The company received $50,000 from investors in cash and issued common stock.The company billed customers for services rendered, $50,000.The company purchased supplies on account for $2,500.The company paid for one-year insurance policy for $24,000.The company purchased equipment for $50,000 and signed a note payable.The company received a deposit for $18,000 for 12 months service paid in advance.The company paid $3,500 of accounts payable.The company received $30,000 from customers previously billed.The company paid $20,000 in expenses.The company paid a dividend of $2,500. Information for Adjusting Entries At the end of the year, the company had $2,000 of supplies on hand.The prepaid insurance was a one-year policy purchased on October 1.The equipment was expected to last ten years with no salvage value.The $18,000 deposit was for on-year service and was received on July 1.The note payable was signed on October 1 with an interest rate of 3.00%.The company has a weekly payroll of $10,000 for a five-day week. The year-end was on a Wednesday.Use Excel for the Answer Given example CashReceivableAccountsSupplies Insurance Equipment DepreciationRevenuePayable Payable Payable5,500Pre-Adjustment Balances25,00015,000500AJE 1AJE 2AJE 3AJE 4AJE 5AJE 6Adjusted Balances25,00015,0005005,500RevenueExpensesSheet1+) Accounts for DoubtfulPrepaidAccumUnearnedAccounts SalariesInterestCashReceivableAccountsSupplies Insurance Equipment DepreciationRevenuePayable Payable Payable5,500Beginning Balance25,00015,000500123456781011Pre-Adjustment Balances25,00015,0005005,500

Asset=Liability+Equity where, Equity=Common Stock+Revenue-Expenses

Answered: The company received $50,000 from…

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ISBN:9781337650380

Author:KNAPP

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Chapter5: Ethical Responsibilities Of Independent Auditors

Section5.6: Richard Grimes, Staff Accountant

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The company received $50,000 from investors in cash and issued common stock.
The company billed customers for services rendered, $50,000.
The company purchased supplies on account for $2,500.
The company paid for one-year insurance policy for $24,000.
The company purchased equipment for $50,000 and signed a note payable.
The company received a deposit for $18,000 for 12 months service paid in advance.
The company paid $3,500 of accounts payable.
The company received $30,000 from customers previously billed.
The company paid $20,000 in expenses.
The company paid a dividend of $2,500.

Information for Adjusting Entries

At the end of the year, the company had $2,000 of supplies on hand.
The prepaid insurance was a one-year policy purchased on October 1.
The equipment was expected to last ten years with no salvage value.
The $18,000 deposit was for on-year service and was received on July 1.
The note payable was signed on October 1 with an interest rate of 3.00%.
The company has a weekly payroll of $10,000 for a five-day week. The year-end was on a Wednesday.
Use Excel for the Answer Given example