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During the month of September, the Texas Go-Kart Company had the following business activities: On September 1, paid rent on the track facility for six
During the month of September, the Texas Go-Kart Company had the following business activities:
- On September 1, paid rent on the track facility for six months at a total cost of $13,200.
- On September 1, received $57,600 for season tickets for 12-month admission to the race track.
- On September 1, booked the race track for a private organization that will use the track one day per month for $2,300 each time, to be paid in the following month. The organization uses the track on September 30.
- On September 1, hired a new manager at a monthly salary of $3,300, to be paid the first Monday following the end of the month.
Required:
- Prepare the journal entry, if any, required to record each of the initial business activities on September 1.
- Prepare the adjusting journal entries, if any, required on September 30.
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