"IT-Mobile 10:44 AM * 17% St. Francis College Department of Accounting and Business Law NAME Section Page 1 ACCOUNTING 1101-COMPREHENSIVE PROBLEM To be completed after Chapter 4) The Helgihts Fitmess Ciub opened for business on Janusry 1,202. Members con attend the dlub for a monthly fee of $ 9 or a yearly fee of S 900 The monthly fee must be paid in cas The yearly fee can be paid iash (members receive 10% discount if they pa he full fee in is also a one-day pass available for a fee of For all fees recelved, the Unearned Membershp Fees account s Initialy credited and then adjusted at the end of each month. When a mermber signs an annual contract, but wants to pay monthly, the club debits the Cash account for the Initialamount received (the amount for the first month) and debits the Accounts Recevable account for the balance, 150 per year. Lockers can aso be rented for long-term use. The monthly fee s All locker fees must be pald in cash, When the club necelives locker fees, initially credits the Unearned Lecker Fees account. Adjustments for fees earmed eccur at the end of each month Additional information The club prepares financial statements monthle aadustments are made monthly 2) A one year liability insurance pollay was purchased onOctober 1,20; the premium paid 3) All assets are being deprecated on a straight-lice bas ) The bulding was purchased on January 1, 202 Original cost b) The health club equipment was purchased on September 1, 20xS. Original cost c) The office 1pment was pureased on Apd 1.20d.onhalcost Estlmated uneful lite (in years Estlmated useful life (in yrars Estimated useful Ife (in years) 308.000 27,000 4) There Is an outstanding one-year note payable, dated November 1,20 and Interest will be due on November 1,20m6 5 100,000 12% Principal amount of the note: Interest rate on the note (per year) Interest expense accrued and recorded at the end of November, 20s 5) A complete chart of accounts used by the Heights Fitness Club appears on page 2 The trial balance dated November 30, 2001on page 3) represents thepotd at that date (ie, this is the trial balance after all adqjustments and closieg entries te heen recorded and posted for the month of November, 20 19 "IT-Mobile 10:44 AM * 17% St. Francis College Department of Accounting and Business Law NAME Section Page 1 ACCOUNTING 1101-COMPREHENSIVE PROBLEM To be completed after Chapter 4) The Helgihts Fitmess Ciub opened for business on Janusry 1,202. Members con attend the dlub for a monthly fee of $ 9 or a yearly fee of S 900 The monthly fee must be paid in cas The yearly fee can be paid iash (members receive 10% discount if they pa he full fee in is also a one-day pass available for a fee of For all fees recelved, the Unearned Membershp Fees account s Initialy credited and then adjusted at the end of each month. When a mermber signs an annual contract, but wants to pay monthly, the club debits the Cash account for the Initialamount received (the amount for the first month) and debits the Accounts Recevable account for the balance, 150 per year. Lockers can aso be rented for long-term use. The monthly fee s All locker fees must be pald in cash, When the club necelives locker fees, initially credits the Unearned Lecker Fees account. Adjustments for fees earmed eccur at the end of each month Additional information The club prepares financial statements monthle aadustments are made monthly 2) A one year liability insurance pollay was purchased onOctober 1,20; the premium paid 3) All assets are being deprecated on a straight-lice bas ) The bulding was purchased on January 1, 202 Original cost b) The health club equipment was purchased on September 1, 20xS. Original cost c) The office 1pment was pureased on Apd 1.20d.onhalcost Estlmated uneful lite (in years Estlmated useful life (in yrars Estimated useful Ife (in years) 308.000 27,000 4) There Is an outstanding one-year note payable, dated November 1,20 and Interest will be due on November 1,20m6 5 100,000 12% Principal amount of the note: Interest rate on the note (per year) Interest expense accrued and recorded at the end of November, 20s 5) A complete chart of accounts used by the Heights Fitness Club appears on page 2 The trial balance dated November 30, 2001on page 3) represents thepotd at that date (ie, this is the trial balance after all adqjustments and closieg entries te heen recorded and posted for the month of November, 20 19
