Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Transaction Entries, Posting, Trial Balance, and Adjusting Entries Mark Gold opened Gold Roofing Service on April 1. Transactions for April are as follows: 1

image text in transcribedimage text in transcribedimage text in transcribed

Transaction Entries, Posting, Trial Balance, and Adjusting Entries Mark Gold opened Gold Roofing Service on April 1. Transactions for April are as follows: 1 Geld contributed his personal funds in exchange for common stock to begin the business $15,000 2 Purchased a used truck for cash 6,100 3 Purchased ladders and other equipment for a total of 3,100 Paid cash of $1,000, with the balance due in 30 days 4 Paid two year premium on Sablity insurance 5 Purchased supples on account Received an advance payment from a customer for roof repair work to be done in April and May 7 Biled customers for roofing services Collected on account from customers Paid bill for truck fuel used in April 10 Paid April newspaper advertising 11 Paid assistants' wages 12 Bled customers for roofing services 6,000 1,200 1,800 9,000 6,500 75 100 4,500 5,000 Required a. Set up a general ledger with the following accounts: Cash; Accounts Receivable; Supplies; Prepaid Insurance; Trucks; Accumulated Depreciation-Trucks; Equipment Accumulated Depreciation- Equipment; Accounts Payable; Unearned Roofing Fees: Common Stock Roofing Fees Earned; Fuel Expense; Advertising Expense: Wages Expense Insurance Expense, Supplies Expense: Depreciation Expense-Trucks; and Depreciation Expense-Equipment. b. Record these transactions in the general journal and post to the ledger accounts c. Prepare an unadjusted trial balance as of April 30, d. Prepare the journal entries to adjust the books for insurance expense, supplies expense, depreciation expense on the truck, depreciation expense on the equipment, and roofing fees earned. Supplies on hand on April 30 amounted to $950. Depreciation for April was $155 on the truck and $35 on the equipment. One-fourth of the roofing fee received in advance was earned by April 30 Post the adjusting entries. nadusted Trial Balance Adjusted journal Entries Cash Accounts Receivable Supplies Unearned Roofing Fees (7) 0 (5) 000 (2) 0 0 480 0 0 (14) (17) [0 0 03 (12) 0 0 Bal (4) 0 9 Ball 0 O 0 0% 0 0 0 0 (10) 0 0 0 0 nal 0 0 (1) (5) Ball Accounts Payable Common Stock Roofing fees Earned Wages Expense 0 [0 0 Bal 1125 0 0 Bal 0 (17) 0 0 Bal 0 Fuel Expense Supplies Expense Depr. Exp-Trucks Depr. Exp Equipment (9) Bal 0 0 (14) Bal (15) Bal 0 0 (16) Bal 10 Bal Advertising Expense Prepaid Insurance Insurance Expense Equipment 0 (4) 0 (13) 0 (3) (13) 0 Bal 0 Ba Bal 0 0 Fuel Expense Supplies Expense (14) Bal Bal Depr. Exp-Trucks B Depr. Exp-Equipment Advertising Expense Prepaid Insurance Insurance Expense Equipment (10 (4) (15 0 Bal B Bal Trucks D Accum Depr-Trucks Accum. Depr Equipment 019 (16)

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

Accounting Principles

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso

9th Edition

978-0470317549, 9780470387085, 047031754X, 470387084, 978-0470533475

More Books

Students also viewed these Accounting questions