Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please help!! I completed most of it but I just need help with req. 2B, 6, 7, and 8. This is all one problem! After

image text in transcribed

image text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribed

Please help!! I completed most of it but I just need help with req. 2B, 6, 7, and 8. This is all one problem!

After the success of the company's first two months, Santana Rey continues to operate Business Solutions. The November 30, 2020 , unadjusted trial balance of Business Solutions (reflecting its transactions for October and November of 2020) follows. Business Solutions had the following transactions and events in December 2020. December 2 Paid $1,020 cash to Hillside Mall for Business Solutions's share of mall advertising costs. December 3 Paid $410 cash for minor repairs to the company's computer. December 4 Received $4,150 cash from Alex's Engineering Co. for the receivable from November. December 10 Paid cash to Lyn Addie for six days of work at the rate of $115 per day. December 14 Notified by Alex's Engineering Company that Business Solutions's bid of $7,100 on a proposed project has been accepted. Alex's paid a $2,000 cash advance to Business Solutions. Post the journal entries to record each of the December transactions from Requirement 1 and adjusting entries from Requirement 2A. After completing Requirement 7, po the closing entries to the general ledger accounts. Prepare an adjusted trial balance as of December 31, 2020. repare a statement of retained earnings for the three months ended December 31,2020 . Prepare journal entries to record each of the December transactions and events for Business Solutions. Note: If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field. \begin{tabular}{|l|r|r|} \hline Wages expense & 3,750 \\ \hline Insurance expense & 540 & \\ \hline Rent expense & 2,475 & \\ \hline Computer supplies expense & 1,905 & \\ \hline Advertising expense & 2,708 & \\ \hline Mileage expense & 634 & \\ \hline Miscellaneous expenses & 240 & \\ \hline Repairs expense-Computer & 1,185 & \\ \hline Totals & $107,204 & $107,204 \\ \hline \end{tabular} Prepare adjusting entries to reflect a through f. repare an income statement for the three months ended December 31, 2020. Prepare a post-closing trial balance as of December 31, 2020 . Req 1 \begin{tabular}{|l||l||l||l|l||c||} Req 2A & Req 2B & Req 3 & Req 4 & Req 5 & Req 6 \\ \hline \end{tabular} Req 7 Req 8 Record the necessary closing entries as of December 31, 2019 and then post the closing entries to the general ledger in Requirement 2B. View transaction list View journal entry worksheet \begin{tabular}{|l|l|l|l|r|} \hline & 5 & December 14 & Cash & 2,000 \\ \hline & & Unearned computer services revenue & & \\ \hline & & & & \\ \hline \end{tabular} Prepare a balance sheet as of December 31, 2020. Business Solutions had the following transactions and events in December 2020. December 2 Paid $1,020 cash to Hillside Mall for Business Solutions's share of mall advertising costs. December 3 Paid $410 cash for minor repairs to the company's computer. December 4 Received $4,150 cash from Alex's Engineering Co. for the receivable from November. December 10 Paid cash to Lyn Addie for six days of work at the rate of \$115 per day. been accepted. Alex's paid a $2,000 cash advance to Business Solutions. December 15 Purchased $1,600 of computer supplies on credit from Harris Office Products. December 16 Sent a reminder to Gomez Company to pay the fee for services recorded on November 8 . December 20 Completed a project for Liu Corporation and received \$6,625 cash. December 22-26 Took the week off for the holidays. December 28 Received $3,100 cash from Gomez Company on its receivable. December 29 Reimbursed S. Rey for business automobile mileage (500 miles at \$0.25 per mile). December 31 The company paid $1,000 cash in dividends. The following additional facts are collected for use in making adjusting entries prior to preparing financial statements for the company's first three months. a. The December 31 inventory count of computer supplies shows $640 still available. b. Three months have expired since the 12-month insurance premium was paid in advance. c. As of December 31, Lyn Addie has not been paid for four days of work at $115 per day. d. The computer system, acquired on October 1 , is expected to have a four-year life with no salvage value. e. The office equipment, acquired on October 1 , is expected to have a five-year life with no salvage value. f. Three of the four months' prepaid rent have expired. Required: 1. Prepare journal entries to record each of the December transactions and events for Business Solutions. 2-a. Prepare adjusting entries to reflect a through f. 2-b. Post the journal entries to record each of the December transactions from Requirement 1 and adjusting entries from Requirement 2A. After completing Requirement 7, post the closing entries to the general ledger accounts. 3. Prepare an adjusted trial balance as of December 31, 2020. 4. Prepare an income statement for the three months ended December 31, 2020. 5. Prepare a statement of retained earnings for the three months ended December 31, 2020. 6. Prepare a balance sheet as of December 31, 2020. 7. Record the necessary closing entries as of December 31, 2019 and then post the closing entries to the general ledger in Requirement 2B. 8. Prepare a post-closing trial balance as of December 31, 2020

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting

Authors: Charles E. Davis, Elizabeth Davis

2nd edition

1118548639, 9781118800713, 1118338448, 9781118548639, 1118800710, 978-1118338445

More Books

Students also viewed these Accounting questions

Question

What factors contribute most to the comprehension of read text?

Answered: 1 week ago