Question

Make sure you prepare the journal entries and the adjusting entries, and write them in the practice set. All T-accounts with the proper balances should be prepared. There is a template of how to set up the T- Accounts in Excel at the end of the practice set. Make sure to include all accounts even if they have a zero balance and make sure that the zero is on the normal side of the account. Once all the balances are in the T-Accounts and answers have been inputted into Blackboard please staple your T-Account page to the back cover of the practice set.

Answer 1

In the books of AHH Boots :

Transaction/ Event	Date	Account Titles	Debit	Credit
			$	$
1.		No journal entry required	0	0
2.		Cash	40,000
		Common Stock		40,000
3.		Prepaid Rent	8,100
		Cash		8,100
4.		Prepaid Insurance	7,200
		Cash		7,200
5	9/03/19	Computer Equipment	4,500
		Notes Payable: Office Mart		4,500
6	9/05/19	Cash	10,000
		Note Payable: Wells Fargo Bank		10,000
7	9/05/19	Furniture and Fixtures	12,000
		Cash		12,000
8.	9/06/19	Computer Equipment	600
		Cash		600
9.	9/06/19	Prepaid Advertising	700
		Cash		700
0.	9/08/19	Inventory: BN Boots	10,000
		Accounts Payable		10,000
11	9/08/19	Inventory: BLK Boots	11,000
		Accounts Payable		11,000
12.	9/13/19	Legal Expense	900
		Cash		900
13	9/14/19	No journal entry required	0	0
14.	9/14/19	Office Supplies	500
		Accounts Payable		500
15.	9/14/19	Shipping Supplies	500
		Cash		500
16.	9/14/19	Accounts Receivable	9,310
		Sales		8,600
		Sales Tax Payable		710
16.	9/14/19	Cost of Goods Sold	4,650
		Inventory: BN Boots		2,250
		Inventory: BLK Boots		2,400
17.	9/16/19	Inventory: BN Boots	3,500
		Accounts Payable		3,500
18.	9/20/19	Cash	10,825
		Sales		10,000
		Sales Tax Payable		825
18.	9/20/19	Cost of Goods Sold	3,900
		Inventory: BN Boots		3,500
		Inventory: BLK Boots		400
19.	9/22/19	Accounts Payable	500
		Cash		500
20.	9/23/19	Advertising and Promotion Expense	450
		Inventory: BN Boots		250
		Inventory: BLK Boots		200
21	9/23/19	Cash	9,310
		Accounts Receivable		9,310
22	9/23/19	Credit Card Expense	520
		Cash		520
23	9/23/19	Accounts Payable	11.000
		Inventory: BLK Boots		220
		Cash		10,780
24.	9/23/19	Cash	12,990
		Sales		12,000
		Sales Tax Payable		990
24	9/23/19	Cost of Goods Sold	5,700
		Inventory: BN Boots		4,500
		Inventory: BLK Boots		1,200
25.	9/23/19	Accounts Payable	13,500
		Inventory : BN Boots		270
		Cash		13,230
26.	9/25/19	Cash	5,413
		Sales		5,000
		Sales Tax Payable		413
26.	9/25/19	Cost of Goods Sold	2,500
		Inventory: BN Boots		500
		Inventory: BLK Boots		2,000
27.	9/28/19	Utility Expense	265
		Utilities Payable		265
28.	9/30/19	Note Payable: Office Mart	375
		Interest Expense	45
		Cash		420
29.	9/30/19	Cash	4,871
		Sales		4,500
		Sales Tax Payable		371
29.	9/30/19	Cost of Goods Sold	2,250
		Inventory:BN Boots		250
		Inventory: BLK Boots		2,000
30	9/30/19	Sales Tax Payable	3,309
		Cash		3,309
31.	9/30/19	Dividends	250
		Cash		250