Alcorn Service Company was formed on January 1, Year 1. Events Affecting the Year 1 Accounting Period 1. Acquired $64,000 cash from the issue of common stock. 2. Purchased $2,000 of supplies on account. 3. Purchased land that cost $26,000 cash. 4. Paid $2,000 cash to settle accounts payable created in Event 2. 5. Recognized revenue on account of $50,000. 6. Paid $25,000 cash for other operating expenses. 7. Collected $42,000 cash from accounts receivable. Information for Year 1 Adjusting Entries 8. Recognized accrued salaries of $3,600 on December 31, Year 1 9. Had $600 of supplies on hand at the end of the accounting period. Events Affecting the Year 2 Accounting Period 1. Acquired $24,000 cash from the issue of common stock. 2. Paid $3,600 cash to settle the salaries payable obligation. 3. Paid $4,800 cash in advance to lease office space. 4. Sold the land that cost $26,000 for $26,000 cash. 5. Received $6,000 cash in advance for services to be performed in the future. 6. Purchased $1,400 of supplies on account during the year. 7. Provided services on account of $36,000. 8. Collected $37,000 cash from accounts receivable. 9. Paid a cash dividend of $9,000 to the stockholders. 10. Paid other operating expenses of $23,500 Information for Year 2 Adjusting Entries 11. The advance payment for rental of the office space (see Event 3) was made on March 1 for a one-year term. 12. The cash advance for services to be provided in the future was collected on October 1 (see Event 5). The one-year contract started on October 1. 13. Had $700 of supplies remaining on hand at the end of the period. 14. Recognized accrued salaries of $4,300 at the end of the accounting period. 15. Recognized $800 of accrued interest revenue. Required Identify each event affecting the Year 1 and Year 2 accounting periods as asset source (AS), asset use (AU), asset exchange (AE), or claims exchange (CE). Record the effects of each event under the appropriate general ledger account headings of the accounting equation.

The following events apply to Paradise Vacations's first year of operations: 1. Acquired $32,000 cash from the issue of common stock on January 1, Year 1. 2. Purchased $1,400 of supplies on account. 3. Paid $5,640 cash in advance for a one-year lease on office space. 4. Earned $40,350 of revenue on account. 5. Incurred $14,300 of other operating expenses on account. 6. Collected $30,000 cash from accounts receivable. 7. Paid $9,600 cash on accounts payable. 8. Paid a $4,200 cash dividend to the stockholders. Information for Adjusting Entries 9. There was $270 of supplies on hand at the end of the accounting period. 10. The lease on the office space covered a one-year period beginning November 1. 11. There was $4,800 of accrued salaries at the end of the period. Required a. Record these transactions in general journal form. b. Post the transaction data from the journal to ledger T-accounts. c. Prepare a trial balance. d-1. Prepare an income statemen d-2. Prepare a statement of changes…

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Jaguar Plastics Company has been operating for three years. At December 31 of last year, the accounting records reflected the following:  Cash $22,000Investments (short-term) $3,000Accounts receivable $3,000Inventory $20,000Notes receivable (long-term) $1,000Equipment $50,000Factory building $90,000Intangibles $5,000Accounts payable $15,000Accrued liabilities payable. $4,000Notes payable (current) $7,000Notes payable (noncurrent) $47,000Common stock $10,000Additional paid-in capital $80,000Retained earnings $31,000 During the current year, the company had the following summarized activities: Purchased short-term investments for $10,000 cash. Lent $5,000 to a supplier, who signed a two-year note. Purchased equipment that cost $18,000; paid $5,000 cash and signed a one- year note for the balance. Hired a new president at the end of the year. The contract was for $85,000 per year plus options to purchase company stock at a set price based on company performance. The new president begins…