Question
PART A [5%] Alamein opened Alamein Cleaning Services (ACS) on July 1, 2017. During July, the following transactions took place: July 1 Alamein invested $20,000
PART A [5%]
Alamein opened Alamein Cleaning Services (ACS) on July 1, 2017. During July, the following transactions took place:
July 1Alamein invested $20,000 in the business.
July 1ACS purchased a used truck for $12,000, paying $4,000 cash, with the balance on account. The truck is expected to be used for 5 years and after which it will disposed off for $2,000.
July 3ACS purchased cleaning supplies for $2,100 on account.
July 5ACS paid $1,800 cash on 1-year insurance policy effective July 1st.
July 12ACS billed customers $4,500 for cleaning services.
July 18ACS paid $1,500 cash on amount owed on truck and $1,400 on amount owed on cleaning supplies.
July 20ACS paid $2,800 cash for employee salaries.
July 21ACS collected $3,400 cash from customers billed on July 12.
July 25ACS billed customers $6,000 for cleaning services.
July 31ACS paid $350 for the monthly gasoline bill for the truck.
July 31ACS withdrew $5,600 cash for personal use.
Required
PART B [5%]
ACS discovered the following data on July 31st after preparing the trial balance in Part A above:
Required:
3
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