Required informationUse the following information for the Exercises below. (Algo)[The following information applies to the questions displayed below.]On December 1, Jasmin Ernst organized Ernst Consulting. On December 3, the owner contributed $84,780 in assets inexchange for its common stock to launch the business. On December 31, the company's records show the following itemsand amounts.CashAccounts receivableOffice suppliesOffice equipmentLandAccounts payableCommon stockExercise 1-19 (Algo) Preparing a statement of retained earnings LO P2ERNST CONSULTINGStatement of Retained Earning$8,990 Cash dividends16,540 Consulting revenueRent expense3,93018,660 Salaries expense45,980 Telephone expense9,170 Miscellaneous expenses84,780Using the above information prepare a December statement of retained earnings for Ernst Consulting. Hint: Retained Earnings onDecember 1 was $0.Retained earnings, December 1$$ 2,83016,5404,3007,7408506700

Name: Required informationUse the following information for the Exercises b
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Description: Required informationUse the following information for the Exercises below. (Algo)[The following information applies to the questions displayed below.]On December 1, Jasmin Ernst organized Ernst Consulting. On December 3, the owner contributed $84,78

Statement of retained earnings is one of the financial statements that shows change in amount of…

Business

Accounting

Required information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] On December 1, Jasmin Ernst organized Ernst Consulting. On December 3, the owner contributed $84,780 in assets i exchange for its common stock to launch the business. On December 31, the company's records show the following and amounts. Cash Accounts receivable Office supplies Office equipment Land Accounts payable Common stock cise 1-19 (Algo) Preparing a statement of retained earnings LO P2 ERNST CONSULTING Statement of Retained Earning $ 8,990 Cash dividends Consulting revenue Rent expense 16,540 3,930 18,660 Salaries expense 45,980 Telephone expense 9,170 Miscellaneous expenses 84,780 the above information prepare a December statement of retained earnings for Ernst Consulting. Hint: Retained Earnin mber 1 was $0. ed earnings, December 1 $ $ 2,830 16,540 4,300 7,740 850 670 0

Required information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] On December 1, Jasmin Ernst organized Ernst Consulting. On December 3, the owner contributed $84,780 in assets i exchange for its common stock to launch the business. On December 31, the company's records show the following and amounts. Cash Accounts receivable Office supplies Office equipment Land Accounts payable Common stock cise 1-19 (Algo) Preparing a statement of retained earnings LO P2 ERNST CONSULTING Statement of Retained Earning $ 8,990 Cash dividends Consulting revenue Rent expense 16,540 3,930 18,660 Salaries expense 45,980 Telephone expense 9,170 Miscellaneous expenses 84,780 the above information prepare a December statement of retained earnings for Ernst Consulting. Hint: Retained Earnin mber 1 was $0. ed earnings, December 1 $ $ 2,830 16,540 4,300 7,740 850 670 0

Financial Accounting

15th Edition

ISBN:9781337272124

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter4: Completing The Accounting Cycle

Section: Chapter Questions

Problem 5CP

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Analyzing the Accounts The controller for Summit Sales Inc. provides the following information on transactions that occurred during the year: a. Purchased supplies on credit, $18,600 b. Paid $14,800 cash toward the purchase in Transaction a c. Provided services to customers on credit1 $46,925 d. Collected $39,650 cash from accounts receivable e. Recorded depreciation expense, $8,175 f. Employee salaries accrued, $15,650 g. Paid $15,650 cash to employees for salaries earned h. Accrued interest expense on long-term debt, $1,950 i. Paid a total of $25,000 on long-term debt, which includes $1.950 interest from Transaction h j. Paid $2,220 cash for l years insurance coverage in advance k. Recognized insurance expense, $1,340, that was paid in a previous period l. Sold equipment with a book value of $7,500 for $7,500 cash m. Declared cash dividend, $12,000 n. Paid cash dividend declared in Transaction m o. Purchased new equipment for $28,300 cash. p. Issued common stock for $60,000 cash q. Used $10,700 of supplies to produce revenues Summit Sales uses the indirect method to prepare its statement of cash flows. Required: 1. Construct a table similar to the one shown at the top of the next page. Analyze each transaction and indicate its effect on the fundamental accounting equation. If the transaction increases a financial statement element, write the amount of the increase preceded by a plus sign (+) in the appropriate column. If the transaction decreases a financial statement element, write the amount of the decrease preceded by a minus sign (-) in the appropriate column. 2. Indicate whether each transaction results in a cash inflow or a cash outflow in the Effect on Cash Flows column. If the transaction has no effect on cash flow, then indicate this by placing none in the Effect on Cash Flows column. 3. For each transaction that affected cash flows, indicate whether the cash flow would be classified as a cash flow from operating activities, cash flow from investing activities, or cash flow from financing activities. If there is no effect on cash flows, indicate this as a non-cash activity.
Kindly answer in good accounting form. Also show journal entries. On January 01, 2020 Kitkat Company, Inc. establishes a branch in Buang.During the year, Kitkat Inc. transfers cash and merchandise to the branchworth P15,000 and P45,000 respectively. Freight was paid by the homeoffice worth P1,500 included in the cost of merchandise. The home officealso incurred P5,700 expenses of which 30 percent was allocated to thebranch. On December 31, 2020, the branch incurred a loss of P4,000. What is the balance of the branch account as per home office books
Required information [The following information applies to the questions displayed below.] The accounting records of Nettle Distribution show following assets and liabilities as of December 31 fo and Year 2. December 31 Cash Accounts receivable Office supplies Office equipment Trucks Building Land Accounts payable Note payable Equity, December 31, Year 1 Add: Owner's investment Add: Net income Year 1 $ 47,584 25,829 4,074 125,071 48,942 Less: Dividends 0 0 67,905 0 Year 2 $ 8,053 20, 250 2,984 133, 224 2. Compute net income for Year 2 by comparing total equ these two years and using the following information: Durir owner invested $32,000 additional cash in the business in common stock, and the company paid a $24,000 cash div 57,942 163,152 40,713 33,679 103,865 0
Required information [The following information applies to the questions displayed below.] On December 1, Jasmin Ernst organized Ernst Consulting. On December 3, the owner contributed $82,650 in assets to launch the business. On December 31, the company's records show the following items and amounts. Cash with $ 15,200 12,410 Consultin 1,770 Rent expe 46,080 16,450 Telephone 6,060 Miscellan 82,650 Cash Accounts receivable Office supplies Land Salaries Office equipment Accounts payable Owner investments Using the above information prepare a December statement of owner's equity for Ernst Consulting. Hint: J. Ernst, Capital on December 1 was $0. ERNST CONSULTING Statement of Owner's Equity J. Ernst, Capital, December 1 $ $
What is the spcial journal of the following statements : Invested cash of 250,000 and merchandise of 50,000 to open the business. Deposited 200,000 of the cash investment with citibank Sold merchandise on account to Rustan, 11,760 Terms: 2/10, n/30. Inovice no.801 Sold merchandise on account to Robinson's, 8,960. Terms: n/30. Paid Evergreen the amount owed on the May 14 purchase (May 14- Purchased merchandise on account from Evergreen, 28,000. Terms 1/10, n/30. Invoice no. 801.
Activities: Prepare an Accounts Receivable Subsidiary Ledger of the following transactions. Write your answer on a separate sheet of paper. Activity 1 Prepare the Accounts Receivable Subsidiary Ledger for XYZ Company for the year ended on December 31, 2020. IV. December 1: The opening balance for Mr. James and Mr. John is P 250,000 andP 450,000. Sold goods to Mr. James on credit for P 300,000. Received payments from Mr. James, P250,000 Received payments Mr. John, P450,000 December 4: December 12: December 16: Activity 2 Prepare the Accounts Receivable Subsidiary Ledger for ABC Company for the year ended on August 31, 2019. Aug. 1: Aug. 3: Aug. 13: Aug. 20: The opening balance for Ms. Santos and Ms. Cruz is P 200,000 and P 400,000. Sold goods to M Williams on credit for P 350,000. Received payments from M Williams, P200,000 Received payments T George, 400,000 Activity 3 Prepare the Accounts Receivable Subsidiary Ledger for XXX Company for the year ended on July 31, 2020. July. 1: July…
Required: post entries to the relevant accounts in the general ledger and balance the accounts: On 1/1/2023, Jassim started his commercial business with a capital of $3,735,000 distributed over the following assets: 1500,000 cash, 700,000 cars, 350,000 goods, 1,185,000 bank, If you know that the following operations took place during January 2023: 1. On 1/3 he bought a building for $950,000 by check, and the costs of registering it amounted to $5200 and the expenses of preparing it for use amounted to $43000, which I paid in cash. 2. On 9/1 he sold his goods on account to Mahmoud for $280,000. 3. On 1/10, he bought goods from Daoud for $324,000, he paid half of them in cash, and wrote the rest as a promissory note due after two months. He also paid the costs of transporting the purchased goods, amounting to $1,800. 4. On 1/12 he sold his goods to Al-Tafa'il stores for the amount of $198,000 in cash, of which $65,000 was deposited in the bank. 5. On 1/15, he sold the most valuable car…
Make a Ledger in this problem Assume that on December 2, 2020. Mr. David Started DB Accounting Firm in Tagbina with the following assets as initial investments: PARTICULARS Cash 15,000 Computers 40,000 Furniture 50,000 Supplies 10,000 December 02 The business was registered with DTI, BIR, and Mayor’s permit spending P300, P500, and P1,200, respectively. 05 Acquired printer amounting to P10,000 for cash 15 Received electricity bill used by the business, P600. 15 Acquired computer chairs and tables on account, P10,000 payable within five days 20 Issued 3 months promissory note amounting to 10,000 to settle the obligation for acquiring computer chairs 21 Mr. David withdrew P1,000 for personal use. 23 Used supplies amounting to 8,000 26 Collected P50,000 for audit service to client 28 Billed P80,000 to the client for tax consultancy performed. 29 Transportation expense incurred and paid, P2,000 30 Provided 10% allowance for depreciation for the use of office equipment and…
The following transactions relate to the business of Jacob’s Coffee Shop for the month of February 2022: 01/02/22: Owner deposited N$10,000 as capital contribution. 02/02/22: Bought a coffee machine paid by EFT – N$2,500. 04/02/22: Cash purchases paid by cheque – N$1,500. 10/02/22: Credit sales to Mrs. Hamutenya N$1,500. 15/02/22: Rendered catering services at EN Dorado for N$2,000. Received payment via EFT. 25/02/22: Purchased sugar and tea from Sweeteners cc on Credit N$500. How much is the balance transferred to the profit and loss from the Purchases Ledger account? a. N$2,000 b. N$6,500 c. N$4,500 d. N$1,500
Required information [The following information applies to the questions displayed below.] The accounting records of Nettle Distribution show the following assets and liabilities as of December 31 for Year 1 and Year 2. December 31 Cash Accounts receivable office supplies office equipment Trucks Building Land Accounts payable Note payable Balance Sheet Balance Sheet Year 1 Year 2 Year 1 $ 64,300 26,240 3,160 44,000 148,000 Total assets 0 0 Assets 3,500 0 Required: 1. Prepare balance sheets for the business as of December 31 for Year 1 and for Year 2. Hint: Report only total equity on the balance sheet and remember that total equity equals the difference between assets and liabilities. $ Year 2 $ 15,640 19,100 1,960 44,000 157,000 Complete this question by entering your answers in the tabs below. 80,000 60,000 33,500 40,000 Prepare the balance sheet for the business as of December 31 for Year 1. Hint: Report only total equity on the balance sheet and remember that total equity equals…
An entity purchases office equipment for 525,000 on account. Select the appropriate journal entry to record this transaction. A. Office expense= 525,000 Accounts payable= 525,000 B. Office equipment= 525,000 Accounts payable= 525,000 C. Accounts Payable = 525,000 Office expense= 525,000 D. Accounts payable= 525,000 Office equipment = 525,000
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