Question
Tesla, Inc. had the following transactions in July 2024: Sold electric vehicles for $500,000, of which $350,000 was on account. Paid $60,000 in cash for
Tesla, Inc. had the following transactions in July 2024:
- Sold electric vehicles for $500,000, of which $350,000 was on account.
- Paid $60,000 in cash for advertising expenses.
- Acquired equipment worth $100,000, paying $40,000 in cash and signing a note for the balance.
- Received $250,000 in cash from customers for sales previously billed.
Prepare the journal entries for these transactions and explain their impact on the financial statements of Tesla, Inc.
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Financial Accounting Tools for Business Decision Making
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso, Barbara Trenholm, Wayne Irvine
7th Canadian edition
1119368456, 978-1119211587, 1119211581, 978-1119320623, 978-1119368458
