- Please Read The Information Carefully Similar Questions Have Been Posted But This One Has Slightly Different Values 1 (153.73 KiB) Viewed 14 times
Please read the information carefully. Similar questions have been posted but this one has slightly different values.
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answerhappygod
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Please read the information carefully. Similar questions have been posted but this one has slightly different values.
Please read the information carefully. Similar questionshave been posted but this one has slightly differentvalues.
Bestplumbing 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 service Co. started its operation on 1/1, 2018. The balance sheet as of 6/30/2018 is shown in worksheet BSO. The company had the following transactions during July of 2018. 1-Jul Borrowed $45,000 from key bank by signing a 24-month note with a 4% annual interest rate. 1-Jul Received $58,000 cash from new investors and issued $58,000 no-par value common stock to them. 1-Jul Purchase $84,000 of new equipment and paid cash. 1-Jul Pay 500 for July truck rental 3-Jul invoice customer A $900 for service completed customer will pay in 10 days. 5-Jul the board of directors declared a cash divdiend of $11,000, to be paid on 7/31. 7-Jul Paid employee $6,000 for works performed during the first week of July. 10-Jul Performed a job for a new customer-- customer B. Customer will pay $500 in 30 days. 12-Jul Collected $3,500 for service performed on June 26th of 2018. 14-Jul Paid employee $4,800 for works performed during the second week of July. 15-Jul Purchased $50 of supplies on account. Supplies are consumed immediately. 15-Jul Collected $900 for service performed on 7/3. 17-Jul Incurred $430 cost for repairing am equipment. Bestplumbing paid the full amount in cash. 19-Jul Purchased $17,000 of supplies, which will be consumed over the next 12 months. 20-Jul Collected $30,000 cash from service performed on June 28th. 21-Jul Paid employees $5,750 for work performed during the 3rd week of July. 23-Jul Receive advanced $48,000 payment from a government project The payment is for 6 months of work which will be performed from August 1 of 2018 to January 31 of 2019. 25-Jul Completed plumbing work for customer C. The total price is $3,900. The customer paid $1,000 cash and will pay the remaining on august 25. 27-Jul Completed a job for customer D. Customer paid $225 cash. 27-Jul Paid $50 for the supplies purchased on 7/15 28-Jul Pay the employees $6300 for work performed during the 4th week of july. 31-Jul invoice customer E $33,000 for service completed - customer will pay in 20 days. 31-Jul pay the cash dividend which was declared on 7/5. Additional Information: 1 The depreciation expense for the month is estimated to be $2,400. 2 At the end of July, there are $15,550 supplies on hand. 3 For the last 3 days (29,30, 31) of work on July, the employees earned $4,200 of wages, which have not been paid yet. 4 On 2/1/2018, BestPlumbing received advanced payment from the government office for works to be performed from Febrary to July. Per the contract with the government, Bestplumbing can recognize $8,000 of the advanced payment as revenue in July. 5 The bank informs Bestplumbing that the interest on the loan for July is $150. Instructions: 1. Prepare journal entries for each event (show work on worksheet "JE"). Prepare the general ledger accounts (T-accounts) on a piece of paper or on your computer. But you do not need to show your work for this. 2. Prepare adjusting entries (show work on worksheet "ADJ. JE"). 3. Prepare adjusted trial balance (show work on worksheet "ADJ. TB"). 4. Prepare Income Statement, Retained Earnings Statement, Balance Sheet, and Statement of Cash Flows (show work on FSs). 5. Prepare closing entries (show work on "closing JE").
Bestplumbing 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 service Co. started its operation on 1/1, 2018. The balance sheet as of 6/30/2018 is shown in worksheet BSO. The company had the following transactions during July of 2018. 1-Jul Borrowed $45,000 from key bank by signing a 24-month note with a 4% annual interest rate. 1-Jul Received $58,000 cash from new investors and issued $58,000 no-par value common stock to them. 1-Jul Purchase $84,000 of new equipment and paid cash. 1-Jul Pay 500 for July truck rental 3-Jul invoice customer A $900 for service completed customer will pay in 10 days. 5-Jul the board of directors declared a cash divdiend of $11,000, to be paid on 7/31. 7-Jul Paid employee $6,000 for works performed during the first week of July. 10-Jul Performed a job for a new customer-- customer B. Customer will pay $500 in 30 days. 12-Jul Collected $3,500 for service performed on June 26th of 2018. 14-Jul Paid employee $4,800 for works performed during the second week of July. 15-Jul Purchased $50 of supplies on account. Supplies are consumed immediately. 15-Jul Collected $900 for service performed on 7/3. 17-Jul Incurred $430 cost for repairing am equipment. Bestplumbing paid the full amount in cash. 19-Jul Purchased $17,000 of supplies, which will be consumed over the next 12 months. 20-Jul Collected $30,000 cash from service performed on June 28th. 21-Jul Paid employees $5,750 for work performed during the 3rd week of July. 23-Jul Receive advanced $48,000 payment from a government project The payment is for 6 months of work which will be performed from August 1 of 2018 to January 31 of 2019. 25-Jul Completed plumbing work for customer C. The total price is $3,900. The customer paid $1,000 cash and will pay the remaining on august 25. 27-Jul Completed a job for customer D. Customer paid $225 cash. 27-Jul Paid $50 for the supplies purchased on 7/15 28-Jul Pay the employees $6300 for work performed during the 4th week of july. 31-Jul invoice customer E $33,000 for service completed - customer will pay in 20 days. 31-Jul pay the cash dividend which was declared on 7/5. Additional Information: 1 The depreciation expense for the month is estimated to be $2,400. 2 At the end of July, there are $15,550 supplies on hand. 3 For the last 3 days (29,30, 31) of work on July, the employees earned $4,200 of wages, which have not been paid yet. 4 On 2/1/2018, BestPlumbing received advanced payment from the government office for works to be performed from Febrary to July. Per the contract with the government, Bestplumbing can recognize $8,000 of the advanced payment as revenue in July. 5 The bank informs Bestplumbing that the interest on the loan for July is $150. Instructions: 1. Prepare journal entries for each event (show work on worksheet "JE"). Prepare the general ledger accounts (T-accounts) on a piece of paper or on your computer. But you do not need to show your work for this. 2. Prepare adjusting entries (show work on worksheet "ADJ. JE"). 3. Prepare adjusted trial balance (show work on worksheet "ADJ. TB"). 4. Prepare Income Statement, Retained Earnings Statement, Balance Sheet, and Statement of Cash Flows (show work on FSs). 5. Prepare closing entries (show work on "closing JE").