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Help S Saved amework Required information P3-4 (Algo) Analyzing the Effects of Transactions Using T-Accounts, Preparing an Income Statement, and Evaluating the Net Profit Margin

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Help S Saved amework Required information P3-4 (Algo) Analyzing the Effects of Transactions Using T-Accounts, Preparing an Income Statement, and Evaluating the Net Profit Margin Ratio as a Manager LO3-4, 3-5, 3-6 [The following information applies to the questions displayed below.) Kaylee James, a connoisseur of fine chocolate, opened Kaylee's Sweets in Collegetown on February 1. The shop specializes in a selection of gourmet chocolate candies and a line of gourmet ice cream. You have been hired as manager. Your duties include maintaining the store's financial records. The following transactions occurred in February, the first month of operations. a. Received four shareholders' contributions totaling $28,000 cash to form the corporation; issued 400 shares of $0.10 par value common stock. b. Paid three months' rent for the stpre at $1,880 per month (recorded as prepaid expenses). c. Purchased and received candy for $5,600 on account, due in 60 days. d. Purchased supplies for $1,330 cash. e. Negotiated and signed a two-year $18,000 loan at the bank, receiving cash at the time. Used the money from (e) to purchase a computer for $3.400 (for recordkeeping and inventory tracking): used the balance for furniture and fixtures for the store. 9. Placed a grand opening advertisement in the local paper for $490 cash; the ad ran in the current month. h. Made sales on Valentine's Day totaling $3,500; $2,655 was in cash and the rest on accounts receivable. The cost of the candy sold was $1,700. 1. Made a $560 payment on accounts payable. J. Incurred and paid employee wages of $1,200. k. Collected accounts receivable of $195 from customers. I. Made a repair to one of the display cases for $100 cash. m. Made cash sales of $3,000 during the rest of the month. The cost of the candy sold was $1,810. 1 Prey 2 3 of 3 !! Next > P3-4 Part 1 and 2 Required: 1 & 2. Record in the T-accounts the effects of each transaction for Kaylee's Sweets in February, referencing each transaction in the accounts with the transaction letter. Cash Accounts Receivable Beg. bal. Beg. bal. End, bal. 0 End. bal. Inventory Supplies Beg. bal Beg bal. 0 End. bal. 0 End. bal. of 3 Next > Prey 1 2 3 Paoletta- Mountain... dary Prepaid Expenses Equipment Beg. bal Beg. bal. End, bal. End, bal. 0 Furniture and Fixtures Accounts Payable Beg. bal. Beg. bal. End. bal. 0 End. bal. 0 Notes Payable Common Stock Beg. bal. Beg. bal. End. bal. 0 End. bal. 0 + Additional Paid-in Capital Sales Revenue Beg. bal. Beg. bal. 0 End. bal. End. bal. Required information 0 End. bal. End. bal. art 1 of 3 Additional Paid-in Capital Sales Revenue Beg. bal. Beg. bal 56 ints 0 eBook End. bal. End, bal. Print Cost of Goods Sold Repair Expense References Beg. bal. Beg. bal. End, bal. 0 End, bal. 0 Wage Expense Advertising Expense Beg. bal. Beg. bal. End, bal. 0 0 End. bal. of 3 1 2 3 Next >

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