Julia Dumars is a licensed CPA. During the first month of operations of her business, Sheffield Corp, the following events and transactions occurred. May 1 2 3 7 11 12 17 31 31 Stockholders invested $20,200 cash in exchange for common stock. Hired a secretary-receptionist at a salary of $2,500 per month. Purchased $1,800 of supplies on account from Vincent Supply Company. Paid office rent of $880 cash for the month. Completed a tax assignment and billed client $3,000 for services performed. Received $3,300 advance on a management consulting engagement. Received cash of $1,100 for services performed for Orville Co. Paid secretary-receptionist $2,500 salary for the month. Paid 40% of balance due Vincent Supply Company. Julia uses the following chart of accounts: No. 101 Cash, No. 112 Accounts Receivable, No. 126 Supplies, No. 201 Accounts Payable, No. 209 Unearned Service Revenue, No. 311 Common Stock, No. 400 Service Revenue, No. 726 Salaries and Wages Expense, and No. 729 Rent Expense.

Julia Dumars is a licensed CPA. During the first month of operations of her business, Sheffield Corp, the following events and transactions occurred. May 1 2 3 7 11 12 17 31 31 Stockholders invested $20,200 cash in exchange for common stock. Hired a secretary-receptionist at a salary of $2,500 per month. Purchased $1,800 of supplies on account from Vincent Supply Company. Paid office rent of $880 cash for the month. Completed a tax assignment and billed client $3,000 for services performed. Received $3,300 advance on a management consulting engagement. Received cash of $1,100 for services performed for Orville Co. Paid secretary-receptionist $2,500 salary for the month. Paid 40% of balance due Vincent Supply Company. Julia uses the following chart of accounts: No. 101 Cash, No. 112 Accounts Receivable, No. 126 Supplies, No. 201 Accounts Payable, No. 209 Unearned Service Revenue, No. 311 Common Stock, No. 400 Service Revenue, No. 726 Salaries and Wages Expense, and No. 729 Rent Expense.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter14: Corporation Accounting

Section: Chapter Questions

Problem 2EB: You are an accountant working for a manufacturing company that makes personal care products and has...

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Saif is a licensed CPA (Accounting and Auditing Firm). During the first month of operations of his business, the following events and transactions occurred. May 1 Saif invested $20,000 cash in her business. 2 Hired a secretary at a salary of $2,000 per month. 3 Purchased $2,500 of supplies on account from Green Supply Company. 7 Paid office rent of $900 cash for the month. 11 Completed a tax assignment and billed a customer $3,200 for services performed. 12 Received $3,500 advance on a management consulting engagement. 17 Received cash of $1,200 for services performed for White Company 31 Paid the secretary $2,000 salary for the month. 31 Paid 60% of balance due Green Supply Company. Required: Journalize the above transactions. Post to the ledger accounts. Prepare a trial balance on May 31, 2020.
Beverly Crusher is a licensed CPA. During the first month of operations of her business (a soleproprietorship), the following events and transactions occurred.April 2 Invested $32,000 cash and equipment valued at $14,000 in the business.2 Hired an administrative assistant at a salary of $290 per week payable monthly.3 Purchased supplies on account $700.7 Paid office rent of $600 for the month.11 Completed a tax assignment and billed client $1,100 for services rendered.12 Received $3,200 advance on a management consulting engagement.17 Received cash of $2,300 for services completed for Ferengi Co.21 Paid insurance expense $110.30 Paid administrative assistant $1,160 for the month.30 Utility bill received amount $1,100 for the month.30 Purchased a new computer for $6,100 with personal funds.Instructions(a) Journalize the transactions.(b) Post to the ledger accounts.(c) Prepare a trial balance.
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During its first month of operation, the Quick Tax Corporation, which specializes in tax preparation, completed the following transactions. July 1 Began business by making a deposit in a company bank account of $60,000, in exchange for 6,000 shares of $10 par value common stock. July 3 Paid the current month's rent, $3,500 July 5 Paid the premium on a 1-year insurance policy, $4,200 July 7 Purchased supplies on account from Little Company, $1,000. July 10 Paid employee salaries, $3,500 July 14 Purchased equipment from Lake Company, $10,000. Paid $2,500 down and the balance was placed on account. Payments will be $500.00 per month until the equipment is paid. The first payment is due 8/1. Note: Use accounts payable for the balance due. July 15 Received cash for preparing tax returns for the first half of July, $8,000 July 19 Made payment on account to Lake Company, $500. July 31 Received cash for preparing tax returns for the last half of July, $9,000 July 31 Declared and paid cash…
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Mulkeen Service Company, Incorporated, was incorporated by Conor Mulkeen and five other managers. The following activities occurred during the year: Received $78,000 cash from the managers; each was issued 2,200 shares of common stock. Purchased equipment for use in the business at a cost of $17,400; one-fourth was paid in cash and the company signed a note for the balance (due in six months). Signed an agreement with a cleaning service to pay it $145 per week for cleaning the corporate offices, beginning next year. Conor Mulkeen borrowed $30,000 for personal use from a local bank, signing a one-year note. Required: For each of the above transactions, record its effects in the appropriate T-accounts. Assume all beginning balances are zero. Please dont provide solution in image format thnks
During its first month of operation, the Quick Tax Corporation, which specializes in tax preparation, completed the following transactions. July 1 Began business by making a deposit in a company bank account of $60,000, in exchange for 6,000 shares of $10 par value common stock. July 3 Paid the current month's rent, $3,500 July 5 Paid the premium on a 1-year insurance policy, $4,200 July 7 Purchased supplies on account from Little Company, $1,000. July 10 Paid employee salaries, $3,500 July 14 Purchased equipment from Lake Company, $10,000. Paid $2,500 down and the balance was placed on account. Payments will be $500.00 per month until the equipment is paid. The first payment is due 8/1. Note: Use accounts payable for the balance due. July 15 Received cash for preparing tax returns for the first half of July, $8,000 July 19 Made payment on account to Lake Company, $500. July 31 Received cash for preparing tax returns for the last half of July, $9,000 July 31 Declared and paid cash…
You are an accountant working for a manufacturing company that makes personal care products and has recently decided to incorporate. The company incurred a total of $7,900 for attorneys fees, promotion costs, and filing fees with the state of incorporation as a part of organizing the corporate entity. What is the journal entry to record these costs on February 28, assuming they are paid in cash?
Capital Financial Advisors Limited had the following transactions during January, its first month of operations: a Issued to Marvin Tycoon 9,000 shares of share capital in exchange for his investment of $45,000 cash. b Borrowed $30,000 from a bank and signed a note payable due in three months. c Purchased office furniture costing $19,750; paid $6,000 cash and charged the balance on account. d Paid $6,000 of the amount owed for office furniture. e Issued an additional 2,000 shares to an individual who invests $10,000 in the business. INSTRUCTIONS: Record the above transactions directly in the T accounts below. Identify each entry in a T account with the letter shown for the transaction.
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