Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

ezt Karla Tanner opens a web consulting business called Linkworks and recorded the following transactions in its first month of operations Apr. 1 Tanner invests

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
ezt Karla Tanner opens a web consulting business called Linkworks and recorded the following transactions in its first month of operations Apr. 1 Tanner invests $80,000 cash along with office equipment valued at $26,000 in the company in exchange for common stock Apr. 2 The company prepaid $9,000 cash for twelve months' rent for office space. The company's pollicy is record prepaid expenses in balance sheet Apr. 3 The company made credit purchases for $8,000 in office equipment and $3,600 in office supplies. Payment is due within 10 days Apr. 6 The company completed services for a client and immediately received $A,000 cash Apr. 9 The company completed a $6,000 project for a client, who must pay within 30 days Apr. 13 The company paid $11,600 cash to settle the account payable created on April 3 Apr.19 The company paid $2,400 cash for the premium on a 12-month insurance policy. The company's policy is record prepaid expenses in Apr. 22 The company received $4,400 cash as partial payment for the work completed on April 9 Apr. 25 The company completed work for another client for $2,890 on credit Apr. 28 The company paid $5,500 cash in dividends. Apr. 29 The company purchased $600 of additional office supplies on credit Apr. 30 The company paid $435 cash for this month's utility bil Cust Mat Descriptions of items that require adjusting entries on April 30, 2015, follow a) On April 2, the company prepaid $9,000 cash for twelve months' rent for office b) The balance in Prepaid insurance represents the premium paid for a 12-month insurance policy; the policy's coverage began on April 1 c) Office supplies on hand as of April 30 total $1,200 d) Straight-ine depreciation of office equipment, based on a S-year life and a $4,000 salvage value, is $500 per month. e) The company has completed work for a client, but has not yet billed the $1,800 fee. t Wages due to employees, but not yet paid, as of April 30 total $2,600. General Tria General Journal tab -For each transaction, review the unadjusted balance and correctly report the revenue earned or the expense incurred. After adjusting the to accounts, review the general ledger and trial to the general ledger, Use the drop-down button to view the You may vicew either the unadjusted or adjusted tial balance by choosing from the dropdown box below Each or adjusted balances. ce ab Trial Balance tab -You ma Your choice will determine the reported values on the financial Income Statement tab- Use the drop-downs to select the accounts properly included on the y view either the unadjusted or adjust nt tabs. will appear for each account, based on your selection. on your

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_2

Step: 3

blur-text-image_3

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

Audit Risk Assessment Made Easy Seeing What Others Miss

Authors: Charles Hall

1st Edition

0578961679, 978-0578961675

More Books

Students also viewed these Accounting questions

Question

a score of 60 or higher on the test?

Answered: 1 week ago