Required information Problem 3-32A Comprehensive problem: single cycle LO 3-1, 3-2, 3-3, 3-4 [The following information applies to the questions displayed below.) The following transactions pertain to Smith Training Company for Year 1: Jan. 30 Established the business when it acquired $52,000 cash from the issue of common stock. Feb. 1 Paid rent for office space for two years, $17,000 cash. Apr. 10 Purchased $840 of supplies on account. July 1 Received $20,500 cash in advance for services to be provided over the next year. 20 Paid $630 of the accounts payable from April 10. Aug. 15 Billed a customer $9,400 for services provided during August. Sept. 15 Completed a job and received $3,200 cash for services rendered. Oct. 1 Paid employee salaries of $36,000 cash. 15 Received $7,500 cash from accounts receivable. Nov. 16 Billed customers $37,500 for services rendered on account. Dec. 1 Paid a dividend of $1,100 cash to the stockholders. 31 Adjusted records to recognize the services provided on the contract of July 1. 31 Recorded $2,250 of accrued salaries as of December 31. 31 Recorded the rent expense for the year. (See February 1.) 31 Physically counted supplies; $150 was on hand at the end of the period. Required a. Record the preceding transactions in the general journal, in the given order. (Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount. If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet 2 3 4 5 6 7 8 15 Established the business when it acquired $52,000 cash from the issue of common stock Note: Enter debits before credits. General Journal Debit Credit Date Jan 30 Record entry Clear entry View general journal b. Post the transactions to T-accounts and calculate the account balances. (Round your answers to the nearest whole dollar amount.) Cash Accounts Receivable Beg. Bal Beg. Bal. End. Bal. End, Bal Prepaid Rent Supplies Beg. Bal Beg. Bal. End. Bal. End. Bal. Accounts Payable Unearned Revenue Beg. Bal. Beg. Bal. End. Bal. Salaries Payable Common Stock Beg. Bal. Beg. Bal. End. Bal. End. Bal. Dividends Service Revenue Beg. Bal. Beg. Bal. End. Bal. End. Bal Rent Expense Salaries Expense Beg. Bal. Beg. Bal. End. Bal. End. Bal. Supplies Expense Beg. Bal. End. Bal. c. Prepare a trial balance. (Round your final answers to the nearest whole dollar amount.) SMITH TRAINING COMPANY Trial Balance December 31, Year 1 Account Titles Debit Credit Totals d. Prepare an income statement, statement of changes in stockholders' equity, balance sheet, and statement of cash flows for Year 1. (Round your final answers to the nearest whole dollar amount. Statement of Cash Flows only, items to be deducted must be indicated with a negative amount.) SMITH TRAINING COMPANY Financial Statements For the Year Ended December 31, Year 1 Income Statement Expenses Total expenses Statement of Changes in Stockholders' Equity Total Stockholders' Equity SMITH TRAINING COMPANY Balance Sheet As of December 31, Year 1 Assets Total assets Liabilities Total liabilities Stockholders' Equity Total stockholders' equity Total liabilities and stockholders' equity SMITH TRAINING COMPANY Statement of Cash Flows For the Year Ended December 31, Year 1 Cash flow from operating activities: Net cash flow from operating activities Cash flow from investing activities Cash flows from financing activities: Net cash flow from financing activities Ending cash balance e. Record the entries to close the Year 1 temporary accounts to Retained Earnings in the general journal and post to the T-accounts. (lf no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your final answers to the nearest whole dollar amount.) View transaction list Journal entry worksheet
