Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Scenario: Kay's Delivery Service begun operation in 2020 and the owner of the company Karen Taylor has requested the assistance of your group in the

image text in transcribed
Scenario: Kay's Delivery Service begun operation in 2020 and the owner of the company Karen Taylor has requested the assistance of your group in the preparation of the company's accounts. The company presented the following chart of accounts for use in the recording of its transactions: Cu recem Degree Pad DO Felgene Acum non Perle Acours le Super Salary Income whary Kays. Cal Kays, During the period January to December 2020 the company completed the following transactions A. Kay's Delivery Service began operations by receiving $180.000 cash and a truck valued at $260,000. The business gave Kay capital to acquire these assets B. Paid $19,000 cash for supplies. C. Prepaid insurance. $28.000 D. Performed delivery services for a customer and received $5,500 cash E. Completed a large delivery job, biled the customer 535,500, and received a promise to collect the 535,500 within three (3) months. F. Paid employees salary S65.700. G. Received $15,000 cash for performing delivery services H. Collected $12,000 in advance for delivery service to be performed tater 1. Collected $35,500 cash from a customer on account. J.Purchased fuel for the truck, paying $29,800 with a company credit card (Credit Accounts payable) K. Performed delivery services on account, $4.500. L. Paid office rent, $85,000 for the year. M. Paid $20.800 on account relating to fuel purchased N. Owner withdrew cash of $15,300 Requirements: Record each transaction in the joumal and key each transaction by its letter Narrations are not required. Post the transaction your recorded in requirement 1 in the accounts as per the company's accounts as provided. - Prepare the unadjusted trail balance for the year ended December 31, 2020. based on the info already presented. The following additional information relates to the company's 2020 financial affairs and was provided in the first week of 2021 and are to be record same as adjusting entries Key each transaction by its letter and narrations are not required) O. Accrued salary expense, 519,500 P. Depreciation expense $6,500 Q. Prepaid insurance expired, $24,000 R. Supplies on hand, 52.500 S. Unearned service revenue earned during 2020. 57.000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered 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

College Accounting A Practical Approach

Authors: Jeffrey Slater, Brian Zwicker

11th Canadian Edition

132564440, 978-0132564441

More Books

Students also viewed these Accounting questions