Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Prepare the following journal entries for the following basic transactions and adjustments in good form. (a) The beginning balance of the Supplies account was $245.
Prepare the following journal entries for the following basic transactions and adjustments in good form.
(a) | The beginning balance of the Supplies account was $245. During the month the company bought additional supplies in the amount of $735. At the end of the month a physical inventory showed $343 of unused supplies. |
(b) | The company has a Note Payable in the amount of $17,000 at an APR of 12%. The note will be paid at the end of 6 months. The interest expense for the month needs to be recorded. |
(c) | There are two employees at the North Park Store. One is a manager that gets paid on the 15th of every month for his work during the first part of the month and on the 1st of the following month for the second part of the month. His monthly salary is $3,500. The other employee is an administrative assistant who gets a week pay of $650. The last day of the month fell on Thursday. |
(d) | The unearned revenue account shows a balance of $46,000. According to the manager 75% of that amount has been earned. |
(e) | At the end of the month $5,700 of services had been performed but not yet billed. |
(f) | Received $500 in cash for providing accounting services. |
|
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