FINANCIAL ACCT.FUND.(LOOSELEAF)
7th Edition
ISBN: 9781260482867
Author: Wild
Publisher: MCG
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Chapter 2, Problem 12E
To determine
Journal entries are the basic entries recoded as per the transactions being entered into by the business in its day to day operations in a chronological order.
Accounting rules regarding journal entries:
- Balance increases when: assets, losses and expenses are debited and liabilities, gains and incomes get credited.
- Balance decreases when: assets, losses and expenses get credited and liabilities, gains and incomes are debited
1.
To prepare: Journal entries.
2.
To determine
Reasons for not recording transactions a, c, d, and e as revenue.
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A company's Cash account shows a balance of $3,410 at the end of the month. Comparing the company's Cash account with the
monthly bank statement reveals several additional cash transactions such as bank service fees ($60), an NSF check from a customer
($330), a customer's note receivable collected by the bank $(1,500), and interest earned $(190).
Prepare the necessary entries to adjust the balance of cash. (If no entry is required for a transaction/event, select "No Journal Entry
Required" in the first account field.)
View transaction list
А
Record the entries that increase cash.
Record the entries that decrease cash.
Credit
Note :
= journal entry has been entered
%3D
Record entry
Clear entry
View general journal
EX:
PROBLEM 1: You obtained the following information on the current account of BUGOY CORP. During your
examination of its financial statements for the year ended December 31, 2021.
The bank statement on November 30, 2021 showed a balance of P918,000. Among the bank credits in November
was customer's note for P300,000 collected for the account of the company which the company recognized in
December among its receipts. Included in the bank debits were cost of checkbooks amounting to P3,600 and a
P120,000 check which was charged by the bank in error against Bugoy's account. Also in November you
ascertained that there were deposits in transit amounting to P240,000 and outstanding checks totaling P510,000.
The bank statement for the month of December showed total credits of P1,248,000 and total charges of P612,000.
The Company's books for December showed total debits of P2,206,800, total credits of P1,221,600 and a balance
of P1,456,800. Bank debit memos for December were: No. 121 for service…
Instructions:
Use the below bank account receipts and payments summary to create a
statement of cash flows. Use the direct method and follow the format in your
textbook, chapter 6.
Transaction Description
Date
1/1/20 Cash deposit to start business
1/1/20 Three month's rent
1/1/20 Cash register paid for
1/1/20 Store furniture paid for
1/31/20 Receipts for sales in January 2020
2/7/20 Widgets supplied in January paid for
2/25/20 Cash withdrawn for your own expenses
2/29/20 Receipts for sales in February 2020
3/15/20 Widgets supplied in February paid for
3/16/20 Store utility charges for Jan, Feb, Mar 2020
3/31/20 Receipts for sales March 2020
3/31/20 Balance in bank on March 31st 2020
Receipts
10,000
6,500
9,000
12,000
37,500
Payments
2,400
450
8,500
4,500
3,000
6,000
300
12,350
37,500
Chapter 2 Solutions
FINANCIAL ACCT.FUND.(LOOSELEAF)
Ch. 2 - Amalia Company received its utility bill for the...Ch. 2 - On May 1, Mattingly Lawn Service collected $2,500...Ch. 2 - Liang Shue contributed $250,000 cash and land...Ch. 2 - A trial balance prepared at year-end shows total...Ch. 2 - Bonaventure Company has total assets of...Ch. 2 - Provide the names of two (a) asset accounts, (b)...Ch. 2 - Prob. 2DQCh. 2 - Prob. 3DQCh. 2 - Prob. 4DQCh. 2 - Prob. 5DQ
Ch. 2 - Prob. 6DQCh. 2 - Prob. 7DQCh. 2 - Prob. 8DQCh. 2 - Prob. 9DQCh. 2 - Prob. 10DQCh. 2 - Prob. 11DQCh. 2 - Prob. 12DQCh. 2 - Prob. 13DQCh. 2 - Prob. 14DQCh. 2 - Prob. 15DQCh. 2 - Prob. 16DQCh. 2 - Prob. 17DQCh. 2 - Prob. 18DQCh. 2 - Prob. 1QSCh. 2 - Prob. 2QSCh. 2 - Prob. 3QSCh. 2 - Prob. 4QSCh. 2 - Prob. 5QSCh. 2 - Prob. 6QSCh. 2 - Prob. 7QSCh. 2 - Prob. 8QSCh. 2 - Prob. 9QSCh. 2 - Prob. 10QSCh. 2 - Prob. 11QSCh. 2 - Prob. 12QSCh. 2 - Prob. 13QSCh. 2 - Prob. 14QSCh. 2 - Prob. 15QSCh. 2 - Prob. 1ECh. 2 - Prob. 2ECh. 2 - Prob. 3ECh. 2 - Prob. 4ECh. 2 - Prob. 5ECh. 2 - Analyzing account entries and balances A1 Use the...Ch. 2 - Prob. 7ECh. 2 - Prob. 8ECh. 2 - Prob. 9ECh. 2 - Prob. 10ECh. 2 - Prob. 11ECh. 2 - Prob. 12ECh. 2 - Prob. 13ECh. 2 - Prob. 14ECh. 2 - Prob. 15ECh. 2 - Prob. 16ECh. 2 - Prob. 17ECh. 2 - Prob. 18ECh. 2 - Prob. 19ECh. 2 - Identifying effects of posting errors on the trial...Ch. 2 - Prob. 21ECh. 2 - Prob. 22ECh. 2 - Prob. 23ECh. 2 - Prob. 1PSACh. 2 - Prob. 2PSACh. 2 - Prob. 3PSACh. 2 - Prob. 4PSACh. 2 - Prob. 5PSACh. 2 - Prob. 6PSACh. 2 - Prob. 7PSACh. 2 - Prob. 1PSBCh. 2 - Prob. 2PSBCh. 2 - Prob. 3PSBCh. 2 - Prob. 4PSBCh. 2 - Prob. 5PSBCh. 2 - Prob. 6PSBCh. 2 - Prob. 7PSBCh. 2 - Prob. 2SPCh. 2 - Prob. 1GLPCh. 2 - Prob. 2GLPCh. 2 - Prob. 3GLPCh. 2 - Prob. 4GLPCh. 2 - Prob. 5GLPCh. 2 - Using transactions from the following assignments,...Ch. 2 - Prob. 7GLPCh. 2 - Prob. 8GLPCh. 2 - Prob. 1AACh. 2 - Prob. 2AACh. 2 - Prob. 3AACh. 2 - Prob. 1BTNCh. 2 - Prob. 2BTNCh. 2 - Prob. 3BTNCh. 2 - Prob. 4BTNCh. 2 - Prob. 5BTNCh. 2 - Prob. 6BTNCh. 2 - Prob. 7BTN
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