Question

Fill out the pink part of the journal entry and then fill out the worksheet entry

Date Amount During January, the first mouth of operations, the following transactions occurred: Event 2-Jan Paid for 12 months rent on office space 5-Jan Purchased office furniture Borrowed cash from the bank for operating expenses. The note charges simple interest and is to be paid back in 5 Amount 9,000 8.950 5-m years 0.02 interest rate 11500 on account 30,000 loan am 12,500 paid cash 6,560 11,760 5,650 8,950 1,936 10,590 500 11-Jan Performed services for various customers for cash and on account. 19-Jan Paid salaries to employees for 1 week 20-Jan Received cash in advance from Stanley Inc. for work to be performed over the next 12 months 22-Jan Purchased additional office supplies on account 28-Jan Collected payments for amounts previously billed 29-Jan Paid for utilities 29-Ian Paid the bill for supplies purchased previously 31-Jan Dividends were declared and paid At the end of January, the following additional information is available to help determine what adjustments are needed: 31-Jan One month of interest has accrued on the note payable for the bank loan 31-Jan Additional work for customers has been performed during the last week of January but mot billed yet 31-Jan Supplies were counted at month and 31-Jan One month of the prepaid rent has been used up 31-Jan Depreciation expense needs to be recognized for the computer equipment and for the office furniture 31-Jan One months of the services for Stanley Inc has been performed (see above) 31-Jan Salaries are paid every Friday (for 25 day work week). January 31 was a Tuesday Amount Amount 6985 4680 295 comp equip 85 off fum 6,560 weekly

Answer 1

Date Account Ref. Debit Credit $ 9,000 Jan-02 Prepaid rent Cash $ 9,000 $ 8,950 Jan-05 Office furniture Cash $ 8,950 $ 30,000 Jan-05 Cash Lon-term note payable $ 30,000 Jan-11 Cash Account recievable Service revenue $ $ 12,500 11,500 $ 24,000 $ 6,560 Jan-19 Salaries expense Cash $ 6,560 $ 11,760 Jan-20 Cash Unearned revenue $ 11,760 $ 5,650 Jan-22 Supplies Account payable $ 5,650 $ 8,950 Jan-28 Cash Account recievable $ 8,950 $ 1,986 Jan-29 Utilities expense Cash $ 1,986 Jan-29 $ 10,590 Account payable Cash $ 10,590 Jan-31 $ 500 Dividend Cash $ $ 500

Beg balance Credit Jan Entries Debit Credit Unadjusted TB Debit Credit Account Debit $ 49,200 $ $ $ $ 25,624 2,550 5,650 9,000 $ 10,590 $ $ $ $ $ $ 74,824 2,550 16,240 9,000 58,300 67,500 58,300 $ $ 67,500 $ 8,950 $ 8,950 $ 10,590 $ 4,940 $ 5,650 Cash Account recievables Supplies Prepaid rent land Computer equipment Accumulated depreciation - Comp equp Office furniture Accumulated depreciation -furniture Account payable salaries payable Interest payable Unearned revenue Long term note payable Common Stock Retained earnings Dividend Salaries expense Utilities expense Service revenue $ 11,760 $ 30,000 $ $ $ 11,760 30,000 175,000 $ 175,000 $ $ $ 500 6,560 1,986 $ $ $ 500 6,560 1,986 $ 24,000 $ 24,000 $ 65,760 $ 65,760 $ 246,410 $ 246,410