- Aracel Engineering Completed The Following Transactions In The Month Of June A J Aracel The Owner Invested 175 000 1 (218.13 KiB) Viewed 27 times
Aracel Engineering completed the following transactions in the month of June. a. J. Aracel, the owner, invested $175,000 cash, office equipment with a value of $5,400, and $71,000 of drafting equipment to launch the
company in exchange for common stock. b. The
company purchased land worth $59,000 for an office by paying $7,900 cash and signing a note payable for $51,100. c. The
company purchased a portable building with $54,000 cash and moved it onto the land acquired in b. d. The
company paid $2,400 cash for the premium on an 18-month insurance policy. e. The
company provided services to a client and collected $6,800 cash. f. The
company purchased $31,000 of additional drafting equipment by paying $11,300 cash and signing a note payable for $19,700. g. The
company completed $17,500 of services for a client. This amount is to be received in 30 days. h. The
company purchased $1,250 of additional office equipment on credit. i. The
company completed $21,000 of services for a customer on credit. j. The
company purchased $1,347 of TV advertising on credit. k. The
company collected $9,000 cash in partial payment from the client described in transaction g. I. The
company paid $1,300 cash for employee wages. m. The
company paid $1,250 cash to settle the account payable created in transaction h. n. The
company paid $930 cash for repairs. o. The
company paid a $9,430 cash dividend. p. The
company paid $2,000 cash for employee wages. q. The
company paid $3,000 cash for advertisements on the Web during June. Do
Post the journal entries from part 1 to the ledger accounts. 101: Cash Transaction Debit Credit Balance 108: Prepaid Insurance Transaction Debit Credit Balance Transaction Transaction 106: Accounts Receivable Debit Credit 163: Office Equipment Debit Credit Balance Balance
Transaction Transaction Transaction Transaction 164: Drafting Equipment Debit Credit 172: Land Debit Credit 250: Notes Payable Debit Credit 319: Dividends Debit Credit Balance Balance Balance Balance Transaction Transaction Transaction Transaction 170: Building Debit Credit 201: Accounts Payable Debit Credit 307: Common Stock Debit Credit 403: Services Revenue Debit Credit Balance Balance Balance Balance
Transaction Transaction 601: Wages Expense Debit Credit 604: Repairs Expense Debit Credit Balance Balance Transaction 603: Advertising Expense Debit Credit Balance
Prepare a trial balance as of the end of June. ARACEL ENGINEERING Trial Balance June 30 Totals Debit Credit