journal entries, adjusting journal entries, balance sheeet, profit and lost

Comprehensive Computer Program, Page 7 The Corporation performs adjusting entries monthly. Closing entries are performed annually on December 31. During December the following transactions occurred. These are your journal entries.) Dec. 1 Issued 20,000 shares of capital stock to Paula Petersen and other investors in exchange for a total of $40,000 cash. Dec. 1 Paid $9,600 to Mages Realty for 12 months rent paid in advance. (Use the Asset account: Prepaid Rent for the entire amount). Dec.2 Purchased plumbing repair equipment and tools from Host Corp. for $15,000 (use the account Plumbing Equipment). Paid $5,000 in cash with the balance due on a Note Payable (principal and interest due in 6 months). Dec. 4 Purchased office supplies on Account from Clousers for $1,000. Payment is due in 15 days. These supplies are expected to last for several months. do no bi mogu Dec. 5 Purchased a 6 month business Insurance Policy for $1,200 from the Seyler Agency (use the Asset account Unexpired Insurance for the entire amount). bor rolamo Dec. 10 Received $4,000 cash from the Wink Apartment Complex in Exeter Township as advance payment for services to be provided. (Use the Liability account: Unearned Plumbing Fees.) Dec. 16 Paid employee salaries for the first two weeks of December, $2,000. Dec. 16 Earned $7,500 in fees for plumbing repairs completed in the first two weeks of December. $3,000 was received in cash and the remainder was billed to PPI's customers on Account (due in 10 days.) Dec. 19 Paid the amount due to Clousers on account from the Dec. 4th purchase. Dec. 26 Received amount due on account from the December 16 billing.no to po Dec. 27 PPI was named, along with Mages Agency, as a co-defendant in a $15,000 lawsuit filed on behalf of Joseph Walker. Walker slipped on ice outside of the shop and broke his leg. The extent of the Corporation's legal and financial responsibility, if any, can not be determined at this time. (Note: this event does not need a journal entry at this time, but may require disclosure in the notes accompanying the financial statements, Dec. 30 Received a phone bill for the month of December from Sprint in the amount of $300. The amount is due on January 15, 2020. blogu bro Dec. 30 Declared a cash dividend of $.05 (5 cents) per share, payable on January 15, 2020, (You declare first and pay later so credit Dividends Payable) soolo Comprehensive Computer Program, Page 8 Dec. 31 Earned $9,000 in fees for plumbing repairs provided for the second two weeks of December. $4,000 was received in cash and the remainder was billed to PPI's customers on Account (due in 12 days.) Data for Adjusting entries (These are done in the general journal.) a. The advance payment for rent on December 1 covered a period of 12 months b. The Insurance Policy is for 6 months til c. The annual interest rate on the Note Payable to Host, Corp. is 6% d. The Plumbing Equipment is being depreciated by the straight-line method for a period of 5 years. e Office Supplies on hand on December 31 are estimated at $600 f. During December, PPI earned $1,000 of the plumbing fees paid in advance by Winks Apartment Complex December 10th. g. Salaries earned by employees since last payroll are $2,200. The Salaries will be paid on 1/3/15 h. The Accountant estimates that the amount of Income Tax Payable will be $2,500. These taxes will be paid in 2020 * Remember Cash is never involved in adjusting entries