Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Tristar Production Company began operations on September 1, 2024. Listed below are a number of transactions that occurred during its first four months of operations.

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Tristar Production Company began operations on September 1, 2024. Listed below are a number of transactions that occurred during its first four months of operations. 1. On September 1, the company acquired flve acres of land with a bulding that will be used as a warehouse. Tristar paid $210,000 in cash for the property. According to appraisals, the land had a fair value of $142,600 and the building had a fair value of $87,400. 2. On September 1, Tristar signed a $51,000 noninterest-bearing note to purchase equipment. The $51,000 payment is due on September 1,2025 . Assume that 9% is a reasonabie interest fate. 3. On September 15, a truck was donated to the corporation. Similar trucks were selling for $3.600. 4. On September 18, the company paid its lawyer $3.000 for organizing the corporation. 5. On October 10, Tristar purchased equipment for cash. The purchase price was $26,000 and $1,050 in freight charges also were poid. 6. On December 2. Tristar acquired equipment. The company was short of cash and could not pay the $6.600 normal cash price. The supplier agreed to accept 200 shares of the company's no-par common stock in exchange for the equipment. The fair value of the stock is not readily determinable. 7. On December 10, the company acquired a tract of land at a cost of $31,000. It paid $3.000 down and signed a 11% note with both principal and interest due in one year. Eleven percent is an appropriate rate of interest for this note. Journal entry worksheet 2 3 4 (5) 6 7 On September 1 , the company acquired five acres of land with a building that will be used as a warehouse. Tristar paid $210,000 in cash for the property. According to appraisals, the land had a fair value of $142,600 and the building had a fair value of $87,400. Note: Enter debits before credits. Journal entry worksheet On September 1, Tristar signed a $51,000 noninterest-bearing note to purchase equipment. The $51,000 payment is due on September 1,2025. Assume that 9% is a reasonable interest rate. Note: Enter debits before credits. Journal entry worksheet 1 7 On September 15, a truck was donated to the corporation. Similar trucks were selling for $3,600. Note: Enter debits before credits. Journal entry worksheet On September 18 , the company paid its lawyer $3,000 for organizing the corporation. Note: Enter debits betore credits. Journal entry worksheet 1 2 3 On October 10, Tristar purchased equipment for cash. The purchase price was $26,000 and $1,050 in freight charges also were paid. Note: Enter debits before credits. Journal entry worksheet 1 2 3 On December 2, Tristar acquired equipment. The company was short of cash and could not pay the $6,600 normal cash price. The supplier agreed to accept 200 shares of the company's no-par common stock in exchange for the equipment. The fair value of the stock is not readily determinable. Note: Enter debits before credits. Journal entry worksheet 1 2 3 On December 10 , the company acquired a tract of land at a cost of $31,000. It paid $3,000 down and signed a 11% note with both principal and interest due in one year. Eleven percent is an appropriate rate of interest for this note. Note: Enter debits before credits

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

Water Audits And Loss Control Programs

Authors: American Water Works Association

4th Edition

1625761007, 978-1625761002

More Books

Students also viewed these Accounting questions

Question

4. Identify cultural variations in communication style.

Answered: 1 week ago

Question

9. Understand the phenomenon of code switching and interlanguage.

Answered: 1 week ago

Question

8. Explain the difference between translation and interpretation.

Answered: 1 week ago