Colton Enterprises experienced the following events for Year 1, the first year of operation:
Adjusting Entries
Events for Year 2
Adjusting Entries
b. Post the Year 1 events to T-accounts
Ledger accounts
Cash | Common stock | |||||||
Entry 1 | 50000 | Entry 2 | 13500 | Entry 1 | 13500 | |||
entry 5 | 78000 | entry 6 | 36000 | |||||
entry 7 | 34000 | balance | 13500 | |||||
Service revenue | ||||||||
Balance | 44500 | entry 3 | 102000 | |||||
balance | 102000 | |||||||
Salaries expense | Accounts payable | |||||||
Entry 6 | 36000 | entry 7 | 34000 | entry 4 | 42500 | |||
balance | 36000 | balance | 8500 | |||||
Salaries payable | ||||||||
Adj 2 | 5400 | |||||||
Prepaid Rent | ||||||||
Entry 2 | 13500 | Adj 1 | 10125 | balance | 5400 | |||
balance | 3375 | Operating expenses | ||||||
Accounts receivbale | entry 4 | 42500 | ||||||
entry 3 | 102000 | entry 5 | 78000 | balance | 42500 | |||
Rent expenses | ||||||||
balance | 24000 | Adj 1 | 10125 | |||||
balance | 10125 | |||||||
Salaries expenses | ||||||||
Adj 2 | 5400 | |||||||
balance | 5400 |
Journal entries
No. | Accounts | debit | credit |
1 | cash | 50000 | |
common stock | 50000 | ||
2 | Prepaid rent | 13500 | |
cash | 13500 | ||
3 | Accounts receivable | 102000 | |
service revenue | 102000 | ||
4 | Operating expenses | 42500 | |
accounts payable | 42500 | ||
5 | Cash | 78000 | |
accounts receivable | 78000 | ||
6 | Salaries expense | 36000 | |
cash | 36000 | ||
7 | Accounts payable | 34000 | |
cash | 34000 | ||
Adj 1 | rent expense | 10125 | |
prepaid rent | 10125 | ||
Adj 2 | salaries expense | 5400 | |
salaries payable | 5400 |
Colton Enterprises experienced the following events for Year 1, the first year of operation: Acquired $50,000 cash from...
Colton Enterprises experienced the following events for Year 1, the first year of operation: Acquired $50,000 cash from the issue of common stock. Paid $13,500 cash in advance for rent. The payment was for the period April 1, Year 1, to March 31, Year 2. Performed services for customers on account for $102,000. Incurred operating expenses on account of $42,500. Collected $78,000 cash from accounts receivable. Paid $36,000 cash for salary expense. Paid $34,000 cash as a partial payment on...
Colton Enterprises experienced the following events for Year 1, the first year of operation: Acquired $50,000 cash from the issue of common stock. Paid $13,500 cash in advance for rent. The payment was for the period April 1, Year 1, to March 31, Year 2. Performed services for customers on account for $102,000. Incurred operating expenses on account of $42,500. Collected $78,000 cash from accounts receivable. Paid $36,000 cash for salary expense. Paid $34,000 cash as a partial payment on...
Colton Enterprises experienced the following events for Year 1, the first year of operation: Acquired $54,000 cash from the issue of common stock. Paid $13,900 cash in advance for rent. The payment was for the period April 1, Year 1, to March 31, Year 2. Performed services for customers on account for $110,000. Incurred operating expenses on account of $44,500. Collected $84,000 cash from accounts receivable. Paid $40,000 cash for salary expense. Paid $35,600 cash as a partial payment on...
Colton Enterprises experienced the following events for Year 1,
the first year of operation:
Acquired $37,000 cash from the issue of common stock.
Paid $12,200 cash in advance for rent. The payment was for the
period April 1, Year 1, to March 31, Year 2.
Performed services for customers on account for $76,000.
Incurred operating expenses on account of $36,000.
Collected $58,500 cash from accounts receivable.
Paid $23,000 cash for salary expense.
Paid $28,800 cash as a partial payment on...
[The following information applies to the questions displayed below.] Colton Enterprises experienced the following events for Year 1, the first year of operation: Acquired $36,000 cash from the issue of common stock. Paid $12,100 cash in advance for rent. The payment was for the period April 1, Year 1, to March 31, Year 2. Performed services for customers on account for $74,000. Incurred operating expenses on account of $35,500. Collected $57,000 cash from accounts receivable. Paid $22,000 cash for salary...
Required Information [The following information applies to the questions displayed below.] Colton Enterprises experienced the following events for Year 1, the first year of operation: 1. Acquired $42.000 cash from the issue of common stock. 2 Poid $12.700 cash in advance for rent. The payment was for the period April 1. Year 1, to March 31. Year 2 3. Performed services for customers on account for $86.000. 4. Incurred operating expenses on account of $38,500. 5. Collected $66,000 cash from...
Required Information [The folowing information applies to the questions displayed below] Colton Enterprises experienced the following events for Year 1 the first year of operation 1. Acquired $42.000 cash from the issue of common stock 2 Paid $12.700 cash in advance for rent. The payment was for the period April 1. Year 1 to March 31, Year 2 3. Performed services for customers on account for $96.000. 4. Incurred operating expenses on account of $39.500. 5. Conected $66.000 cash from...
Required Information [The following information applies to the questions displayed below.) Colton Enterprises experienced the following events for Year 1, the first year of operation: 1. Acquired $42.000 cash from the issue of common stock 2 Paid $12700 cash in advance for rent. The payment was for the period April 1. Year 1, to March 31. Year 2 3. Performed services for customers on account for $86.000. 4. Incurred operating expenses on account of $38.500. 5. Collected $66,000 cash from...
Required information The following information applies to the questions displayed below.] Colton Enterprises experienced the following events for Year 1, the first year of operation: 1. Acquired $47,000 cash from the issue of common stock. 2. Paid $13,200 cash in advance for rent. The payment was for the period April 1, Year 1, to March 31, Year 2 3. Performed services for customers on account for $96,000. 4. Incurred operating expenses on account of $41,000. 5. Collected $73,500 cash from...
Required Information [The folowing information applies to the questions displayed below.] Colton Enterprises experienced the following events for Year 1, the first year of operation 1. Acquired $42.000 cash from the issue of common stock 2 Paid $12.700 cash in advance for rent. The payment was for the period April 1. Year 1 to March 31, Year 2 3. Performed services for customers on account for $95.000. 4. Incurred operating expenses on account of $38.500. 5. Collected $66.000 cash from...