Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Help Save & Exit Submit The following transactions pertain to Smith Training Company for Year 1: January 30 Established the business when it acquired

image text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribed

Help Save & Exit Submit The following transactions pertain to Smith Training Company for Year 1: January 30 Established the business when it acquired $46,000 cash from the issue of common stock. February 1 Paid rent for office space for two years, $15,100 cash. April 10 Purchased $810 of supplies on account. July 1 Received $21,500 cash in advance for services to be provided over the next year. July 20 Paid $688 of the accounts payable from April 10. August 15 Billed a customer $10,200 for services provided during August. September 15 Completed a job and received $2,900 cash for services rendered. October 1 Paid employee salaries of $33,000 cash. October 15 Received $7,600 cash from accounts receivable. November 16 Billed customers $34,000 for services rendered on account. December 1 Paid a dividend of $900 cash to the stockholders. December 31 Adjusted records to recognize the services provided on the contract of July 1. December 31 Recorded $2,100 of accrued salaries as of December 31. December 31 Recorded the rent expense for the year. (See February 1.) December 31 Physically counted supplies; $110 was on hand at the end of the period. Required a. Record the preceding transactions in the general journal. b. Post the transactions to T-accounts. (You will also post the closing entries in Req E to these T-accounts.) c. Prepare an adjusted Trial Balance.. d-1. Prepare an income statement for Year 1. d-2. Prepare a statement of changes in stockholders' equity for Year 1. d-3. Prepare a balance sheet for Year 1. d-4. Prepare a statement of cash flows for Year 1. e. Record the entries to close the Year 1 temporary accounts to Retained Earnings in the general journal and post to the T-accounts. f. Prepare a post-closing trial balance for December 31, Year 1. Complete this question by entering your answers in the tabs below.

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

Advanced Accounting

Authors: Paul M. Fischer, William J. Tayler, Rita H. Cheng

11th edition

538480289, 978-0538480284

More Books

Students also viewed these Accounting questions