Question

Question #1 (40 marks) Company As business involves hosting several concerts per year. The companys year-end is December 31

0 0
Add a comment Improve this question Transcribed image text
Answer #1
a) Journal entries:
Ref. Account titles Debit Credit
1 Prepaid supplies 1890
Cash 1890
(Additional supplies purchased)
2 Equipment 50400
Cash 50400
(Equipment purchased)
3 Cash (430*225) 96750
Unearned revenue 96750
(Season tickets sold)
4 Salaries expense 5520
Cash 5520
(Salaries paid per week)
5 Cash 540
Rent revenue 540
(Rent received from choir)
6 Cash 24000
Notes payable 24000
(Borrowed from bank)
b) Adjusting entries:
Ref. Account titles Debit Credit
1 Supplies expense (835+1890-940) 1785
Prepaid supplies 1785
(Supplies used)
2 Depreciation expense (50400/12)*(5/12) 1750
Accumulated depreciation 1750
(Depreciation recorded from Aug 1 to Dec 31-5 months)
3 Unearned revenue 96750*(4/8) 48375
Service revenue 48375
(Revenue earned for 4 concerts-Sep 2021 to Dec 2021)
4 Salaries expense 5520
Salaries payable 5520
(Salaries accrued for 1 week)
5 Rent receivable (740-540) 200
Rent revenue 200
Know the answer?
Add Answer to:
Question #1 (40 marks) Company A's business involves hosting several concerts per year. The company's year-end...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • Question #1 (40 marks) Company A's business involves hosting several concerts per year. The company's year-end...

    Question #1 (40 marks) Company A's business involves hosting several concerts per year. The company's year-end is December 31, 2021. The company records all prepaid costs as assets and all uneamed revenues as liabilities and adjusts accounts annually. 1. Prepaid supplies amounted to $945 on December 31, 2020. On June 10, 2021, additional supplies were purchased for $1,955 cash On December 31, 2021, a physical count showed that prepaid supplies on hand amounted to $840. 2. Purchased equipment on August...

  • Question #1 (40 marks) Company A's business involves hosting several concerts per year. The company's year-end...

    Question #1 (40 marks) Company A's business involves hosting several concerts per year. The company's year-end is December 31, 2021. The company records all prepaid costs as assets and all unearned revenues as liabilities and adjusts accounts annually. 1. Prepaid supplies amounted to $945 on December 31, 2020. On June 10, 2021, additional supplies were purchased for $1,955 cash. On December 31, 2021, a physical count showed that prepaid supplies on hand amounted to $840. 2. Purchased equipment on August...

  • Question #1 (40 marks) Company A's business involves hosting several concerts per year. The company's year-end...

    Question #1 (40 marks) Company A's business involves hosting several concerts per year. The company's year-end is December 31, 2021. The company records all prepaid costs as assets and all uneamed revenues as liabilities and adjusts accounts annually. 1. Prepaid supplies amounted to $945 on December 31, 2020. On June 10, 2021, additional supplies were purchased for $1,955 cash On December 31, 2021, a physical count showed that prepaid supplies on hand amounted to $840. 2. Purchased equipment on August...

  • Question #1 (40 marks) Company A's business involves hosting several concerts per year. The company's year-end...

    Question #1 (40 marks) Company A's business involves hosting several concerts per year. The company's year-end is December 31, 2021. The company records all prepaid costs as assets and all uncared revenues as liabilities and adjusts accounts annually. 1. Prepaid supplies amounted to $945 on December 31, 2020. On June 10, 2021, additional supplies were purchased for $1,955 cash. On December 31, 2021, a physical count showed that prepaid supplies on hand amounted to $840. 2. Purchased equipment on August...

  • Company A's business involves hosting several concerts per year. The company's year-end is December 31, 2021....

    Company A's business involves hosting several concerts per year. The company's year-end is December 31, 2021. The company records all prepaid costs as assets and all uneamed revenues as liabilities and adjusts accounts annually. 1. Prepaid supplies amounted to $945 on December 31, 2020. On June 10, 2021, additional supplies were purchased for $1,955 cash On December 31, 2021, a physical count showed that prepaid supplies on hand amounted to $840. 2. Purchased equipment on August 1, 2021, for $47,520...

  • Question #1 (40 marks) Company A's business involves hosting several concerts per year. The company's year-end...

    Question #1 (40 marks) Company A's business involves hosting several concerts per year. The company's year-end is December 31, 2021. The company records all prepaid costs as assets and all unearned revenues as liabilities and adjusts accounts annually. 1. Prepaid supplies amounted to $835 on December 31, 2020. On June 10, 2021, additional supplies were purchased for $1,890 cash. On December 31, 2021, a physical count showed that prepaid supplies amounted to $940. 2. Purchased equipment on August 1, 2021,...

  • Question #1 (40 marles) Company A's business involves hosting several concerts per year. The company's year-end...

    Question #1 (40 marles) Company A's business involves hosting several concerts per year. The company's year-end in December 31, 2021. The company records all prepaid costs as assets and all unearned revenues as liabilities and adjusts accounts annually. 1. Prepaid supplies amounted to $835 on December 31, 2020. On June 10, 2021, additional supplies were purchased for $1,890 cash. On December 31, 2021, a physical count showed that prepaid supplies amounted to $940. 2. Purchased equipment on August 1, 2021,...

  • Question I (40 marks) Company A's business involves hosting several concerts per year. The company's year...

    Question I (40 marks) Company A's business involves hosting several concerts per year. The company's year and is December 31, 2021. The company records all prepaid costs assets and all earned reveses a abilities and adjusts accounts annually 1. Prepaid supplies amounted to $945 on December 31, 2020. On June 10, 2021, additional supplies were purchased for $1.955 cash On December 31, 2021, a physical count showed that prepaid supplies on hand amounted to 5840. 2. Purchased equipment on August...

  • Question 1 (40 marles) Company A's business involves hosting several concerts per year. The company's year-end...

    Question 1 (40 marles) Company A's business involves hosting several concerts per year. The company's year-end in December 31, 2021. The comptay records all prepaid costs as assets and all unearned revenues as liabilities and adjusts accounts amually. 1. Prepaid supplies amounted to $835 on December 31, 2020. On June 10, 2021, additional supplies were purchased for $1,890 cash. On December 31, 2021, a physical count showed that prepaid supplies amounted to $940. 2. Purchased equipment on August 1, 2021,...

  • Company A's business involves hosting several concerts per year. The company's year-end is December 31, 2021....

    Company A's business involves hosting several concerts per year. The company's year-end is December 31, 2021. The company records all prepaid costs as assets and all unearned revenues as liabilities and adjusts accounts annually. 1. Prepaid supplies amounted to $835 on December 31, 2020. On June 10, 2021, additional supplies were purchased for $1,890 cash. On December 31, 2021, a physical count showed that prepaid supplies amounted to $940. 2. Purchased equipment on August 1, 2021, for $50,400 cash. The...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT