Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The following transactions occurred during March 2021 for the Wainwright Corporation. The company owns and operates a wholesale warehouse. owed 1. Issued 32,000 shares of

image text in transcribed
image text in transcribed
image text in transcribed
The following transactions occurred during March 2021 for the Wainwright Corporation. The company owns and operates a wholesale warehouse. owed 1. Issued 32,000 shares of non-par common stock in exchange for $320,000 in cash. 2. Purchased equipment at a cost of $44,000 $11,000 cash was paid and a notes payable to the seller was signed for the balance 3. Purchased inventory on account at a cost of $98,000. The company uses the perpetual inventory system. 4. Credit sales for the month totaled $130,000. The cost of the goods sold was $78,000 5. Paid $4,250 in rent on the warehouse building for the month of March 6. Paid $5,950 to an insurance company for fire and liability insurance for a one-year period beginning April 1, 2021. 7. Paid $78,000 on account for the merchandise purchased in 3. 8. Collected $58,500 from customers on account. 9. Recorded depreciation expense of $1,100 for the month on the equipment Prepare journal entries to record each of the transactions listed above. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) 1 Issued 32,000 shares of common stock in exchange for $320,000 in cash. 2 Purchased equipment at a cost of $44,000. $11,000 cash was paid and a notes payable to the seller was signed for the balance owed. 3 Purchased inventory on account at a cost of $98,000. The company uses the perpetual inventory system. 4 Credit sales for the month totaled $130,000. 5 The cost of the goods was 78,000. 6 Paid $4,250 in rent on the warehouse building for the month of March. 7 Paid $5,950 to an insurance company for fire and liability insurance for a one-year period beginning April 1, 2021. 00 Paid $78,000 on account for the merchandise purchased in 3. 9 Collected $58,500 from customers on account. 10 Recorded depreciation expense of $1,100 for the month on the equipment

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

Making Accountability Work Dilemmas For Evaluation And For Audit

Authors: Marie-Louise Bemelmans-Videc, Jeremy Lonsdale, Burt Perrin

1st Edition

1412865557, 978-1412865555

More Books

Students also viewed these Accounting questions