Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Required information Problem 3-8B Complete the full accounting cycle (LO3-3, 3-4, 3-5, 3-6, 3-7) [The following information applies to the questions displayed below.) The general

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

Required information Problem 3-8B Complete the full accounting cycle (LO3-3, 3-4, 3-5, 3-6, 3-7) [The following information applies to the questions displayed below.) The general ledger of Pipers Plumbing at January 1, 2021, includes the following account balances: Credits Accounts Debits Cash $ 3,700 Accounts 8,700 Receivable Supplies 2,700 Equipment 20,000 Accumulated Depreciation Accounts Payable Utilities Payable Deferred Revenue Common Stock Retained Earnings Totals $35,100 $ 4,800 2,800 3,800 0 15,000 8,700 $35,100 The following is a summary of the transactions for the year: 1. January 24 Provide plumbing services for cash, $12,000, and on account, $57,000. 2. March 13 Collect on accounts receivable, $ 45,000. 3. May 6 Issue shares of common stock in exchange for $11,000 cash. 4. June 30 Pay salaries for the current year, $31,400. 5. September 15 Pay utilities of $3,800 from 2020 (prior year). 6. November 24 Receive cash in advance from customers, $6,800. 7. December 30 Pay $1,400 cash dividends to stockholders. The following information is available for the adjusting entries. Depreciation for the year on the machinery is $4,800. Plumbing supplies remaining on hand at the end of the year equal $1,100. Of the $6,800 paid in advance by customers, $5,400 of the work has been completed by the end of the year. Accrued utilities at year-end amounted to $7,600. Problem 3-8B Part 5 Problem 3-8B Part 5 5. Record adjusting entries. Depreciation for the year on the machinery is $4,800. Plumbing supplies remaining on hand at the end of the year equal $1,100. Of the $6,800 paid in advance by customers, $5,400 of the work has been completed by the end of the year. Accrued utilities at year-end amounted to $7,600. (If no entry is required for a particular transaction/event, select "No Journal Entry Required in the first account field.) View transaction list Journal entry worksheet 1 2 3 4 Record the adjusting entry for depreciation, $4,800. Note: Enter debits before credits. General Journal Debit Credit Date December Record entry Clear entry View general journal Problem 3-8B Part 5 5. Record adjusting entries. Depreciation for the year on the machinery is $4,800. Plumbing supplies remaining on hand at the end of the year equal $1,100. Of the $6,800 paid in advance by customers, $5,400 of the work has been completed by the end of the year. Accrued utilities at year-end amounted to $7,600. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet

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

Accounting Principles

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso, Steinbart Romney B.

9th International Edition

0470409460, 978-0470409466

More Books

Students also viewed these Accounting questions

Question

Answered: 1 week ago

Answered: 1 week ago

Question

Determine miller indices of plane A Z a/2 X a/2 a/2 Y

Answered: 1 week ago

Question

Do you agree with the results/recommendations?

Answered: 1 week ago