Question

Required information The following information applies to the questions displayed below.) At January 1 (beginning of its fiscal year), Conover, Inc., a financial services consulting firm, reported the following account balances in thousands, except for par and market value per share): $ Cash Short-term investments Accounts receivable Supplies Prepaid expenses office equipment Accumulated depreciation-office equipment* $ 1,900 Accounts payable 410 Unearned revenue 3,570 Salaries Payable 150 Short-term note payable 4,720 Common stock ($1 par value) 1,530 Additional paid-in capital (480) Retained earnings 210 1,320 870 780 50 6,560 2,010 *This account has a credit balance representing the portion of the cost of the equipment used in the past. a. Received $9,500 cash for consulting services rendered. b. Issued 10 additional shares of common stock at a market price of $120 per share. C. Purchased $640 of office equipment, paying 25 percent in cash and owing the rest on a short-term note. d. Received $890 from clients for consulting services to be performed in the next year. e. Bought $470 of supplies on account. f. Incurred and paid $1,800 in utilities for the current year. g. Consulted for clients in the current year for fees totaling $1,620, due from clients in the next year. h. Received $2,980 from clients paying on their accounts. i. Incurred $6,210 in salaries in the current year, paying $5,300 and owing the rest (to be paid next year). 1. Purchased $1,230 in short-term investments and paid $800 for insurance coverage beginning in the next fiscal year. k. Received $10 in interest revenue earned in the current year on short-term investments. 2 3 4 5 6 7 8 11 Received $9,500 cash for consulting services rendered. Note: Enter debits before credits. Transaction General Journal Debit Credit Issued 10 additional shares of common stock at a market price of $120 per share. Note: Enter debits before credits. Transaction General Journal Debit Credit Purchased $640 of office equipment, paying 25 percent in cash and owing the rest on a short-term note. Note: Enter debits before credits. Transaction General Journal Debit Credit Received $890 from clients for consulting services to be performed in the next year. Note: Enter debits before credits. Transaction General Journal Debit Credit Bought $470 of supplies on account. Note: Enter debits before credits. Transaction General Journal Debit Credit Incurred and paid $1,800 in utilities for the current year. Note: Enter debits before credits. Transaction General Journal Debit Credit f. Consulted for clients in the current year for fees totaling $1,620, due from clients in the next year. Note: Enter debits before credits. Transaction General Journal Debit Credit Received $2,980 from clients paying on their accounts. Note: Enter debits before credits. Transaction General Journal Debit Credit

Answer 1

NE terus Insert Insert Left Right Split Table Auto F Merge Split Cells Cells Merge Bwire 10.63 Distribute Columns Cell Size 52 Date Credit Particulars Cash Service Revenue Debit 9,500 9,500 Cash Common Stock 1,200 1,200 640 Office Equipment Cash Notes Payable 160 480 890 Cash Unearned Service Revenue 890 Purchases Accounts Payable 470 1,800 Utilities expense Cash 1.800 1,620 Accounts Receivables Service Revenue 1,620

Cash Cash Cash Op-Balance 14000 $1900 + Carh Received 14,500 ($9500+ 1,200 to 90+298040) - Cash Paul 19290) ($160t 1800+5,300t 2030) Cloring Bal. $7,190 Short term Investment $ 410 $1230 Op- Balance fPurchase Closing Bal $1640 op Op Balance + Amant due - Amount Recerved mount o peceny Accounts Receivable $3,570 1620 agao) $2,210

Supplies $ 150 op Balance it Purchases 470 $620 Op Balance + Prepaid Insmance Pupaid Expenses $4,720 t soo $5,520 Op. Balones thuchases Office Equipmed $4530 640 $2,170 Accumulated Deprication, a $480 op Balance it Purchases Accounts Payable $210 470 1680 Unearned Revenu $ 1320 Op Balane & Cash Recened 880 $2210

Salaver Payable Op Balance t salones $878 glo 1700 Due Op Balance & Notes issued Short term Note Payable $780 . 480 $1260 Op Balance Shares duued Common Stock $so 1200 $1250 + Received Revenue Cash Due Consulting fees Reven $9,500 1,620 $14120 Interest Revenu $10 Utilities Expense $1800

Salaries Expense $6210 Balance Additional Pardin Capital - $6,560 Retai Op - Balance + Net Income & Retained Earning $2010 $3120 IS130 11,120 8010 Revenue Leul. Expenses ($180ot 6210) operating Income + Internt Revenue Net Income $3110 10 $3120 Assets - Liabilities & Stockholder's s Equity ($71904 1640+22104 620" - 184600+2200ť 1700. [ts320f 2170-480) (t 1260) + (85 230 42504 6560) 1$ 18870 = $5930 t $12940