Required information (The following information applies to the questions displayed below.) Alcorn Service Company was formed on January 1, 2018. Events Affecting the 2018 Accounting Period 1. Acquired $62,000 cash from the issue of common stock. 2. Purchased $1,600 of supplies on account. 3. Purchased land that cost $22,000 cash. 4. Paid $1,600 cash to settle accounts payable created in Event 2. 5. Recognized revenue on account of $46,000. 6. Paid $23,000 cash for other operating expenses. 7. Collected $40,000 cash from accounts receivable. Information for 2018 Adjusting Entries 8. Recognized accrued salaries of $3,400 on December 31, 2018. 9. Had $400 of supplies on hand at the end of the accounting period, Events Affecting the 2019 Accounting Period 1. Acquired $22,000 cash from the issue of common stock 2. Paid $3,400 cash to settle the salaries payable obligation. 3. Paid $4,200 cash in advance to lease office space. 4. Sold the land that cost $22,000 for $22.000 cash. 5. Received $5,400 cash in advance for services to be performed in the future. 6. Purchased $1,200 of supplies on account during the year. 7. Provided services on account of $34,000. 8. Collected $35,000 cash from accounts receivable. 9. Paid a cash dividend of $7,000 to the stockholders. 10. Pald other operating expenses of $21,500. Information for 2019 Adjusting Entries 11. The advance payment for rental of the office space (see Event 3) was made on March 1 for a one-year term. 12. The cash advance for services to be provided in the future was collected on October 1 (see Event 5). The one-year contract started on October 1. 13. Had $500 of supplies remaining on hand at the end of the period. 14. Recognized accrued salaries of $4,100 at the end of the accounting period. 15. Recognized $600 of accrued interest revenue. Required Identify each event affecting the 2018 and 2019 accounting periods as asset source (AS), asset use (AU), asset exchange (AE), or claims exchange (CE). Record the effects of each event under the appropriate general ledger account headings of the accounting equation Complete this question by entering your answers in the tabs below. Act Equ 2018 Act Equ 2019 Identify each event affecting the 2018 accounting periods as asset source (AS), asset use (AU), asset exchange (AE), or claims exchange (CE). Re under the appropriate general ledger account headings of the accounting equation. (Do not round intermediate calculations. Enter any decreasest sign.) ALCORN SERVICE COMPANY Accounting Equation for 2018 + Type Assets Supplies PPL Event Liabilities Salaries Payable Stockholders' Equity Common Retained Stock Earnings Accounts Cancevable Prepaid Rent Accounts Payable Land Unearned Revenue Event + + + + 0 0 0 0 0 Acc Equ 2010 > Required information Acc Equ 2018 Acc Equ 2019 Identify each event affecting the 2019 accounting periods as asset source (AS), asset use (AU), asset exchange (AE), or claims exchange (CE). Record the effects of each eve appropriate general ledger account headings of the accounting equation. (Do not round Intermediate calculations. Enter any decreases to account balances with a minus sign. ALCORN SERVICE COMPANY Accounting Equation for 2019 Assets Prepaid Interest Bent Receivable Event Accounts Receh Event Accounts Payable Salaries Payable Stockholders' Equity Common Retained Stock Lamings Uneamed Revenu Bal 0 0 0 0 - 00 Acc Equ 2018 Prey 1 2 of 6 Next >
