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Just having some trouble with the T-accounts, any help would be appreciated! :) Here are the transactions for Pops Inc. for 201x. Pops Inc. performs
Just having some trouble with the T-accounts, any help would be appreciated! :)
Here are the transactions for Pops Inc. for 201x. Pops Inc. performs service work for clients and uses accrual accounting. Transactions by #: 1. The owners started the business as a corporation by contributing $31,890 cash in exchange for common stock. 2. The company purchased office equipment for $10,000 cash and land for $14,000 cash. 3. The company earned total revenue of $25,000 of which $18,000 was collected in cash. 4. The company purchased $910 worth of supplies for cash. 5. The company paid $500 in cash for other operating expenses. 6. At the end of the year, the company owed employees $2,750 for work that the employees had performed in 201x. The next payday, however, is not until January 3 of the new year. 7. Only $215 worth of supplies was left at the end of the year. 8. Depreciation on the office equipment is estimated at $1,000 per year. (Land is not depreciated.) 9, 10, & 11 Prepare the 3 applicable closing entries. No dividends were paid. Chart of Accounts Required Show your legible work on the supplied worksheet in the next tab, and input your name at the top. a. Prepare the journal entries to record the transactions that occurred in 201x. Omit transaction descriptions. Hint: Use the accounts names given in the "Chart of Accounts." Hint: Use the transaction # in lieu of the date in the journal. Hint: Leave a blank row between journal entry. Cash Accounts Receivable (A/R) Supplies Equipment Accumulated Depreciation - Equipment (A/D-EQ) Land Salaries Payable Common Stock Retained Earnings Revenues Salaries Expense Supplies Expense Depreciation Expense Other Operating Expenses Income Summary b. Post the journal entries (#'s 1 - 6) to the T-accounts. c. Prepare adjusting entries (#'s7 & 8) for the journal and then post to the T-accounts. d. Prepare the requested financial statements for the year ended December 31, 201x. Make sure the balance sheet is in classified format. e. Prepare the closing entries (#'s 9 & 10) for the journal and post to the T-accounts. No dividends were paid by Pops Inc. during the year. General Ledger Make sure your write the account name on each T-account! Name: Cash $ 31,890.00 Equipment $ 10,000.00 Land $ 14,000.00 (A/R) $ 7,000.00 Supplies $ 910.00 (A/D-EQ) $1,000.00 $ 695.00 Assets Retained Earnings Common Stock $31,890.00 Salaries Payable $ 2,750.00 L & SH OperationalStep by Step Solution
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