Month 1:
Month 2:
Month 3:
Month 4:
Cash =?
Net Receivables =?
Inventory =?
Prepaid Expenses =?
Property, Plant, & Equipment =?
Total Assets =?
Accounts Payable =?
Debt & Interest Payable =?
Stockholders' Equity =?
Total Liabilities & Stockholders' Equity =?
Thanks!
Month 1: $2,000,000 sale of stock occurs with all cash received by the company. $3,000,000 bank...
Month 1: $2,000,000 sale of stock occurs with all cash received by the company. $3,000,000 bank loan received from the company’s bank at the end of the month – interest will start accruing next month (interest rate is 1% per month). Principal and interest cash payments will be made in a lump-sum payment at the end of the loan period. Factory is leased at the beginning of the month and prepaid for the entire year up-front at a cost of $720,000. The...
Month 1:$2,000,000 sale of stock occurs with all cash received by the company.$3,000,000 bank loan received from the company’s bank at the end of the month – interest will start accruing next month (interest rate is 1% per month). Principal and interest cash payments will be made in a lump-sum payment at the end of the loan period.Factory is leased at the beginning of the month and prepaid for the entire year up-front at a cost of $720,000. The first month of lease expense is expensed to the...
Use T-accounts to record the 4 months’ of transactions noted below for this new start-up company. Record all entries affecting the income statement into “Equity” since there are no separate T-accounts set up for the individual income statement accounts. Once all transactions have been posted, populate the net ending balance for each account for the accounts listed below. Month 1 $2,000,000 sale of stock occurs with all cash received by the company. $3,000,000 bank loan received from the company’s bank...
Prepare journal entries for the transactions below. A company entered into the following transactions during April. This is the first month of their operation. April 1st: Signed a lease and made a payment of $4,500 to the landlord comprised of three month’s rent covering April, May, and June. April 3rd: Purchased equipment on account for $35,000. April 4th: Purchased supplies for $2,000, paid with cash. April 10th: Performed services and sent a bill of $57,000 to a customer. April 15th:...
April 1 Randy Smith invested $14,000 cash to begin the business; he received common stock for his investment. 2 Paid six months' lease on a van, $2,850. 3 Borrowed $10,000 from a bank and signed a note payable agreeing to repay the $10,000 in one year plus 10 percent interest. 3 Purchased $5,500 of cleaning equipment; paid $2,000 down with the remainder due within 30 days. 4 Purchased cleaning supplies for $4,300 cash. 7 Paid $350 for newspaper advertisements to...
Tim Lumber buys $350,000 more inventory, pays $150,000 cash now, balance due to suppliers next month. Pays cash in Mo. 11 against Accts Payable starting balance owed from Mo-10 Accts Payable. Tim Lumber sells $475,000 of inventory to customers for $725,000 net. $450,000 were cash sales, balance of sales on credit due from customers in 30 days in next month’s accounting period. $140,000 cash is collected in the current Month-11 period on Accts Receivable carried over from Mo.10 Building monthly...
How would I do direct and indirect cashflow and what would the income statement look at 31st Nov The company is a merchandiser, i.e. it purchases inventory at wholesale and sells it at retail. As of the 1st of November the company’s balance sheet was as shown next: Balance Sheet as of November 1 ASSETS LIABILITIES AND EQUITY Cash $100,000 Accounts payable $300,000 Bank CD 250,000 Shareholder loan payable 200,000 Accounts receivable 550,000 Salaries payable 40,000 Inventory 700,000 Common stock...
Now you try it: Cash Revenue Accounts receivable Revenue 1. Performed $7,500 in engineering services for a client on December 15th. The client has 30 days to pay. Cash Revenue Accounts receivable Cash 2. Received a partial payment of $4,500 from the client in 1. above on January 15th. Insurance expense Prepaid rent Cash 20,000 3. Purchased one year of rent for $12,000 on January 1st. Cash 20,000 20,000 20,000 Insurance expense Insurance expense Prepaid insurance Cash 20,000 4. Adjusting...
Please do the correct journal entry for the bank loan. You: Thanks, I now have enough information to deal with the lease, but could you tell me about your bank loan? Indra: Well it's just a line of credit that we took out for $800,000 in September 20X1. The bank can demand repayment within 30 days, and they are currently charging us 4% interest which is the rate they have been charging us for over a year. You: When do...
now record the single entry needed to show the decrease in cash as a result of the bank reconciliation. chart of accounts y lecorO he adustment for the additions to Cash as a result of the bank reconciliation Date Accounts Debit Credit (z) Cash 1,200 Interest Revenue 1,200 Now record the single entry needed to show the decrease in Cash as a result of the bank reconciliation Date Accounts Debit Credit Choose from any list or enter any number in...