Record the effect, if any, of the transaction entry or adjusting entry on the appropriate balance sheet category or on the income statement by entering the account name and amount and indicating whether it is an addition (+) or subtraction (-). Column headings reflect the expanded balance sheet equation; items that affect net income should not be shown as affecting stockholders' equity. The first transaction is provided as an illustration. a. During the month, Supplies Expense was debited $2,800 for supplies purchased. The cost of supplies used during the month was $1,200. Record the adjustment to properly reflect the amount of supplies used and supplies still on hand at the end of the month. b. During the month, the board of directors declared a cash dividend of $3,000, payable next month. c. Employees were paid $2,520 in wages for their work during the first three weeks of the month. d. Employee wages of $660 for the last week of the month have not been recorded. e. Revenues from services performed during the month totaled $6,120. Of this amount, $3,120 was received in cash and the balance is expected to be received within 30 days. f. A contract was signed with a newspaper for a $240 advertisement; the ad ran during this month but will not be paid for until next month. g. Merchandise that cost $816 was sold for $1704. Of this amount, $1,320 was received in cash and the balance is expected to be received within 30 days. h. Independent of transaction a, assume that during the month, supplies were purchased at a cost of $264 and debited to the Supplies (asset) account. A total of $156 of supplies were used during the month. Record the adjustment to properly reflect the amount of supplies used and supplies still on hand at the end of the month L Interest of $324 has been earned on a note receivable but has not yet been received. J. Issued 400 shares of $22 par value common stock for $8,800 in cash. Required: a. Indicate the financial statement effect. b. Prepare the journal entry for the above transactions Complete this question by entering your answers in the tabs below. Required A Required B Indicate the financial statement effect. Category Income Statement Transaction Stockholders' Equity Net Income Effect Supplies 1500 Supplies Ep 1600 Dividends payable 1000 Cash 2.520 Wages Wages expense 2.520 Wiages expense-660 barvice revenue 120 Ch.3.120 Account Advertising expense 240 Cash 1.300 Ostalo upplies 150 24 n eve ommon stock 800 Required A Required B Prepare the journal entry for the above transactions. (If no entry is required for a transaction/event, select "No journal entr the first account field.) View transaction list View journal entry worksheet No Event Debit Credit General Journal Supplies Supplies expense 1,600 1,600 3,000 Dividends payable 3,000 2,520 Wages expense Cash 2,520 Wages expense 660 Cash Accounts receivable 3,120 3,000 Service revenue 1. 240 Advertising expense Accounts Payable 1,320 Cash Accounts receivable 1,704 Cash Merchandise inventory 3,000 Dividends payable 3,000 2,520 Wages expense Cash 2,520 Wages expense Cash 3.120 3,000 Accounts receivable Service revenue ces 1. Advertising expense Accounts Payable 27 91. Cash Accounts receivable 92. Cash Merchandise inventory 8.800 ( Required A
