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help with impact on income June 1 T. yen, the owner. Invested 5158,000 casts, office equipment with a value of $19,500, and 589,000 of drafting
help with impact on income
June 1 T. yen, the owner. Invested 5158,000 casts, office equipment with a value of $19,500, and 589,000 of drafting equipoent to launch the company. June 2 The company purchased land worth 563,500 for an office by paying $26,600 cash and signing a note payable for 536,900. June 2 The company purchased portable building with 340,500 cash and moved it onto the land acquired on June 2. June 2 The company paid $11,700 cash for the premium on a 15-month Insurance policy: June 7 The company completed and delivered a set of plans for a client and collected $27,000 cash. June 12 The company purchased $37,460 of additional drafting equipment by paying $24,000 cash and signing payable for $13,400. Jane 14 The company completed 597,200 of engineering services for a client. This amount is to be received in days. June 15 The company purchased $2,600 of additional office equipment on credit. June 17 The company completed engineering services for $27,000 on credit. June 18 The company received a bit for rent of equipment that was used on a recently completed job. The $2,750 rent cost must be June 20 The company collected $15,00 cash in partial payment from the client billed on June 14. June 21 The company paid $2,000 cash for wages to a drafting assistant. June 23 The company paid $2,600 cash to settle the account payable created on June 15. June 34 The company paid $1,650 cash for repairs. June 26 Ti Nguyen withdrew $10,00 cash from the company for personal use. June 23 The company paid $2,000 cash for wages to drafting assistant June 30 The company paid $3,669 cash for advertisements on the web during June. Descriptions of items that require adjusting entries on June 30, 2021, follow aj The company has completed, but not yet billed, $17.600 of engineering services for a client b) Straight-line depreciation on the office equipment, assuming a 5 year life and a $2,300 salvage value, is $330 per month Straight-line depreciation on the drafting equipment, assuming a 5-year life and a $12.400 salvage value is $1,900 per month d) Straight-line depreciation on the building, assuming a 25-year life and a $1.500 salvage value is $130 per month e) The balance in prepaid insurance represents a 15-month policy that went into effect on June 1 f) Accrued interest on the long-term note payable is $190 9) The drafting assistant is paid $2,000 for a 5-day work week 2 days' wages have been incurred but are unpaid as of month end. Adjusted Account affecting the Income Statement Balance Sheet Impact on net income Adjusting entry related to a) Unbilled fees b) Depreciation of office equipment c) Depreciation of drafting equipment d) Depreciation of building e) Prepaid insurance Accrued interest 9) Unpaid wages $ 5 0 Had the adjustments not been prepared, income would have been understated by 0 Step by Step Solution
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