Question 1 The following transactions took place for Rudolph Corporation during November 2022, its first month of operation The first transaction took place on November 1 and the company issued and sold $25,000 of its shares Record this as the first transaction then proceed to record the following entries All entries were done in the month of November 2 Purchased office equipment for cash in the amount of $5,000 3 Borrowed $50,000 from the bank 3 Paid $5,000 for office supplies The supplies were put into the inventory storeroom 4 Paid for a 1 year insurance policy for the business, amount paid $8,000 5 Cash sales for repair revenue were made today for $15,000 8 Billed various customers for repair work totaling $25,000 10 Purchased $11,000 of additional office supplies on credit 15 Received $2,000 in cash from customers billed on November 8 th 18 Paid $3,000 for advertising that ran for the first two weeks of this month 20 Received interest revenue from bank in the amount of $6,000 22 Paid 4,000 on the November 10 th purchase 23 Collected $15,000 in fees earned today from various customers 25 Paid the following expenses in cash Legal fees, $3,500 telephone $1,500 vehicle maintenance, $2,000 Wages, $10,000 27 Paid dividends, $5,000 in cash to the owner of the company Required Open general ledger T accounts for the following (account numbers are indicated in brackets) Cash (110), Accounts Receivable (120), Prepaid Rent (150), Prepaid Insurance (155) Office Supplies (170), Office equipment(180),Accounts Payable (215), Bank Loan (220), Share Capital (325), Dividends (330), Repair Revenue (450), Interest Revenue (470), Advertising Expense (615), Legal fees (660), Telephone Expense (665), Vehicle Maintenance Expense (670), and Wages Expense (675) Prepare journal entries to record the November transactions Post the November entries to the T accounts Prepare a trial balance at the end of November 2022 Prepare an income statement and statement of changes in equity for the month ended November and a statement of financial position for month end as well

The Answer is in the image, click to view ...

Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Sep 09, 2024

Question 1 The following transactions took place for Rudolph Corporation during November 2022, its first month of operation. The first transaction took place on November

Question 1

The following transactions took place for Rudolph Corporation during November 2022, its first month of operation. The first transaction took place on November 1 and the company issued and sold $25,000 of its shares. Record this as the first transaction then proceed to record the following entries. All entries were done in the month of November.

2	Purchased office equipment for cash in the amount of $5,000
3	Borrowed $50,000 from the bank.
3	Paid $5,000 for office supplies. The supplies were put into the inventory storeroom.
4	Paid for a 1-year insurance policy for the business, amount paid $8,000
5	Cash sales for repair revenue were made today for $15,000.
8	Billed various customers for repair work totaling $25,000.
10	Purchased $11,000 of additional office supplies on credit.
15	Received $2,000 in cash from customers billed on November 8^th.
18	Paid $3,000 for advertising that ran for the first two weeks of this month.
20	Received interest revenue from bank in the amount of $6,000
22	Paid 4,000 on the November 10^th purchase.
23	Collected $15,000 in fees earned today from various customers.
25	Paid the following expenses in cash: Legal fees, $3,500; telephone $1,500; vehicle maintenance, $2,000 Wages, $10,000.
27	Paid dividends, $5,000 in cash to the owner of the company.

Required:

Open general ledger T-accounts for the following (account numbers are indicated in brackets): Cash (110), Accounts Receivable (120), Prepaid Rent (150), Prepaid Insurance (155) Office Supplies (170),

Office equipment(180),Accounts Payable (215), Bank Loan (220),

Share Capital (325), Dividends (330), Repair Revenue (450), Interest

Revenue (470), Advertising Expense (615), Legal fees (660), Telephone Expense (665), Vehicle Maintenance Expense (670), and Wages Expense (675).

Prepare journal entries to record the November transactions.
Post the November entries to the T-accounts.
Prepare a trial balance at the end of November 2022
Prepare an income statement and statement of changes in equity for the month ended November and a statement of financial position for month end as well.