Bob Thebeau reviewed the records and found the following errors: 1. Cash received from a customer on account was recorded as $650 instead of $590. 2. The purchase on account of a computer that cost $3,300 was recorded as a debit to supplies and a credit to accounts payable for $3,300. 3. The computer in error 2 was purchased February 1, 2003, and is expected to have a three-year useful life. Amortization, estimated to be $275, has not been recorded. 4. A payment of $30 for advertising expense was entered as a debit to Miscellaneous Expense of $30 and a credit to Cash of $30. 5. The first salary payment this month was for $1,900, which included $800 of salaries payable on March 31. The payment was recorded as a debit to Salaries Expense of $1,900 and a credit to Cash of $1,900. (No reversing entries were made on April 1.) 6. A cash payment for a repair expense on equipment of $86 was recorded as a debit to Equip- ment $68 and a credit to Cash of $68. 7. Rent expense of $1,000 is owed, but has not yet been recorded. Instructions (a) Prepare an analysis of each error that shows (1) the incorrect entry, (2) the correct entry, and (3) the correcting entry. (b) Prepare a correct trial balance.

Bob Thebeau reviewed the records and found the following errors: 1. Cash received from a customer on account was recorded as $650 instead of $590. 2. The purchase on account of a computer that cost $3,300 was recorded as a debit to supplies and a credit to accounts payable for $3,300. 3. The computer in error 2 was purchased February 1, 2003, and is expected to have a three-year useful life. Amortization, estimated to be $275, has not been recorded. 4. A payment of $30 for advertising expense was entered as a debit to Miscellaneous Expense of $30 and a credit to Cash of $30. 5. The first salary payment this month was for $1,900, which included $800 of salaries payable on March 31. The payment was recorded as a debit to Salaries Expense of $1,900 and a credit to Cash of $1,900. (No reversing entries were made on April 1.) 6. A cash payment for a repair expense on equipment of $86 was recorded as a debit to Equip- ment $68 and a credit to Cash of $68. 7. Rent expense of $1,000 is owed, but has not yet been recorded. Instructions (a) Prepare an analysis of each error that shows (1) the incorrect entry, (2) the correct entry, and (3) the correcting entry. (b) Prepare a correct trial balance.

Financial Accounting

15th Edition

ISBN:9781337272124

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter5: Accounting Systems

Section: Chapter Questions

Problem 16E: The cash payments and purchases journals for Outdoor Artisan Landscaping follow. The accounts...

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2.cengagenow.com/ilrn/takeAssignment/takeAssignmentMain.do?invoker=&takeAssignmentSession Locator=&inprogress=... A ems a < Print Item Transactions and T Accounts The following selected transactions were completed during August of the current year: 1. Billed customers for fees earned, $73,900. 2. Purchased supplies on account, $1,960. 3. Received cash from customers on account, $62,770. 4. Paid creditors on account, $820. a. Journalize these transactions in a two-column journal. If an amount box does not require an entry, leave it blank. (1) Accounts Receivable ✓ 73,900 ✓ Fees Earned (2) Supplies - ✓ Accounts Payable (3) Cash Accounts Receivable (4) Accounts Payable Cash ✓ ✓ 1,960 62,770 820 ✓ ✓ ✓ 73,900 1,960 62,770 820 ✓ b. Post the entries prepared in (a) to the following T accounts: Cash, Supplies, Accounts Receivable, Accounts Payable, Fees Earned. To the left of each amount posted in the accounts, select the appropriate number to identify the transactions. FA 00 7:33 PM 8/23/2022…
The cash payments and purchases journals for Outdoor Artisan Landscaping follow. The accounts payable control account has a June 1, 20Y1, balance of 2,230, consisting of an amount owed to Augusta Sod Co. Prepare a schedule of the accounts payable creditor balances and determine that the total agrees with the ending balance of the accounts payable controlling account.
akeAssignment/takeAssignmentMain.do?invoker=&takeAssignmentSessionLocator=&inprogress=false A summary of selected ledger accounts appears as follows for Alberto's Plumbing Services for the current calendar year-end. Alberto, Capital 12/31 Clos. 8,283 1/1 Bal. 6,758 12/31 Clos. 13,336 Alberto, Drawing 6/30 2,543 12/31 Clos. 8,283 11/30 5,740 Net income for the period is Oa, $20.412 Ob. S33,748 Oc. $13,336 Od. $6,758 Ne Previous
Refer to RE6-8. On April 23, 2020, McKinncy Co. receives a check, from Mangold Corporation for 8,500. Prepare the journal entry for McKinncy to record the collection of the account previously written off.
II. The following information is obtained from a review of the record keeping process. Analyze the given information and prepare a modified trial balance. Show your solutions. (** Ricanor Accounting Services Trial Balance Dec. 31, 2021 Debit Credit Cash P189,000 284,600 66,400 40.000 Accounts Receivable Supplies Prepaid Insurance Office Equipment Notes Payable Accounts Payable Ricanor. Capital Ricanor. Withdrawals Service Income Salaries Expense Advertising Expense 526,800 P130,000 195,400 297,200 100,000 821,400 348,700 12.200 P1.467.700 Totals P1.544.000 a. An account receivable for P 24,300 was incorrectly added as P 23,400 when computing the balance of the Accounts Receivable account. b. A debit posting from the journal for P5,200 is missing from the Salaries Expense account. C.A debit posting of P15.000 to Notes Payable should have been made to Accounts Payable. d. A debit posting of P25,000 to Supplies was incorrectly posted as P2,500. C
! Required information Exercise 9-24 (Algo) Complete the accounting cycle using long-term liability transactions (LO9-2, 9-8) [The following information applies to the questions displayed below.] On January 1, 2024, the general ledger of Freedom Fireworks includes the following account balances: Accounts Cash Accounts Receivable Allowance for Uncollectible Accounts Inventory Debit $ 11,300 34,200 Credit $ 1,900 152,100 Land Buildings Accumulated Depreciation Accounts Payable Common Stock Retained Earnings Totals 68,300 121,000 9,700 18,800 201,000 155,500 $ 386,900 $ 386,900 During January 2024, the following transactions occur: January 1 Borrow $101,000 from Captive Credit Corporation. The installment note bears interest at 6% annually and matures in 5 years. Payments of $1,953 are required at the end of each month for 60 months. January 4 January 10 Pay cash on accounts payable, $12,000. Receive $31,100 from customers on accounts receivable. January 15 Pay cash for salaries, $29,000.…
Weygandt, Accounting Principles, 13th Edition, Custom WileyPLUS Course for Bronx Community College Help I System Announcements CALCULATOR PRINTER VERSION 4 ВАСК NEX Exercise 9-04 a-f (Part Level Submission) At the beginning of the current period, Cheyenne had balances in Accounts Receivable of $286,000 and in Allowance for Doubtful Accounts of $9,900 (credit). During the period, had net credit sales of $890,000 and collections of $845,500. It wrote off as uncollectible accounts receivable of $6,000. However, a $4,000 account previously written off as uncollectible was recovered before the end of the current period. Uncollectible accounts are estimated to total $24,800 at the end of the period. (Omit cost of goods sold entries. (a - d) (a) Prepare the entries to record sales and collections during the period. (b) Prepare the entry to record the write-off of uncollectible accounts during the period. (c) Prepare the entries to record the recovery of the uncollectible account during the…
DATE ACCOUNT TITLE CASH PAYMENTS JOURNAL CHECK POST NO. REF. DEBIT GENERAL CREDIT ACCOUNTS PAYABLE DEBIT PURCHASES DISCOUNT CREDIT CASH CREDIT
What are the following journal entries of the following? MISCELLANEOUS EXPENSES ( VAT INCLUSIVE ) Promotional expenses 25,145.28 Paid Site Tripping Expenses ( Non-Vatable) 12,419.00 6,892.00 Paid Office Supplies 4,274.47 Paid Travel and Transportation ( Non-Vatable) 2,590.00 3,412.50 1,784.45 Paid Postage and mailing 767.38 447.22 Paid Miscellaneous ( Non-Vatable) 5,619.49 Paid Bank Penalties ( Non-Vatable) 5,000.00 2,000.00 8,000.00 Paid; (Auto Debit) Penalties - Late Payment ( Non-Vatable) 1,000.00 PAID
The following information is obtained from a review of the record keeping process. Analyze the given information and prepare a modified trial balance. Show your solutions. Ricanor Accounting Services Trial Balance Dec. 31, 2021 Debit Credit Cash P189,000 284,600 66,400 40,000 526,800 Accounts Receivable Supplies Prepaid Insurance Office Equipment Notes Payable Accounts Payable Ricanor, Capital Ricanor, Withdrawals P130,000 195,400 297,200 100,000 821,400 Service Income Salaries Expense Advertising Expense Totals 348,700 12,200 P1,467,700 P1,544,000 a. An account receivable for P 24,300 was incorrectly added as P 23,400 when computing the balance of the Accounts Receivable account. b. A debit posting from the journal for P5,200 is missing from the Salaries Expense account. C. A debit posting of P15,000 to Notes Payable should have been made to Accounts Payable. d. A debit posting of P25,000 to Supplies was incorrectly posted as P2,500. e. Credits to the ledger Accounts Payable account…
Analyzing the Accounts The controller for Summit Sales Inc. provides the following information on transactions that occurred during the year: a. Purchased supplies on credit, $18,600 b. Paid $14,800 cash toward the purchase in Transaction a c. Provided services to customers on credit1 $46,925 d. Collected $39,650 cash from accounts receivable e. Recorded depreciation expense, $8,175 f. Employee salaries accrued, $15,650 g. Paid $15,650 cash to employees for salaries earned h. Accrued interest expense on long-term debt, $1,950 i. Paid a total of $25,000 on long-term debt, which includes $1.950 interest from Transaction h j. Paid $2,220 cash for l years insurance coverage in advance k. Recognized insurance expense, $1,340, that was paid in a previous period l. Sold equipment with a book value of $7,500 for $7,500 cash m. Declared cash dividend, $12,000 n. Paid cash dividend declared in Transaction m o. Purchased new equipment for $28,300 cash. p. Issued common stock for $60,000 cash q. Used $10,700 of supplies to produce revenues Summit Sales uses the indirect method to prepare its statement of cash flows. Required: 1. Construct a table similar to the one shown at the top of the next page. Analyze each transaction and indicate its effect on the fundamental accounting equation. If the transaction increases a financial statement element, write the amount of the increase preceded by a plus sign (+) in the appropriate column. If the transaction decreases a financial statement element, write the amount of the decrease preceded by a minus sign (-) in the appropriate column. 2. Indicate whether each transaction results in a cash inflow or a cash outflow in the Effect on Cash Flows column. If the transaction has no effect on cash flow, then indicate this by placing none in the Effect on Cash Flows column. 3. For each transaction that affected cash flows, indicate whether the cash flow would be classified as a cash flow from operating activities, cash flow from investing activities, or cash flow from financing activities. If there is no effect on cash flows, indicate this as a non-cash activity.
Additional Activities Directions: Do the task listed bélow using the transacions of Matapang Company for Deccmber 2019. Writc your answers on a separate sheet of paper. 1. Prepare the journal entries. 2. Post each transaction to its ledger account. 3. Prepare the trial balance. 4. Use the provided account numbers. Ralph Matapang cstablishcd Happy Repair Busincss. The following are the transactions for the montb of Decembocr 2019. Dec. He invested P150,000 in the firm. He paid P8,000 for monthly rent. He bought supplies on account amounting to P7,200. He purchascd office equipment amounting to P75,000. paid P37,000 and the balance on account. 2. 2. 3. He paid accounts payable for supplies purchased worth P7,200. He paid P6,000 for the salary of an employec. He received P20,000 for services rendered. He billed clients P48,000 for services on account. 8. 14. 20. 28. 31. Matapang withdrew P12,000 for his personal use. 302 Matapang, Drawings 401 Service Revenue 101 Cash 102 Accounts…