Accounting question and exercise

Jul 14th, 2015
Anonymous
Category:
Accounting
Price: $30 USD

Question description

In this case, you will record the effects of transactions using the accrual method of accounting.

Carl Crow is a licensed architect. During the first month of operation of his business, the events and transactions listed below occurred.

Prepare general journal entries using an Excel spreadsheet to record the transactions listed below for the Carl Crow Co.

Assignment Template attached below

Use the following chart of accounts:

  • Cash
  • Accounts receivable
  • Supplies
  • Accounts payable
  • Unearned revenue
  • Carl Crow, capital
  • Service revenue
  • Salaries expense
  • Rent expense

Use the numbers beside each transaction to identify your entries:

  1. Invested $30,000 in cash.
  2. Hired a secretary-receptionist at a salary of $500 per week payable monthly.
  3. Paid office rent of $800 for the month.
  4. Purchased architectural supplies on account from Halo Company for $1,500.
  5. Completed blueprints on a carport and billed client $1,200 for services.
  6. Received $500 cash advance from R. Welk for the design of a new home.
  7. Received $1,500 cash for services completed and delivered to P. Donahue.
  8. Paid the secretary-receptionist $2,000 for the month.
  9. Paid $600 to the Halo Company for accounts payable due.

Instructions:

In an Excel spreadsheet, prepare journal entries 1 through 9. Make sure that the debits equal the credits for each journal entry. Under each journal entry, be sure to include one sentence that explains the transaction. For an explanation, see the solution to the demonstration problem in Chapter 2 of the textbook.


Tutor Answer

(Top Tutor) Studypool Tutor
School: UIUC

Studypool has helped 1,244,100 students

Review from student
Studypool Student
" Outstanding Job!!!! "
Ask your homework questions. Receive quality answers!

Type your question here (or upload an image)

1819 tutors are online

Brown University





1271 Tutors

California Institute of Technology




2131 Tutors

Carnegie Mellon University




982 Tutors

Columbia University





1256 Tutors

Dartmouth University





2113 Tutors

Emory University





2279 Tutors

Harvard University





599 Tutors

Massachusetts Institute of Technology



2319 Tutors

New York University





1645 Tutors

Notre Dam University





1911 Tutors

Oklahoma University





2122 Tutors

Pennsylvania State University





932 Tutors

Princeton University





1211 Tutors

Stanford University





983 Tutors

University of California





1282 Tutors

Oxford University





123 Tutors

Yale University





2325 Tutors