Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Hello! I was hoping to get my work checked for the following problem as well as help with requirement number 3. Thanks so much. During
Hello! I was hoping to get my work checked for the following problem as well as help with requirement number 3. Thanks so much.
During its first month of operation, the Leonard Landscaping Company, which, specializes in landscaping services, completed the following transactions. Date April 1 April Transactions Transaction Description Started a landscaping business by making a $50,000 deposit in a company bank account, in exchange for 5,000 shares of $10 par value common stock. Purchased insurance for the year and paid $3,600 cash. Paid monthly rental of $2,500 cash on a warehouse to store the landscaping equipment. Purchased landscaping equipment from Toro for $15,000, paying a downpayment of $10,000 cash, and $5,000 on account. April 1 April 1 April 3 April 5 April 7 April 10 April 12 April 15 April 20 April 28 Purchased landscaping supplies of $750 on account. Paid $500 cash for advertising in local newspapers. Received $12,500 in cash for landscaping services provided. Paid $2,000 on account for landscaping equipment previously purchased on April 3rd. Provided landscaping services on account for $1,200. Received $10,500 in cash for landscaping services provided. Received $600 cash on account for landscaping services performed on April 15th. Received $4,000 cash for landscaping services provided. Paid a utility bill of $700 cash. Paid dividends of $3,000 cash The inventory of landscaping supplies showed a balance of $300 on hand at the end of the month. April 30 April 30 April 30 April 30 Use the following account descriptions for journal entries. Chart of Accounts Account Number Account Title Normal Balance Account Type Assets 111 115 117 119 144 Cash Accounts Receivable Prepaid Insurance Landscaping Supplies Landscaping Equipment Debit Debit Debit Debit Debit Liabilities 212 Accounts Payable Credit Stockholders Equity 311 313 Common Stock Dividends Credit Debit Revenue 411 Landscape Services Revenue Credit Expenses 511 512 514 517 Warehouse Rent Expense Advertising Expense Landscaping Supplies Expense Utility Expense Debit Debit Debit Debit REQUIREMENT #1: Prepare journal entries to record the the April transactions in the General Journal below. Remember that Debits must equal Credits-All of your Journal Entries should balance. General Journal Account Number from Chart of Accounts tab Credit Date 1-Apr Account Title from Chart of Accounts tab Cash Common Stock Debit 50,000 50,000 1-Apr 3,600 Prepaid Insurance Cash 3,600 3-Apr 15,000 Landscaping Equipment Cash Accounts Payable 10,000 5,000 5-Apr 750 Landscaping Supplies Lanscaping supplies expense 750 7-Apr 500 Advertising Expense Cash 500 10-Apr 12,500 Cash Landscape Services Revenue 12,500 12-Apr 2,000 Accounts Payable Cash 2,000 15-Apr 1,200 Accounts Recievable Landscape Services Revenue 1,200 20-Apr Accounts recievable Cash 10,500 10,500 28-Apr 600 Cash Landscape Services Revenue 600 30-Apr 4,000 Cash Landscape Services Revenue 4,000 30-Apr 700 Utility Expense Cash 700 30-Apr 3,000 Dividends Cash 3,000 30-Apr 300 Supplies Expense Cash 300 1-Apr 10-Apr REQUIREMENT #2: Post the April journal entries to the following T-Accounts and compute ending balances. Date Cash (111) Date Landscape Service Revenue (411) 1-Apr 50,000 10-Apr 12,500 3,600 15-Apr 1,200 3-Apr 10,000 28-Apr 600 7-Apr 500 30-Apr 4,000 12,500 Total 18,300 12-Apr 2,000 20-Apr 10,500 28-Apr 600 30-Apr 4,000 30-Apr 700 30-Apr 3,000 30-Apr 300 Total: 77,600 20,100 Closing Balance 57,500 Prepaid Insurance (117) 3,600 Warehouse Rent Expense (511) 1-Apr Total: 3,600 Landscaping Supplies (119) 750 Common Stock (311) 5-Apr 1-Apr 50,000 Total: 750 Total: 50,000 Landscaping Equipment (144) 15,000 Dividends (313) 3,000 3-Apr 30-Apr Total: 15,000 Total: 3,000 Accounts Receivable (115) 1,200 10,500 Advertising Expense (512) 500 15-Apr 20-Apr 7-Apr Total: 500 Total: 11,700 Accounts Payable (212) Landscaping Supplies Expense (514) 5-Apr 5,000 750 3-Apr 12-Apr 2,000 Total: 750 Total: 3,000 Utility Expense (517) 30-Apr 700 Total: 700 REQUIREMENT #3: Prepare a trial balance for March in the space below. Leondard's Landscaping Company Trial Balance April 30 Account Title Account Number Balance Debit Credit
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started