need help with general ledger
need help with #5
need help with this
need help with this
need help with this
During its first month of operation, the Quick Tax Corporation, which specializes in tax preparation completed the following transactions. Began business by making a deposit in a company bank account of $40,000, in exchange for 4,000 shares of $10 par value common stock July 1 July 3 July 5 July 7 July 10 July 14 Paid the current month's rent,$2,500 Paid the premium on a 1-year insurance policy, $3,600 Purchased supplies on account from Little Company, $700. Paid employee salaries, $2,800 Purchased equipment from Lake Company, $9,500. Paid $1,500 down and the balance was placed on account. Payments will be $500.00 per month for 20 months. The first payment is due 8/1 Note: Use accounts payable for the balance due. July 15 Received cash for preparing tax retums for the first half of July, $6,500 July 19 Made payment on account to Lake Company, $500. July 31 Received cash for preparing tax retums for the last half of July, $8,250 July 31 Declared and paid cash dividends of $450. Cash 111 Tax Preparation Revenue 40000 July 3 2500 3600 2800 1500 500 450 6500 July 5 8250 July 10 Accounts Payable (212 Depreciation Expense (515 500 700 8,000 July 14 July 19 July 31 Balance: 43,400 Income Tax Payable (213 Income Tax Expense (516 Prepaid Insurance (117 3600 Rent Expense (511 Balance: 3,600 Common Stock (311 Retained Eamings (312 700 Salaries Expense (512 Balance: 700 Dividends (313 Equipment (144 9500 Insurance Expense (513 Balance 9,500 ted Depreciation-Equipment (145 9,500 Supplies Expense (514 Balance: 9,500 Requirement #4: Prepare adjusting entries using the following information in the General Journal below. Show your calculations! a) One month's insurance has expired b) The remaining inventory of supplies is $300 c) The estimated depreciation on equipment is $125 d) The estimated income taxes are $2700 General Jounal Credit Date Description (Account Name)Debit 31-Jul 31-Jul 31-Jul 31-Jul insurance expense pre paid insurance supplies expense supplies depreciation expense umulated depreciation-equipme income tax expense income tax payable 300 400 125 2,700 300 400 125 2.700 Requirement #5: Post the adjusting entries to the General Ledger T-accounts and compute adjusted balances. Just add to the balances that are already listed. Quick Tax Corporation Income Statement For the Month Ending July 31 Quick Tax Corporation Statement of Retained Eamings For the Month Ending July 31 Quick Tax Corporation Balance Sheet July 31 Revenues Revenue Expenses Rent Expense Salaries Expense Insurance Expense Supplies Expense Depreciation Expense Income Tax Expense Retained Eamings, July 1 Add: Net Income Subtotal Less: Dividends Retained Eamings, July 31 Assets Cash Supplies Prepaid Insurance Equipment Less: Accum. Depr. Total Assets Liabilities Accounts Payable Income Tax Payable Total Liabilities Stockholders' Equity: Common Stock Retained Eamings Total Stockholders' Equity Total Liabilities and Total Expenses Net Income Stockholders' Equity Requirement8: Prepare the closing entries at July 31 in the General Journal below. General Joumal Date Description (Account Name DebitCredit Requirement #9: Post the closing entries to the General Ledger T-accounts and compute ending balances. Just add to the adjusted balances already listed. Requirement #10: Prepare a post-closing trial balance as of July 31 in the space below. Quick Tax Corporation Post-Closing Trial Balance July 31
