Question

need help with this: During 2021, the following transactions occurred: Jan. 1 Issued common stock in...

need help with this:

During 2021, the following transactions occurred:

Jan. 1 Issued common stock in exchange for $20,000 cash.

Jan. 31 Rent payment of $1,250 for January 2021, which was paid on December 1, 2020, expires

Feb. 15 Purchased inventory on account for $80,000 (the perpetual inventory system is used).

Mar. 1 Lent a supplier $24,000 and a note was signed requiring principal and interest at 8% to be paid on February 28, 2022.

Apr. 1 Paid an insurance company $9,000 for a one-year fire insurance policy.

Apr. 20 Paid $60,000 to suppliers for the merchandise purchased in 2020 and on February 15, 2021.

July 1 Received a $4,500 invoice from the local newspaper requesting payment for an advertisement that Patina placed. Check was sent on the same day.

July 8 Purchased supplies with $4,400 cash.

Oct 1 Borrowed $60,000 from a local bank and signed a note. The note requires interest to be paid annually on September 30 at 12%. The principal is due in 10 years.

Feb~Nov Paid rent for $1,250 each month

Dec 1 $2,500 rent was paid to the owner of the building. The payment represented rent for December 2021 and January 2022 at $1,250 per month.

Dec 1 A customer paid Pastina $3,500 in December for 1,500 pounds of spaghetti to be delivered in January 2022.

Dec 15 $7,000 in cash dividends were paid to shareholders.

Jan 7~Dec 22 2 Paid salaries $21,900 in cash, including salaries of $1,500 accrued from December 16 through December 31, 2020, and $20,400 for up to December 15, 2021.

Jan~Dec Sold pasta on account for $161,000. The cost of the pasta was $85,000.

Jan~Dec Collected $140,000 on account from customers.

Jan~Dec Paid $8,000 in total to the local utility company for gas and electricity.

Dec 31 Depreciation on the office equipment for the year is $11,500.

Dec 31 $920 of supplies remained on hand at December 31, 2021.

Dec 31 Employee salaries are paid twice a month, on the 22nd for salaries earned from the 1st through the 15th, and on the 7th of the following month for salaries earned from the 16th through the end of the month. Salaries earned from December 16 through December 31, 2021, were $1,550.

Required: 1. Prepare general journal entries to record each transaction. Omit explanations. 2. Post the entries to T-accounts. 3. Prepare the necessary adjusting journal entries.

0 0
Add a comment Improve this question Transcribed image text
Answer #1

Hope you are doing well , Please refer to be below attached images for solution:

solo wincel Endbales Date 1012021 Du Antt ch) constart chy Ollo112 62 19 8 30 31/12). 1512121 113121 Pation con Cash ale or 2E Dute Particulares u A 1112/21. 2500, 1112121 Debit Rent haid al hr. 1250 Rent Expense ale fu 1250 - Te cast. Caste ale... 3SEL o Acerusting entre I Date particular 3112121. I Bil12121 2112121. particular Debet creaty. Depuration ale- nr. 11500 To aStatement of Income for the peribel ending 314/2020 Amount (5) gunun Particulcon Sales 161000, 85000) Cost of gooch Bold. graBalance sheet as on. 31/12/2021 Amount (8). Amound ($) 46000 230270 Darticware Non avirent asset office Equipments 92000 Len

Add a comment
Know the answer?
Add Answer to:
need help with this: During 2021, the following transactions occurred: Jan. 1 Issued common stock in...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • need help with closing entries: During 2021, the following transactions occurred: Jan. 1 Issued common stock...

    need help with closing entries: During 2021, the following transactions occurred: Jan. 1 Issued common stock in exchange for $20,000 cash. Jan. 31 Rent payment of $1,250 for January 2021, which was paid on December 1, 2020, expires Feb. 15 Purchased inventory on account for $80,000 (the perpetual inventory system is used). Mar. 1 Lent a supplier $24,000 and a note was signed requiring principal and interest at 8% to be paid on February 28, 2022. Apr. 1 Paid an...

  • journal entries for the following: Jan. 1) Issued common stock in exchange for $10,000 cash. Jan....

    journal entries for the following: Jan. 1) Issued common stock in exchange for $10,000 cash. Jan. 31) Rent payment of $2,250 for January 2021, which was paid on December 1, 2020, expires Feb. 15) Purchased inventory on account for $30,000 (the perpetual inventory system is used). Mar. 1) Lent a supplier $44,000 and a note was signed requiring principal and interest at 8% to be paid on February 28, 2022. Apr. 1) Paid an insurance company $4,000 for a one-year...

  • Prepare general journal entries to record each transaction. Omit explanations. Pastina Company manufactures and sells various...

    Prepare general journal entries to record each transaction. Omit explanations. Pastina Company manufactures and sells various types of pasta to grocery chains as private label brands. The company's fiscal year-end is December 31. The December 31, 2020 trial balance is as follows: Credits PASTINA COMPANY Trial Balance December 31, 2020 Account Title Debits Cash $ 24,550 Accounts receivable 22,000 Supplies 1,400 Inventory 68,000 Prepaid rent 1,250 Office equipment 92,000 Accumulated depr.-office equipment Accounts payable Salaries payable Common stock Retained earnings...

  • The following transactions occurred during December 31, 2021, for the Folwell Company, entire amount 1. A...

    The following transactions occurred during December 31, 2021, for the Folwell Company, entire amount 1. A three-year fire Insurance policy was purchased on July 1, 2021, for $14,760. The company debited Insurance expense for the 2. Depreciation on equipment totaled $14,000 for the year 3. Employee salaries of $20,500 for the month of December will be paid in early January 2022. 4. On November 1, 2021, the company borrowed $270,000 from a bank. The note requires principal and interest at...

  • The following transactions occurred during December 31, 2021, for the Microchip Company. On October 1, 2021,...

    The following transactions occurred during December 31, 2021, for the Microchip Company. On October 1, 2021, Microchip lent $87,500 to another company. A note was signed with principal and 8% interest to be paid on September 30, 2022. On November 1, 2021, the company paid its landlord $3,400 representing rent for the months of November through January. Prepaid rent was debited. On August 1, 2021, collected $6,800 in advance rent from another company that is renting a portion of Microchip’s...

  • The following transactions occurred during December 31, 2021, for the Microchip Company. On October 1, 2021,...

    The following transactions occurred during December 31, 2021, for the Microchip Company. On October 1, 2021, Microchip lent $117,500 to another company. A note was signed with principal and 8% interest to be paid on September 30, 2022. On November 1, 2021, the company paid its landlord $5,600 representing rent for the months of November through January. Prepaid rent was debited. On August 1, 2021, collected $11,200 in advance rent from another company that is renting a portion of Microchip’s...

  • The following transactions occurred during December 31, 2021, for the Microchip Company. On October 1, 2021,...

    The following transactions occurred during December 31, 2021, for the Microchip Company. On October 1, 2021, Microchip lent $90,000 to another company. A note was signed with principal and 8% interest to be paid on September 30, 2022. On November 1, 2021, the company paid its landlord $6,000 representing rent for the months of November through January. Prepaid rent was debited. On August 1, 2021, collected $12,000 in advance rent from another company that is renting a portion of Microchip’s...

  • The following transactions occurred during December 31, 2021, for the Falwell Company. 1. A three-year fire...

    The following transactions occurred during December 31, 2021, for the Falwell Company. 1. A three-year fire insurance policy was purchased on July 1, 2021, for $9,360. The company debited insurance expense for the entire amount. 2. Depreciation on equipment totaled $10,250 for the year. 3. Employee salaries of $12,500 for the month of December will be paid in early January 2022. 4. On November 1, 2021, the company borrowed $110,000 from a bank. The note requires principal and interest at...

  • The following transactions occurred during December 31, 2021, for the Folwell Company 1. A three-year fire...

    The following transactions occurred during December 31, 2021, for the Folwell Company 1. A three-year fire insurance policy was purchased on July 1, 2021, for $9,720. The company debited insurance expense for the entire amount. 2. Depreciation on equipment totaled $10,500 for the year. 3. Employee salaries of $13,000 for the month of December will be paid in early January 2022. 4. On November 1, 2021, the company borrowed $120,000 from a bank. The note requires principal and interest at...

  • The following transactions occurred during December 31, 2021, for the Falwell Company. A three-year fire insurance...

    The following transactions occurred during December 31, 2021, for the Falwell Company. A three-year fire insurance policy was purchased on July 1, 2021, for $14,040. The company debited insurance expense for the entire amount. Depreciation on equipment totaled $13,500 for the year. Employee salaries of $19,500 for the month of December will be paid in early January 2022. On November 1, 2021, the company borrowed $250,000 from a bank. The note requires principal and interest at 12% to be paid...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT