Principles of Accounting Critical Thinking Assignment Week 1

gnaar91
timer Asked: Nov 8th, 2016

Question Description

Option #1: The Case of Kacy Spade

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

Prepare general journal entries using an Excel spreadsheet to record the transactions listed below for the Spade Company.

Assignment Template attached below

Use the following chart of accounts:

  • Cash
  • Accounts receivable
  • Office supplies
  • Office equipment
  • Accounts payable
  • K. Spade, capital
  • K. Spade, withdrawals
  • Fees earned
  • Rent expense

Use the letters beside each transaction to identify your entries:

  1. Kacy Spade, owner, invested $10,750 cash in the company.
  2. The company purchased office supplies for $312 cash.
  3. The company purchased $5,945 of office equipment on credit.
  4. The company received $1,268 cash as fees for services provided to a customer.
  5. The company paid $5,945 cash to settle the payable for the office equipment purchased in transaction c.
  6. The company billed a customer $2,279 as fees for services provided.
  7. The company paid $510 cash for the monthly rent.
  8. The company collected $957 cash as partial payment for the account receivable created in transaction f.
  9. Kacy Spade withdrew $1,000 cash from the company for personal use.

Instructions:

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

Unformatted Attachment Preview

Module 1- CT Template Option #1 SPADE COMPANY Acct Name 1 2 3 4 5 6 7 8 9 Debit Credit
User generated content is uploaded by users for the purposes of learning and should be used following Studypool's honor code & terms of service.

This question has not been answered.

Create a free account to get help with this and any other question!

Related Tags

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