Paid salaries of $28,500 for the year. Record the event.Note: Enter debits before credits. EventGeneral JournalDebitCredit3 Adjusted the accounts to reflect management’s expectations that uncollectible accounts expense would be $1,650. The expense was determined using the percent of revenue method. Record the event.Note: Enter debits before credits. EventGeneral JournalDebitCredit4 this is all one questuion thabnk youuu Required information[The following information applies to the questions displayed below.]Holmes Cleaning Service began operation on January 1, Year 1. The company experienced the following events for its firstyear of operations.Events Affecting Year 1:1. Provided $84,000 of cleaning services on account.2. Collected $76,000 cash from accounts receivable.3. Paid salaries of $28,500 for the year.4. Adjusted the accounts to reflect management's expectations that uncollectible accounts expense would be $1,650.The expense was determined using the percent of revenue method.Requireda. Prepare general journal entries for the above events. (If no entry is required for a transaction/event, select "No journal entryrequired" in the first account field.)View transaction listJournal entry worksheetAВC>Provided $84,000 of cleaning services on account. Record the event.Note: Enter debits before credits.EventGeneral JournalDebitCredit1Record entryClear entryView general journal Required information[The following information applies to the questions displayed below.]Holmes Cleaning Service began operation on January 1, Year 1. The company experienced the following events for its firstyear of operations.Events Affecting Year 1:1. Provided $84,000 of cleaning services on account.2. Collected $76,000 cash from accounts receivable.3. Paid salaries of $28,500 for the year.4. Adjusted the accounts to reflect management's expectations that uncollectible accounts expense would be $1,650.The expense was determined using the percent of revenue method.Requireda. Prepare general journal entries for the above events. (If no entry is required for a transaction/event, select "No journal entryrequired" in the first account field.)View transaction listJournal entry worksheetAВC>Collected $76,000 cash from accounts receivable. Record the event.Note: Enter debits before credits.EventGeneral JournalDebitCredit2Record entryClear entryView general journal

Journal entries are the basic method for recording financial transactions in the books of accounts.…

Required intormation [The following information applies to the questions displayed below.] Holmes Cleaning Service began operation on January 1, Year 1. The company experienced the following events for its first year of operations. Events Affecting Year 1: 1. Provided $84,000 of cleaning services on account. 2. Collected $76,000 cash from accounts receivable. 3. Paid salaries of $28,500 for the year. 4. Adjusted the accounts to reflect management's expectations that uncollectible accounts expense would be $1,650. The expense was determined using the percent of revenue method. equired Prepare general journal entries for the above events. (If no entry is required for a transaction/event, select "No journal entry quired" in the first account field.)

Required intormation [The following information applies to the questions displayed below.] Holmes Cleaning Service began operation on January 1, Year 1. The company experienced the following events for its first year of operations. Events Affecting Year 1: 1. Provided $84,000 of cleaning services on account. 2. Collected $76,000 cash from accounts receivable. 3. Paid salaries of $28,500 for the year. 4. Adjusted the accounts to reflect management's expectations that uncollectible accounts expense would be $1,650. The expense was determined using the percent of revenue method. equired Prepare general journal entries for the above events. (If no entry is required for a transaction/event, select "No journal entry quired" in the first account field.)

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter11: The Statement Of Cash Flows

Section: Chapter Questions

Problem 38E: Analyzing the Accounts The controller for Summit Sales Inc. provides the following information on...

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A review of the accounting records of Solomon Manufacturing indicated that the company incurred the following payroll costs during the month of March. Assume the company's financial statements are prepared in accordance with GAAP. 1. Salary of the company president-$32,100. 2. Salary of the vice president of manufacturing-$16,200. 3. Salary of the chief financial officer-$17,900. 4. Salary of the vice president of marketing-$16,000. 5. Salaries of middle managers (department heads, production supervisors) in manufacturing plant-$202,000. 6. Wages of production workers-$935,000. 7. Salaries of administrative secretaries-$104,000. 8. Salaries of engineers and other personnel responsible for maintaining production equipment-$172,000. 9. Commissions paid to sales staff-$243,000. Required a. What amount of payroll cost would be classified as SG&A expense? b. Assuming that Solomon made 4,900 units of product and sold 4,165 of them during the month of March, determine the amount of payroll…
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.
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A review of the accounting records of Stuart Manufacturing indicated that the company incurred the following payroll costs during the month of March. Assume the company's financial statements are prepared in accordance with GAAP. 1. Salary of the company president-$31,200. 2. Salary of the vice president of manufacturing-$16,600. 3. Salary of the chlef financial officer-$17,900. 4. Salary of the vice president of marketing-$15,900. 5. Salaries of middle managers (department heads, production supervisors) in manufacturing plant-$194,000. 6. Wages of production workers-$937,000. 7. Salaries of administrative personnel-$105,000. 8. Salaries of engineers and other personnel responsible for maintaining production equipment-$173,000. 9. Commissions paid to sales staff-$252,000. Required a. What amount of payroll cost would be classified as SG&A (selling, general, and administrative) expense? b. Assuming that Stuart made 3,600 units of product and sold 3,240 of them during the month of March,…
A review of the accounting records of Baird Manufacturing indicated that the company incurred the following payroll costs during the month of March. Assume the company's financial statements are prepared in accordance with GAAP. 1. Salary of the company president-$75,000. 2. Salary of the vice president of manufacturing-$50,000. 3. Salary of the chief financial officer-$42,000. 4. Salary of the vice president of marketing-$40,000. 5. Salaries of middle managers (department heads, production supervisors) in manufacturing plant-$147,000. 6. Wages of production workers-$703,500. 7. Salaries of administrative secretaries-$60,000. 8. Salaries of engineers and other personnel responsible for maintaining production equipment-$133,500. 9. Commissions paid to sales staff-$146,000. Required a. What amount of payroll cost would be classified as SG&A expense? b. Assuming that Baird made 5,000 units of product and sold 4,000 of them during the month of March, determine the amount of payroll cost…
The accounting records and bank statement of Orison Supply Store provide the following information at the end of April. The closing 'Cash' account balance was $28,560, and the bank statement shows a closing balance of $32,000. On reviewing the bank statement it is found an account customer has deposited $2,000 into the bank account for a March sale and the monthly insurance premium of $4,500 was automatically charged to the account. Interest of $5,10 was paid by the bank and a bank fee of $50 was charged to the account. A payment of $1,500 to a supplier has been recorded twice in the accounts. After the ,calculation of the "ending reconciled cash balance", what is the balance of the 'cash' account?
A review of the accounting records of Benson Manufacturing indicated that the company incurred the following payroll costs during the month of March. Assume the company's financial statements are prepared in accordance with GAAP. 1. Salary of the company president-$31,400. 2. Salary of the vice president of manufacturing—$15,100. 3. Salary of the chief financial officer-$17,900. 4. Salary of the vice president of marketing-$14,800. 5. Salaries of middle managers (department heads, production supervisors) in manufacturing plant—$186,000. 6. Wages of production workers-$933,000. 7. Salaries of administrative personnel-$106,000. 8. Salaries of engineers and other personnel responsible for maintaining production equipment-$171,000. 9. Commissions paid to sales staff-$261,000. Required a. What amount of payroll cost would be classified as SG&A (selling, general, and administrative) expense? b. Assuming that Benson made 3,100 units of product and sold 2,170 of them during the month of March,…
A review of the accounting records of Campbell Manufacturing indicated that the company incurred the following payroll costs during the month of March. Assume the company's financial statements are prepared in accordance with GAAP. 1. Salary of the company president-$32,300. 2. Salary of the vice president of manufacturing-$15,700. 3. Salary of the chief financial officer-$19,200. 4. Salary of the vice president of marketing-$15,700. 5. Salaries of middle managers (department heads, production supervisors) in manufacturing plant-$199,000. 6. Wages of production workers-$940,000. 7. Salaries of administrative secretaries-$102,000. 8. Salaries of engineers and other personnel responsible for maintaining production equipment-$169,000. 9. Commissions paid to sales staff-$260,000. Required a. What amount of payroll cost would be classified as SG&A expense? b. Assuming that Campbell made 4,500 units of product and sold 3,825 of them during the month of March, determine the amount of payroll…
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