Question

put the following business business transactions into the given T-accounts in the pictures (all transactions took place in january)

business transactions:

1.cash in the amount of $80,000 was received for services that will be performed in february

2.record the month revenue for services deferred in an earlier month (see existing T-account balance)

3.sold widgets on account in the amount of $210,000

4.paid february rent of $5,000 in january

5.at january 31 employees earned $20,000 that will not be paid until the february 1 payroll

6.the depreciation expense needs to ne recorded for the $200,000 equipment - assume a five year life (only one month depreciation) assume the equipment purchase was made at end of january - so not depreciated

7.record insurance expense for the month of january (see the T-account for existing balance of prepaid expense)

8.record one month interest expense on the notes payable (hint: both current and long term) interest rate is 10% (see existing T-account balance)

9.record interest earned on note receivable for the month of january, rate is 8% (see existing T-account balance)

10.record dividends paid in the amount of $5,000

11.record the purchase of equipment for $600,000 by signing a note (assume purchase january 31- no depreciation or interest necessary)

Cash Debit 1,268,000.00 Credit Trading Securities Debit Credit 50,000.00 BB $ BB $ EB $ 1,268,000.00 EB $ 50,000.00 Note Receivable Debit Credit 200,000.00 PREPAID EXPENSES Debit Credit 22,000.00 BB $ BB $ ЕВ $ 200,000.00 EB $ 22,000.00 Accumulated Depr Debit Credit $ 40,000.00 Accounts Payable Debit Credit $750,000.00 BB BB EB $ 40,000.00 EB $ 750,000.00

Answer 1

Last Account sebit (edit BB $ 1268TDD uuearned Reveuve widget sare Dindend paid Reut Expenses EB $ SUOD $500 Istao *1348000 sales Revence Abit Credit * ՁԿԱՆ uularued Revenue Cuore (I) $ 24000

Led CHD Dulearted Pevec sebit LOLE $ BB گرام Lg Accout Cucle 1) Case of conces luure D somos QUOD loidget laue. 010000 toshate accrouts Receivable Cuote se dit BB Bebaid Exbrutes sebit $92000 LashAIC (uote I) Ти &amu te Expeц са tuck Sil) EB 00700 $ 22000 Salast Expenses resit 520000 Saranes pagabie Cuche ) EB $ 20700 Satanes boutable Calary Expauses om ES OBS

VAN Тискане Experies Nebit 16 20D Drepaid Expense cuote ) 2010 Long term contable Tu eres Experts x Lulencat expeur sebit Credit Tuto povable A1000X/0% XY12) $50000x107xV 1200 417 1667 Luterest payable bebit Duterest Expeusts (more ix) credi 1667 1667 EB Intertot Reveure. Aebit Credit 1933 Lulerest Receivable (sau 4 x . x2) 1333 1833

Interest Receivane sebit Pastane 1332 Busterest Revente cuolexi) 1333 B sed Dividend AIC Bibit 5610 ToLash Chole I) 5000 EB__ (xiv) Equpmeut Ale Debit Credit 9.00 812 note pauable Note payable bebit bedit BB Equipment Alc GULD ЕВ $ SUDO BB A clorub Receivable sent credit 1300D 210 to 1510000 Loidser cale (wen)