Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Required information Use the following information for Exercises 13-14 below. (Algo) The following information applies to the questions displayed below.) The transactions of Spade Company

image text in transcribed
image text in transcribed
image text in transcribed
Required information Use the following information for Exercises 13-14 below. (Algo) The following information applies to the questions displayed below.) The transactions of Spade Company appear below. a. Kacy Spade, owner, invested $14,750 cash in the company in exchange for common stock. b. The company purchased supplies for $428 cash. c. The company purchased $8,157 of equipment on credit d. The company received $1,741 cash for services provided to a customer. e. The company paid $8,157 cash to settle the payable for the equipment purchased in transaction c. 1. The company billed a customer $3,127 for services provided. 9. The company paid $515 cash for the monthly rent. h. The company collected $1,313 cash as partial payment for the account receivable created in transaction f 1. The company paid a $900 cash dividend to the owner (sole shareholder). Exercise 2-13 (Algo) Recording effects of transactions in T-accounts LO A1 Required: 1. Prepare general Journal entries to record the transactions of Spade Company by using the following accounts: Cash: Accounts Receivable; Supplies; Equipment Accounts Payable; Common Stock: Dividends: Services Revenue; and Rent Expense. 2. Post entries to T-accounts and the ending balances will be calculated. Credit General Journal Debit 14,750 No Transaction a. 1 14,750 Cash Common stock 428 2 b. 428 Supplies Cash 8,157 3 G Equipment Accounts payable 8,157 1,741 4 d. Cash Services revenue 1,741 8,157 5 0. Accounts payable Cash 8,157 3,127 6 1. Accounts receivable Services revenue 3,127 7 515 9 Rent expense Cash 515 8 h. Cash Accounts receivable 1,313 1,313

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

Managerial Accounting

Authors: Stacey Whitecotton, Robert Libby, Fred Phillips

5th Edition

1264467206, 978-1264467204

More Books

Students also viewed these Accounting questions

Question

Should civil service employees be allowed to unionize? Why?

Answered: 1 week ago