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Carrie Crews started Motley Crew Cleaning, LLC, a a commerical cleaning company started on May 1. She completed the following transactions in her first month
Carrie Crews started Motley Crew Cleaning, LLC, a a commerical cleaning company started on May 1. She completed the following transactions in her first month of business. Ref # 1 Crews invested $70,000 cash and office equipment valued at $15,000 in the company 2 The company took out a 12 month loan for $10,000 to upgrade the future purchase of cleaning equipment. The note and interest will be due one year from now. The rate is 9%. 3 Paid first month's rent of $2300 4 Purchased $2000 of cleaning supplies. 5 Hired a secretary for $2200 a month. 6 The company purchased a company car for $12,000 7 The company paid for Internet installation $225 8 The company purchased computer equipment for $5,400 cash at Best Buy. 9 The company purchased $4,000 of cleaning supplies and $2,000 of office equipment on credit from Acme Company. 10 Billed El Centro Office Complex for the first half of the month of cleaning $2500 11 Billed the City of Fallbrook for the first half of the month of cleaning $3000 12 The company paid wages in the amount of $1100 13 The company paid a local newspaper $830 cash for printing an announcement of the opening. 14 A new client, AB Credit Union prepaid $3000 for monthly cleaning. Crews will bill this client monthly on the 15th of each month. 15 Received a check from El Centro for $2500 16 The company made a partial payment of $950 cash on the equipment purchased on May 13th 17 Crews took a draw of $1600 from the business 18 The company paid $1250 wages for May 16- May 31 19 Billed El Centro Office Complex for the last half of the month of cleaning $2500 20 Billed the City of Fallbrook for the last half of the month of cleaning $3000 plus a late fee of $100 21 Recorded Interst due on loan 22 Used $1900 of cleaning supplies 23 Paid Sales Tax of 5% and Registration on car of $75 24 Gas expense for the car for the month totalled $120
REF Accounts DR CR A Equipment 10,000 Cash 10,000 enter comments about the transaction on the line below Enter the debit transaction first Indent for the credit entry leave a line between entries Journal Entries REF Accounts DR CR Balance Check figure - -
| Carrie Crews started Motley Crew Cleaning, LLC, a a commerical cleaning company started on May 1. She completed the following transactions in her | |||||||||||||||||||||||||
| first month of business. | |||||||||||||||||||||||||
| Ref # | |||||||||||||||||||||||||
| 1 | Crews invested $70,000 cash and office equipment valued at $15,000 in the company | ||||||||||||||||||||||||
| 2 | The company took out a 12 month loan for $10,000 to upgrade the future purchase of cleaning equipment. The note and interest will be due one year from now. The rate is 9%. | ||||||||||||||||||||||||
| 3 | Paid first month's rent of $2300 | ||||||||||||||||||||||||
| 4 | Purchased $2000 of cleaning supplies. | ||||||||||||||||||||||||
| 5 | Hired a secretary for $2200 a month. | ||||||||||||||||||||||||
| 6 | The company purchased a company car for $12,000 | ||||||||||||||||||||||||
| 7 | The company paid for Internet installation $225 | ||||||||||||||||||||||||
| 8 | The company purchased computer equipment for $5,400 cash at Best Buy. | ||||||||||||||||||||||||
| 9 | The company purchased $4,000 of cleaning supplies and $2,000 of office equipment on credit from Acme Company. | ||||||||||||||||||||||||
| 10 | Billed El Centro Office Complex for the first half of the month of cleaning $2500 | ||||||||||||||||||||||||
| 11 | Billed the City of Fallbrook for the first half of the month of cleaning $3000 | ||||||||||||||||||||||||
| 12 | The company paid wages in the amount of $1100 | ||||||||||||||||||||||||
| 13 | The company paid a local newspaper $830 cash for printing an announcement of the opening. | ||||||||||||||||||||||||
| 14 | A new client, AB Credit Union prepaid $3000 for monthly cleaning. Crews will bill this client monthly on the 15th of each month. | ||||||||||||||||||||||||
| 15 | Received a check from El Centro for $2500 | ||||||||||||||||||||||||
| 16 | The company made a partial payment of $950 cash on the equipment purchased on May 13th | ||||||||||||||||||||||||
| 17 | Crews took a draw of $1600 from the business | ||||||||||||||||||||||||
| 18 | The company paid $1250 wages for May 16- May 31 | ||||||||||||||||||||||||
| 19 | Billed El Centro Office Complex for the last half of the month of cleaning $2500 | ||||||||||||||||||||||||
| 20 | Billed the City of Fallbrook for the last half of the month of cleaning $3000 plus a late fee of $100 | ||||||||||||||||||||||||
| 21 | Recorded Interst due on loan | ||||||||||||||||||||||||
| 22 | Used $1900 of cleaning supplies | ||||||||||||||||||||||||
| 23 | Paid Sales Tax of 5% and Registration on car of $75 | ||||||||||||||||||||||||
| 24 | Gas expense for the car for the month totalled $120 | ||||||||||||||||||||||||
| REF | Accounts | DR | CR |
| A | Equipment | 10,000 | |
| Cash | 10,000 | ||
| enter comments about the transaction on the line below | |||
| Enter the debit transaction first | |||
| Indent for the credit entry | |||
| leave a line between entries | |||
| Journal Entries | |||
| REF | Accounts | DR | CR |
| Balance Check figure | - | - |
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Financial and Managerial Accounting
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
2nd edition
978-1119036357, 1119036356, 1118338413, 1118334264, 978-1118338414, 978-1118334263
