P9-2 (Algo) Recording and Reporting Current Liabilities and identifying Cash Flow Effects LO9-1, 9-5Roger Company completed the following transactions during Year 1. Roger's fiscal year ends on December 31.January 8 Purchased merchandise for resale on account. The invoice amount was $14,770; assume a perpetualinventory system.Paid January 8 invoice.Borrowed $30,000 from National Bank for general use; signed a 12-month, 8% annual interest-bearingnote for the money.Purchased merchandise for resale on account. The invoice amount was $17,220.Paid June 3 invoice.January 17April 1June 3July 5August 1Rented office space in one of Roger's buildings to another company and collected six months' rent inadvance amounting to $27,000.December 20 Received a $180 deposit from a customer as a guarantee to return a trailer borrowed for 30 days.December 31 Determined wages of $9,500 were earned but not yet paid on December 31 (disregard payroll taxes).Required:1. Prepare journal entries for each of these transactions.2. Prepare the adjusting entries required on December 31.3. Show how all of the liabilities arising from these transactions are reported on the balance sheet at December 31.

Journal entries are recorded in a systematic manner in the books of account. Entries are prepared by…

Roger Company completed the following transactions during Year 1. Roger's fiscal year ends on December 31. January 8 January 17 April 1 June 3 July 5 August 1 Purchased merchandise for resale on account. The invoice amount was $14,770; assume a perpetual inventory system. Paid January 8 invoice. Borrowed $30,000 from National Bank for general use; signed a 12-month, 8% annual interest-bearing note for the money. Purchased merchandise for resale on account. The invoice amount was $17,220. Paid June 3 invoice. Rented office space in one of Roger's buildings to another company and collected six months' rent in advance amounting to $27,000. December 20 Received a $180 deposit from a customer as a guarantee to return a trailer borrowed for 30 days. December 31 Determined wages of $9,500 were earned but not yet paid on December 31 (disregard payroll taxes). Required: 1. Prepare journal entries for each of these transactions. 2. Prepare the adjusting entries required on December 31. 3. Show how all of the liabilities arising from these transactions are reported on the balance sheet at December 31.

Roger Company completed the following transactions during Year 1. Roger's fiscal year ends on December 31. January 8 January 17 April 1 June 3 July 5 August 1 Purchased merchandise for resale on account. The invoice amount was $14,770; assume a perpetual inventory system. Paid January 8 invoice. Borrowed $30,000 from National Bank for general use; signed a 12-month, 8% annual interest-bearing note for the money. Purchased merchandise for resale on account. The invoice amount was $17,220. Paid June 3 invoice. Rented office space in one of Roger's buildings to another company and collected six months' rent in advance amounting to $27,000. December 20 Received a $180 deposit from a customer as a guarantee to return a trailer borrowed for 30 days. December 31 Determined wages of $9,500 were earned but not yet paid on December 31 (disregard payroll taxes). Required: 1. Prepare journal entries for each of these transactions. 2. Prepare the adjusting entries required on December 31. 3. Show how all of the liabilities arising from these transactions are reported on the balance sheet at December 31.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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