Acct 200 journal entries from lectures, exam 1
Terms in this set (49)
Issues common stock to investors in exchange for $5000 cash
Buys equipment on account for $1100
Pays $740 on account for june rent
Rent exp. 740
Bills matt wilfer $700 for welding work done
Sierra borrowed $5000 by signing a note
Sierra purchased equipment for $5000
Paid $700 due for supplies previously purchased on account
Performed advisory services on account for $6800
Purchased supplies for $850 on account
Paid employees $530 in cash
Wage exp. 530
Received bill for equipment repairs of $900
Repair exp. 900
Paid $1200 for 12 month insurance policy
Prepaid ins. 1200
Performed services on account for $18000
Paid $500 cash dividend
Borrowed $45000 by issuing bonds
Bonds pay. 45000
Received $16000 from customers for services performed
Service rev. 16000
Assume conrad dry cleaning cleans clothes on 6/30, but customers do not claim and pay for their clothes until 7/7. Journal entries for June and July would be:
6/30- dr. A/R, cr. Revenue
7/7- dr. Cash, cr. A/R
Sierra co purchased supplies costing $2500 on Oct 5. Sierra recorded the purchase by increasing the asset supplies. The account shows a balance of $2500 in the Oct 31 trial balance. An inventory count at the close business on Oct 31 reveals that $1000 of supplies are still on hand.
Supply exp. 1500
On Oct 4, Sierra co paid $600 for a one year fire insurance policy. Coverage began on Oct 1. Sierra recorded the payment by increasing prepaid insurance. The account shows a balance of $600 in the Oct 31 trial balance. Insurance of $50 expires each month.
Insurance exp. 50
Prepaid ins. 50
Foley ad co trail balance at Dec 31 shows supplies $8800. On Dec 31, there are $1100 of supplies on hand post the journal entry.
Supply exp. 7700
On July 1 2014 Seng co pays $12,400 to Nance co. for a 2 year insurance contract. Both companies have fiscal years ending Dec 31. For Seng co. journalize and post the entry on July 1 and Dec 31
July 1: Prepaid ins. 12400
Dec 31 :Insurance exp. 3100
Prepaid ins. 3100
Sierra co recieved $1200 on Oct 2 from R. Knox for guide services for multiday trips expected to be completed by Dec 31. Unearned service revenue shows a balance of $1200 in the Oct 31 trial balance. From an evaluation of the service Sierra performed during Oct, the company determines it has earned $400 in Oct.
Unearned rev. 400
Service rev. 400
On July 1 2014 Seng co pays $12400 to Nance co for a 2 year contract. Both companies have fiscal years ending Dec 31. Journalize and post the entry on July 1 and the adjusting entry on Dec 31 for Nance co
Unearned ins rev 12400
12/31:Unearned rev 3100
Service rev 3100
In Oct, Sierra co performed guide services for $200 that were not billed to clients before Oct 31.
Sierra co signed a three month note payable in the amount of $5000 on Oct 1. The note requires Sierra to pay interest at an annual rate of 12%
Interest exp. 50
Interest pay. 50
Sierra co last paid salaries on Oct 26, the next payment will not occur till Nov 9. The employees receive total salaries of $2000 for a 5 day work week. Thus accrued salaries due to employees for work they did on Oct 29 - Oct 31 are:
Salary exp. 1200
Salary pay. 1200
Interest on N/P of $300 is accrued
Interest exp 300
Interest pay 300
Services performed but unbilled totals $1700
Service rev 1700
Salaries of $780 earned by employees have not been recorded
Salaries exp. 780
Salaries pay. 780
The equipment depreciated $840 in 3 months
Depreciation exp. 840
A/D- equipment 840
Collection of electronic funds transfer
Bank charges exp.
Bank Charge exp. xx
Stockholders invest $32,300 in exchange for common stock of the corporation
Sells a house and lot for E. C. Roads; commissions due from Roads, $12,790 (not paid by Roads at this time)
Service rev. 12970
Pays $620 on account for the office furniture purchased on October 3
Pays the administrative assistant $2,550 in salary for October
Salary exp. 2550
The prepaid insurance balance reflects a12-month insurance policy which started on Sept. 1, 2015, and no adjustments were made from Sept. 1 - Dec. 31, 2015. Write the adjusting journal entry for Dec. 31, 2015.
Additional depreciation expense of $10,000 needs to be recorded for the year ended 2015.
Additional wages due to employees of $4,000 ($4,000 more than the recorded $3,000 balance) needs to be recorded at year end. These wages will be paid to employees on January 9, 2016.
Wage exp. 2000
Wage pay. 2000
The company has completed $9,900 of the $16,900 in unearned revenue as of Dec. 31st.
Unearned rev. 7000
Service rev. 7000
In Dec. the company provided services worth $3,000 to clients that were not yet billed or recorded by Dec. 31. Record the additional revenue.
Service rev 3000
On Dec 31st the company completed a physical count of their supplies and determined that only $4,000 of supplies are still on hand.
Supplies exp. 2500
Paid $820 due for supplies previously purchased on account.
Performed advisory services on account for $6,870
Service rev 6870
Paid employees $510 in cash.
Salary exp. 510
Received bill for equipment repairs of $850.
Maintenance and repairs exp. 850
Paid $1,190 for 12 months of insurance policy. Coverage begins June 1.
Prepaid ins. 1190