Question

Homework 3 Saved Help Save & Exit Submit Check my work Part 1 of 2 Required information The following information applies to the questions displayed below.) Ricky's Plano Rebuilding Company has been operating for one year. On January 1, at the start of its second year, its income statement accounts had zero balances and its balance sheet account balances were as follows: points Skipped $ 5,800 Accounts Payable 33,750 Deferred Revenue (deposits) $10,050 4,600 eBook Cash Accounts Receivable Supplies Equipment Land Building 1,400 Notes Payable (long-term) 14,800 Common Stock 8,700 Retained Earnings 25,000 57,250 13,500 4,050 Hint Print Following are the January transactions: Reference a. Received a $955 deposit from a customer who wanted her piano rebuilt in February. b. Rented a part of the building to a bicycle repair shop: $385 rent received for January c. Delivered five rebuilt pianos to customers who paid $17,275 in cash. d. Delivered two rebuilt pianos to customers for $8,800 charged on account. e. Received $5,950 from customers as payment on their accounts. f. Received an electric and gas utility bill for $720 for January services to be paid in February g. Ordered $885 in supplies. h. Paid $2,200 on account in January i. Paid $19,200 in wages to employees in January for work done this month. j. Received and paid cash for the supplies in (9). Required: 2. Prepare journal entries for the above January transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required in the first account field.) View transaction list Journal entry worksheet 1 2 3 4 5 6 7 8 9 10 > Received a $955 deposit from a customer who wanted her piano rebuilt in February. Record the transaction. Note: Enter debits before credits. Transaction General Journal Debit Credit Record entry View general journal Clear entry

Answer 1

Journal Entries:

Transaction	Account title and Explanation	Debit	Credit
a	Cash	$955
	Deferred Revenue		$955
	[To record cash collected in advance]
b	Cash	$385
	Rent revenue		$385
	[To record rent revenue]
c	Cash	$17,275
	Service revenue		$17,275
	[To record service revenue]
d	Accounts receivable	$8,800
	Service revenue		$8,800
	[To record service revenue]
e	Cash	$5,950
	Accounts receivable		$5,950
	[To record cash collected from customers]
f	Utilities expense	$720
	Accounts payable		$720
	[To record utilities expense]
g	No Entry
h	Accounts payable	$2,200
	Cash		$2,200
	[To record cash paid for accounts payable]
i	Wages expense	$19,200
	Cash		$19,200
	[To record payment of wages]
j	Supplies	$885
	Cash		$885
	[To record purchase of supplies]