Answer to Question #289863 in Accounting for yoyo

Question

Dec. 1 Mr. John transferred cash from his personal account to the business 150,000.

1 Paid five months’ rent in advance, 30,000

1 Paid annual Insurance premium of 7,200

11 Purchased a truck for 110,000 by paying 60,000 Cash and giving a notes payable for the difference.

12 Purchased equipment on account, 11,000

13 Purchased supplies on account 2400.

14 Paid insurance premiums of 8100

15 Received cash for services completed 36,000.

18 Paid salaries of 9000.

21 Paid its liabilities for the purchase of equipment made on December 12

24 Provided Service on account, 52,000

27 Paid utilities expense 12,500.

27 Paid miscellaneous expenses 1,200.

28 Received cash from customers on account 24,000

30 Paid salaries to employees 5,000

30. The owner withdrew 2,000 for

Required: Assume beginning balances for selected accounts: Cash, 22,000 ; Equipment, 10,000; Supplies,1,000; Accounts Receivable, 11,000 Prepare a trial balance and journalize the adjustments and post the entries to the ledger

Answer 1

Let's solve it in EXCEL

Dec. 1 - Debit settlement account credit settlements with founders - 150 000

Debit settlements with founders settlement account credit authorized capital - 150 000

1.Debit payments by suppliers and contractors credit settlement account - 30 000

1.Debit payments by suppliers and contractors credit settlement account - 7 000

11.Debit payments by suppliers and contractors credit Cash  - 60 000

Debit payments by suppliers and contractors credit Other income and expenses - 40000

12., 21Debit payments by suppliers and contractors credit settlement account - 11000

13.Debit payments by suppliers and contractors credit settlement account - 2400

Debit supplies credit payments by suppliers and contractors - 2400

14.Debit insurance credit settlement account - 8100

15 Debit cash register credit settlements with buyers and customers -36000

18.Debit salaries credit settlement account - 9000

24.Debit settlements with buyers and customers credit sales - 52000

27.Debit payments by suppliers and contractors credit settlement account - 12500

27.Debit payments by suppliers and contractors credit settlement account - 1200

28.Debit cash register credit settlements with buyers and customers - 24000

30.Debit salaries credit settlement account - 5000

30.Debit settlements with founders settlement account credit settlement account - 2000