Question

Problem 3-8A (Part Level Submission) The Triquel Theater Inc. was recently formed. It began operations in March 2017. The Triquel is unique in that it will show only triple features of sequential theme movies. On March 1, the ledger of The Triquel showed Cash $20,200; Land $42,200; Buildings (concession stand, projection room, ticket booth, and screen) $22,000; Equipment $16,000; Accounts Payable $16,200; and Common Stock $84,200. During the month of March, the following events and transactions occurred: Mar. 2 Rented the first three Star Wars movies (Star Wars3, The Empire Strikes Back, and The Return of the Jedi) to be shown for the first three weeks of March. The film rental was $9,900; $2,500 was paid in cash and $7,400 will be paid on March 10 3 Ordered the first three Star Trek movies to be shown the last 10 days of March. It will cost $500 per night. 9 Received $9,600 cash from admissions. 10 Paid balance due on Star Wars movies' rental and $2,900 on March 1 accounts payable 11 The Triquel Theater contracted with R. Lazlo to operate the concession stand. Lazlo agrees to pay The Triquel 15% of gross receipts, payable monthly, for the rental of the concession stand 12 Paid advertising expenses $470 20 Received $8,000 cash from customers for admissions. 20 Received the Star Trek movies and paid rental fee of $4,300 31 Paid salaries of $3,900 31 Received statement from R. Lazio showing gross receipts from concessions of $10,000 and the balance due to The Triquel of $1,500 ($10,000 × .15) for March. Lazlo paid half the balance due for the rental of the concession stand and will remit the remainder on April 5 31 Received $19,300 cash from customers for admissions.

Answer 1