions during that first month of operations. Pass journal entries to record the following transactions

Carpet Company began operations in May and completed the following transactions during that first month of operations. Pass journal entries to record the following transactions 1 May 2 May Carol, the owner, invested OMR 90,000 cash in the Company. The Company purchased OMR 25,000 in office equipment. It paid OMR 10,000 in cash and signed a note payable for the balance. The Company rented office space and paid OMR 3,000 for the 12 months' 3 May rent, 4 May 5 May 6 May The Company installed new carpet for a customer and immediately collected OMR 5,000. The Company paid a supplier OMR 2,000 for materials used on the May 4 job. The Company purchased a copy machine of OMR 2,500 for office use on credit. 7 May Purchased office equipment for OMR 30,000, paying OMR 8,000 cash and agreeing to pay the balance in one year. Purchased office supplies for OMR 750 cash. Completed work for a client and immediately collected OMR 2,700 cash for 8 May 9 May the services. Received telephone bill, OMR 300. Immediately paid OMR 100 and the payment for the remaining was deferred until next month. Received OMR 3,600 from a client for the work completed. Paid the office secretary's salary for two weeks, OMR 300 cash. Carol withdrew OMR 2,000 for personal use. The Company have rented a machine and paid OMR 200 cash for the rent. The Company took a bank loan to use for the business operations, OMR 10 May 11 May 12 May 13 May 14 May 15 May 5,000. 16 May 17 May The Company paid OMR 750 cash for this month's cleaning services. The Company provided carpet services for a client and immediately collected OMR 5,400 cash. The Company provided carpet services of OMR 2,500 for a client on credit. The Company received OMR 2,000 as advance payment from a customer for services to be provided next week. The Company received OMR 2,500 cash payment for the services provided on May 18. 18 May 19 May 20May

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

Advanced Audit And Assurance The Auditors Bible

Authors: Nhyira Premium IBL

1st Edition

B0BCXSXSJ7, 979-8829719432

More Books

Students also viewed these Accounting questions