Answered step by step
Verified Expert Solution
Question
1 Approved Answer
On November 1, 2022, Larkspur had the following account balances. The company uses the perpetual inventory method. Cash Accounts Receivable Supplies Equipment Debit $5,400 Accumulated
On November 1, 2022, Larkspur had the following account balances. The company uses the perpetual inventory method. Cash Accounts Receivable Supplies Equipment Debit $5,400 Accumulated Depreciation-Equipment 1,344 Accounts Payable 516 Unearned Service Revenue 15,000 Salaries and Wages Payable $22,260 Common Stock Retained Earnings Credit $600 2,040 2,400 1,020 12,000 4,200 $22,260 Nov. 8 10 11 12 15 19 20 During November, the following summary transactions were completed. Paid $2,130 for salaries due employees, of which $1,110 is for November and $1,020 is for October. Received $1,140 cash from customers in payment of account. Purchased merchandise on account from Dimas Discount Supply for $4,800, terms 2/10, n/30. Sold merchandise on account for $3,300, terms 2/10, n/30. The cost of the merchandise sold was $2,400. Received credit from Dimas Discount Supply for merchandise returned $180. Received collections in full, less discounts, from customers billed on sales of $3,300 on November 12. Paid Dimas Discount Supply in full, less discount. Received $1,380 cash for services performed in November. Purchased equipment on account $3,000. Purchased supplies on account $1,020. Paid creditors $1,800 of accounts payable due. Paid November rent $225. Paid salaries $780. Performed services on account and billed customers $420 for those services. Received $405 from customers for services to be performed in the future. 22 25 27 28 29 29 29 29 Post to the ledger accounts. (Post entries in the order of journal entries presented in the previous part.) Cash 5,400 11/1 Bal. > C Supplies 11/1 Bal. 516 Equipment 15,000 11/1 Bal. Accumulated Depreciation-Equipment 11/1 Bal. 600 Accounts Payable 11/1 Bal. 2,040
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started