Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Ricky's Piano Rebuilding Company has been operating for one year. On January 1, at the start of its second year, its income statement accounts had

image text in transcribed
image text in transcribed
Ricky's Piano Rebuilding Company has been operating for one year. On January 1, at the start of its second year, its income statement accounts had zero balances and its balance sheet account balances were as follows: Cash Accounts Receivable Supplies Equipment Land Building $ 6,000 Accounts Payable 25,860 Deferred Revenue (deposits) 1,200 Notes Payable 8,000 Contributed Capital 6,080 Retained Earnings 22,000 $ 8,000 3,200 40,000 8,000 9,000 Required: 2. Prepare journal entries for the following January transactions, using the letter of each transaction as a reference: (if no entry is required for a transaction/event, select "No journal entry required" in the first account field.) nces a. Received a $500 deposit from a customer who wanted her piano rebuilt in February b. Rented a part of the building to a bicycle repair shop: $300 rent received for January c. Delivered five rebuilt planos to customers who paid $14,500 in cash, d. Delivered two rebuilt pianos to customers for $7,000 charged on account. e. Received $6,000 from customers as payment on their accounts. Received a utility bill for $350 for January services to be paid in February g. Ordered $800 in supplies. h. Pald $1,700 to suppliers on account in January 1. Paid $10,000 in wages to employees in January for work done this month. 1. Received and paid cash for the supplies in (a). RICKY'S PIANO REBUILDING COMPANY Unadjusted Trial Balance At January 31 Accounts Titles Debit Credit Cash Accounts receivable Supplies Equipment Land Building Accounts payable Deferred revenue Notes payable Contributed capital Retained earnings Piano rebuilding revenue Rent revenue Wages expense Utilities expense Total

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_2

Step: 3

blur-text-image_3

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

Fundamentals of Financial Accounting

Authors: Fred Phillips, Robert Libby, Patricia Libby

5th edition

78025915, 978-1259115400, 1259115402, 978-0078025914

More Books

Students also viewed these Accounting questions