Question
On January 1, 2018, the general ledger of Grand Finale Fireworks includes the following account balances: Accounts Debit Credit Cash $ 42,700 Accounts Receivable 44,500
On January 1, 2018, the general ledger of Grand Finale Fireworks includes the following account balances:
Accounts | Debit | Credit | ||||
Cash | $ | 42,700 | ||||
Accounts Receivable | 44,500 | |||||
Supplies | 7,500 | |||||
Equipment | 64,000 | |||||
Accumulated Depreciation | $ | 9,000 | ||||
Accounts Payable | 14,600 | |||||
Common Stock, $1 par value | 10,000 | |||||
Additional Paid-in Capital | 80,000 | |||||
Retained Earnings | 45,100 | |||||
Totals | $ | 158,700 | $ | 158,700 | ||
|
During January 2018, the following transactions occur: January 2 Issue an additional 2,000 shares of $1 par value common stock for $40,000. January 9 Provide services to customers on account, $14,300. January 10 Purchase additional supplies on account, $4,900. January 12 Repurchase 1,000 shares of treasury stock for $18 per share. January 15 Pay cash on accounts payable, $16,500. January 21 Provide services to customers for cash, $49,100. January 22 Receive cash on accounts receivable, $16,600. January 29 Declare a cash dividend of $0.30 per share to all shares outstanding on January 29. The dividend is payable on February 15. (Hint: Grand Finale Fireworks had 10,000 shares outstanding on January 1, 2018 and dividends are not paid on treasury stock.) January 30 Reissue 600 shares of treasury stock for $20 per share. January 31 Pay cash for salaries during January, $42,000.
Journal entry worksheet 2 3 4 7 8 9 10 Provide services to customers for cash, $49,100 Note: Enter debits before credits. Date General Journal Debit Credit January 21 Accounts payable 49,100 Service revenue 49,100Step by Step Solution
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