Question

what are the journal entries for 32,34,&35?

fx The note payable relating to the June 2, and 10 transactions is a five-year - The fixed assets have estimated useful lives as follows: Building - 31.5 years Computer Equipment - 5.0 years Office Equipment - 7.0 years Use the straight-line method of depreciation Management has decided that assets purchased during a month are treated as if purchased on the first day of the month. The building's scrap value is $7,500. The office equipment has a scrap value of $400. The computer equipment has no scrap value. Calculate the depreciation for one month 33. A review of the payroll records show that unpaid salaries in the amount of $531 are owed by Byte for three days, June 28. 30. 34. The note payable relating to the June 2, and 10 transactions is a five-year note, with interest at the rate of 12 percent annually. Interest expense should be computed based on a 360 day year. IMPORTANT NOTE: The original note on the computer equipment purchased on June 2 was $116.000 On June 10, eight days later, 522.250 was repaid. Interest expense must be calculated on the 5116,000 for eight days. In addition, interest expense on the 593.750 balance of the loan |(5116,000 less $22.250 - 593.750) must be calculated for the 20 days remaining in the month of June. - 35. Income taxes are to be computed at the rate of 25 percent of net income before taxes IMPORTANT NOTE: Since the income taxes are a percent of the net income you will want to prepare the Income Statements through the Net Income Before Tax line. The worksheet contains all of the accounts and their balances which you can then transfer to the appropriate financial statement Closing Estries Introduction FAQ Welcome Chart of Accounts Transactions ady Mace

Answer 1

Credit Adjusting entries No. Date Name 27 30-Jun Rent expense Prepaid rent Debit 2,400.00 Calculation =9,600/4 2,400.00 28 385.00 =655-270 30-Jun Supplies expense Office Supplies 385.00 29 349.59 =101,700*8.25%*0.5/12 30-Jun Interest expense Interest Payable 349.59 30 221.00 =5,304/12*0.5 30-Jun Insurance expense Prepaid Insurance 221.00 31 Not given in Q 30-Jun Accounts Receivable Computer Consultation Revenue 32 3,479.46 30-Jun Depreciation expense Accum. Depr. - Building Accum. Depr. - Computer Equip Accum. Depr. - Office Equip 231.48 3,233.17 14.81 =195,000-7,500)/31.5*1/12 = (35,190+13,800+145,000)/5*1/12 =((529+300-60+875)-400)/7*1/12 33 531.00 30-Jun Salary expense Salaries Payable 531.00 34 934.33 30-Jun Interest expense Interest Payable (116,000*12%*8/360)+((116,000- 22,250) *12%*20/360) 934.33 35 1,434.90 30-Jun Income tax expense Income tax Payable =5,739.62*25% 1,434.90 Refer Income Statement As entry #31 is not given, revenue will change by that amount & so will tax Closing entries

Credit Calculation Byte of Accounting Inc Journal entries N-Date Name 1 1-Jun Cash Computer Equipment Common Stock Debit 25,760.00 35,190.00 60,950.00 2 1-Jun Cash Computer Equipment Office Equipment Common Stock 42,550.00 13,800.00 529.00 56,879.00 3 55,200.00 1-Jun Cash Common Stock 55,200.00 4 145,000.00 2-Jun Computer Equipment Cash Note Payable 29,000.00 116,000.00 5 300.00 4-Jun Office Equipment Accounts payable 300.00 6 60.00 8-Jun Accounts payable Office Equipment 60.00 7 22,250.00 10-Jun Note Payable Cash 22,250.00 8 5,304.00 1 year wef June 16 14-Jun Prepaid Insurance Cash 5,304.00 9 8,250.00 16-Jun Cash Computer Consultation Revenue 8,250.00 10 18,000.00 95,000.00 =113,000-18,000 16-Jun Land Building Cash Mortgage Payable 11,300.00 101,700.00 =113,000-11,300 11 17-Jun Prepaid Rent Cash 9,600.00 June, July, Aug, Sep 9,600.00 12 450.00 17-Jun Advertising expense Accounts Payable 450.00 13 4,500.00 21-Jun Accounts Receivable Computer Consultation Revenue 4,500.00 14 875.00 21-Jun Office Equipment Cash 875.00 15 240.00 21-Jun Accounts Payable Cash 240.00 16 450.00 22-Jun Accounts Payable Cash 450.00 17 1,090.00 22-Jun Repairs & Maintenance expense Accounts Payable 1,090.00 18 22-Jun Salary expense 885.00 Cash 885.00 3,605.00 1923-Jun Cash Accounts Receivable 3,605.00 20 655.00 23-Jun Office Supplies Accounts Payable 655.00 21 5,490.00 28-Jun Accounts Receivable Computer Consultation Revenue 5,490.00 22 5,201.00 29-Jun Cash Accounts Receivable 5,201.00 23 1,090.00 29-Jun Accounts Payable Cash 1,090.00 24 885.00 29-Jun Salary expense Cash 885.00 25 890.00 30-Jun Oil & gas expense Accounts Payable 890.00 26 1,278.91 =(2,650+2,473+2,400) *0.17 30-Jun Dividends Cash 1,278.91

18,240.00 Byte of Accounting, Inc. For the month ending June 30, 2019 Income Statement Computer Consultation Revenue Expenses: Rent expense Salary expense Advertising expense Repairs & maintenance expense Oil & gas expense Supplies expense Interest expense Insurance expense Depreciation expense Total Expenses 2,400.00 2,301.00 450.00 1,090.00 890.00 385.00 1,283.93 221.00 3,479.46 12,500.38 Net Income before taxes Income Tax Expense @ 25% Net Income 5,739.62 1,434.90 =5,739.62*25% 4,304.71