Journalizing and Posting Transactions and Adjustments
D. Roulstone opened Roulstone Roofing Service on April 1.
Transactions for April follow.
Apr.1 | Roulstone contributed $11,500 cash to the business in exchange for common stock. |
2 | Paid $6,100 cash for the purchase of a used truck. |
2 | Purchased $6,200 of ladders and other equipment; the company paid $1,000 cash, with the balance due in 30 days. |
3 | Paid $2,880 cash for two-year (or 24-month) premium toward liability insurance. |
5 | Purchased $1,200 of supplies on credit. |
5 | Received an advance of $1,800 cash from a customer for roof repairs to be done during April and May. |
12 | Billed customers $5,500 for roofing services performed. |
18 | Collected $4,900 cash from customers toward their accounts billed on April 12. |
29 | Paid $675 cash for truck fuel used in April. |
30 | Paid $100 cash for April newspaper advertising. |
30 | Paid $4,500 cash for assistants' wages earned. |
30 | Billed customers $4,000 for roofing services performed. |
Using the following accounts: Cash; Accounts Receivable;
Supplies; Prepaid Insurance; Trucks; Accumulated
Depreciation-Trucks; Equipment; Accumulated Depreciation-Equipment;
Accounts Payable; Unearned Roofing Fees; Common Stock; Roofing Fees
Earned; Fuel Expense; Advertising Expense; Wages Expense; Insurance
Expense; Supplies Expense; Depreciation Expense-Trucks; and
Depreciation Expense-Equipment.
b. Record these transactions for April using journal entries.
General Journal | |||
---|---|---|---|
Date | Description | Debit | Credit |
Apr. 1 | AnswerAccounts ReceivableAccounts PayableCommon StockCash | Answer | Answer |
AnswerAccounts ReceivableAccounts PayableCommon StockCash | Answer | Answer | |
Owner invested cash. | |||
Apr. 2 | AnswerCashAccounts ReceivableTruckAccounts Payable | Answer | Answer |
AnswerCashAccounts ReceivableTruckAccounts Payable | Answer | Answer | |
Purchased truck. | |||
Apr. 2 | AnswerSuppliesAccounts ReceivableAccounts PayableEquipment | Answer | Answer |
Cash | Answer | Answer | |
AnswerSuppliesAccounts ReceivableAccounts PayableEquipment | Answer | Answer | |
Purchased equipment. | |||
Apr. 3 | AnswerAccounts PayableAccounts ReceivablePrepaid InsuranceCash | Answer | Answer |
AnswerAccounts PayableAccounts ReceivablePrepaid InsuranceCash | Answer | Answer | |
Purchased liability insurance. | |||
Apr. 5 | AnswerAccounts PayableSuppliesEquipmentAccounts Receivable | Answer | Answer |
AnswerAccounts PayableSuppliesEquipmentAccounts Receivable | Answer | Answer | |
Purchased supplies. | |||
Apr. 5 | AnswerUnearned Roofing FeesAccounts ReceivableCashAccounts Payable | Answer | Answer |
AnswerUnearned Roofing FeesAccounts ReceivableCashAccounts Payable | Answer | Answer | |
Received advanced payment for repair work. | |||
Apr. 12 | AnswerEquipmentAccounts ReceivableAccounts PayableRoofing Fees Earned | Answer | Answer |
AnswerEquipmentAccounts ReceivableAccounts PayableRoofing Fees Earned | Answer | Answer | |
Billed for services performed. | |||
Apr. 18 | AnswerSuppliesCashAccounts PayableAccounts Receivable | Answer | Answer |
AnswerSuppliesCashAccounts PayableAccounts Receivable | Answer | Answer | |
Collected from customers billed on April 12. | |||
Apr. 29 | AnswerFuel ExpenseCashAccounts ReceivableAccounts Payable | Answer | Answer |
AnswerFuel ExpenseCashAccounts ReceivableAccounts Payable | Answer | Answer | |
Paid for April fuel expense. | |||
Apr. 30 | AnswerAdvertising ExpenseAccounts PayableCashEquipment | Answer | Answer |
AnswerAdvertising ExpenseAccounts PayableCashEquipment | Answer | Answer | |
Paid for April newspaper advertising. | |||
Apr. 30 | AnswerCashSuppliesAccounts PayableWages Expense | Answer | Answer |
AnswerCashSuppliesAccounts PayableWages Expense | Answer | Answer | |
Paid wages. | |||
Apr. 30 | AnswerEquipmentAccounts ReceivableAccounts PayableRoofing Fees Earned | Answer | Answer |
AnswerEquipmentAccounts ReceivableAccounts PayableRoofing Fees Earned | Answer | Answer | |
Recorded fees earned. |
c. Post the above journal entries from part b. to their
T-accounts.
Enter transactions in the T-accounts in the order they appear, using the first available answer box on the appropriate side of the T-account.
Cash | |||
---|---|---|---|
Answer | Answer | ||
Answer | Answer | ||
Answer | Answer | ||
Answer | Answer | ||
Answer | Answer | ||
Answer | Answer |
Accounts Receivable | |||
---|---|---|---|
Answer | Answer | ||
Answer | Answer |
Supplies | |||
---|---|---|---|
Answer | Answer |
Prepaid Insurance | |||
---|---|---|---|
Answer | Answer |
Trucks | |||
---|---|---|---|
Answer | Answer |
Equipment | |||
---|---|---|---|
Answer | Answer |
Accumulated Depreciation - Equipment | |||
---|---|---|---|
Answer | Answer |
Accumulated Depreciation - Trucks | |||
---|---|---|---|
Answer | Answer |
Accounts Payable | |||
---|---|---|---|
Answer | Answer | ||
Answer | Answer |
Unearned Roofing Fees | |||
---|---|---|---|
Answer | Answer |
Common Stock | |||
---|---|---|---|
Answer | Answer |
Roofing Fees Earned | |||
---|---|---|---|
Answer | Answer | ||
Answer | Answer | ||
Answer | Answer |
Depreciation Expense - Trucks | |||
---|---|---|---|
Answer | Answer |
Fuel Expense | |||
---|---|---|---|
Answer | Answer |
Advertising Expense | |||
---|---|---|---|
Answer | Answer |
Depreciation Expense - Equipment | |||
---|---|---|---|
Answer | Answer |
Wages Expense | |||
---|---|---|---|
Answer | Answer |
Supplies Expense | |||
---|---|---|---|
Answer | Answer |
Insurance Expense | |||
---|---|---|---|
Answer | Answer |
General Journal | |||
---|---|---|---|
Date | Description | Debit | Credit |
Apr. 30 | AnswerCashInsurance ExpensePrepaid InsuranceAccounts Payable | Answer | Answer |
AnswerCashInsurance ExpensePrepaid InsuranceAccounts Payable | Answer | Answer | |
To record insurance expense. | |||
Apr. 30 | AnswerSuppliesSupplies ExpenseAccounts PayableCash | Answer | Answer |
AnswerSuppliesSupplies ExpenseAccounts PayableCash | Answer | Answer | |
To record supplies expense. | |||
Apr. 30 | AnswerAccumulated Depreciation-TrucksCashAccounts PayableDepreciation Expense-Trucks | Answer | Answer |
AnswerAccumulated Depreciation-TrucksCashAccounts PayableDepreciation Expense-Trucks | Answer | Answer | |
To record truck depreciation expense. | |||
Apr. 30 | AnswerAccumulated Depreciation-EquipmentDepreciation Expense-EquipmentAccounts PayableCash | Answer | Answer |
AnswerAccumulated Depreciation-EquipmentDepreciation Expense-EquipmentAccounts PayableCash | Answer | Answer | |
To record equipment depreciation expense. | |||
Apr. 30 | AnswerAccounts PayableRoofing Fees EarnedCashUnearned Roofing Fees | Answer | Answer |
AnswerAccounts PayableRoofing Fees EarnedCashUnearned Roofing Fees | Answer | Answer | |
To record fees earned. |
b.
General Journal | |||
Date | Description | Debit | Credit |
$ | $ | ||
Apr 1 | Cash | 11,500 | |
Common Stock | 11,500 | ||
2 | Trucks | 6,100 | |
Cash | 6,100 | ||
2 | Equipment | 6,200 | |
Cash | 1,000 | ||
Accounts Payable | 5,200 | ||
3 | Prepaid Insurance | 2,880 | |
Cash | 2,880 | ||
5 | Supplies | 1,200 | |
Accounts Payable | 1,200 | ||
5 | Cash | 1,800 | |
Unearned Roofing Fees | 1,800 | ||
12 | Accounts Receivable | 5,500 | |
Roofing Fees Earned | 5,500 | ||
18 | Cash | 4,900 | |
Accounts Receivable | 4,900 | ||
29 | Fuel Expense | 675 | |
Cash | 675 | ||
30 | Advertising Expense | 100 | |
Cash | 100 | ||
30 | Wages Expense | 4,500 | |
Cash | 4,500 | ||
30 | Accounts Receivable | 4,000 | |
Roofing Fees Earned | 4,000 |
a. & c.:
Cash | |||
Bal., Apr. 1 | 0 | Apr. 2 | 6,100 |
Apr. 1 | 11,500 | Apr. 2 | 1,000 |
Apr. 5 | 1,800 | Apr. 3 | 2,880 |
Apr. 18 | 4,900 | Apr. 29 | 675 |
Apr. 30 | 100 | ||
Apr. 30 | 4,500 | ||
Bal., Apr. 30 | 2,945 | ||
Accounts Receivable | |||
Bal., Apr. 1 | 0 | Apr. 18 | 4,900 |
Apr. 12 | 5,500 | ||
Apr. 30 | 4,000 | ||
Bal., Apr. 30 | 4,600 | ||
Supplies | |||
Bal. Apr. 1 | 0 | Adj. Apr. 30 | 1,000 |
Apr. 5 | 1,200 | ||
Bal. Apr. 30 | 200 | ||
Prepaid Insurance | |||
Bal. Apr. 1 | 0 | Adj. Apr. 30 | 120 |
Apr. 3 | 2,880 | ||
Bal. Apr. 30 | 2,760 | ||
Trucks | |||
Bal., Apr. 1 | 0 | ||
Apr. 2 | 6,100 | ||
Bal., Apr 30 | 6,100 | ||
Accumulated Depreciation : Trucks | |||
Bal., Apr 1 | 0 | ||
Adj. Apr. 30 | 125 | ||
Bal., Apr. 30 | 125 | ||
Equipment | |||
Bal. Apr. 1 | 0 | ||
Apr. 2 | 6,200 | ||
Bal., Apr. 30 | 6,200 | ||
Accumulated Depreciation : Equipment | |||
Bal. Apr. 1 | 0 | ||
Adj. Apr. 30 | 35 | ||
Bal. Apr. 30 | 35 | ||
Accounts Payable | |||
Bal. Apr. 1 | 0 | ||
Apr. 2 | 5,200 | ||
Apr. 5 | 1,200 | ||
Bal. Apr. 30 | 6,400 | ||
Unearned Roofing Fees | |||
Adj. Apr 30 | 450 | Bal. Apr. 1 | 0 |
Apr. 5 | 1,800 | ||
Bal. Apr. 30 | 1,350 | ||
Common Stock | |||
Bal. Apr. 1 | 0 | ||
Apr. 1 | 11,500 | ||
Bal. Apr. 30 | 11,500 | ||
Roofing Fees Earned | |||
Bal. Apr. 1 | 0 | ||
Apr. 12 | 5,500 | ||
Apr. 30 | 4,000 | ||
Apr. 30 | 450 | ||
Bal. Apr. 30 | 9,950 | ||
Fuel Expense | |||
Bal. Apr. 1 | 0 | ||
Apr. 29 | 675 | ||
Bal. Apr. 30 | 675 | ||
Advertising Expense | |||
Bal Apr 1 | 0 | ||
Apr. 30 | 100 | ||
Bal. Apr. 30 | 100 | ||
Wages Expense | |||
Bal. Apr. 1 | 0 | ||
Apr. 30 | 4,500 | ||
Bal. Apr. 30 | 4,500 | ||
Insurance Expense | |||
Bal. Apr. 1 | 0 | ||
Adj. Apr. 30 | 120 | ||
Bal. Apr. 30 | 120 | ||
Supplies Expense | |||
Bal., Apr. 1 | 0 | ||
Adj. Apr. 30 | 1,000 | ||
Bal., Apr. 30 | 1,000 | ||
Depreciation Expense: Trucks | |||
Bal. Apr. 1 | 0 | ||
Adj. Apr. 30 | 125 | ||
Bal. Apr. 30 | 125 | ||
Depreciation Expense: Equipment | |||
Bal., Apr. 1 | 0 | ||
Adj. Apr. 30 | 35 | ||
Bal., Apr. 30 | 35 |
d. Adjusting entries:
Date | Description | Debit | Credit |
$ | $ | ||
April 30 | Insurance Expense | 120 | |
Prepaid Insurance | 120 | ||
April 30 | Supplies Expense | 1,000 | |
Supplies | 1,000 | ||
April 30 | Depreciation Expense: Trucks | 125 | |
Accumulated Depreciation : Trucks | 125 | ||
April 30 | Depreciation Expense: Equipment | 35 | |
Accumulated Depreciation : Equipment | 35 | ||
April 30 | Unearned Roofing Fees | 450 | |
Roofing Fees Earned | 450 |
Journalizing and Posting Transactions and Adjustments D. Roulstone opened Roulstone Roofing Service on April 1. Transactions...
Journalizing and Posting Transactions and Adjustments D. Roulstone opened Roulstone Roofing Service on April 1. Transactions for April follow. Apr 1 Roulstone contributed $11.500 cash to the business in exchange for common stock. 2 Paid 56,100 cash for the purchase of a used truck. 2 Purchased 53.100 of ladders and other equipment the company paid $1.000 cash with the balance due in 30 days. 3 Paid $2,880 cash for two-year (or 24-month) premium toward liability insurance. 5 Purchased $1,200 of...
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