Hi I need some help with my Accounting Project. Mainly theAdjusting Entires.
June 1: Hudson Bloom invested $162,624.00 cash and computerequipment with a fair market value of $43,680.00 in his newbusiness, Byte of Accounting.
June 1: Check # 5000 was used to purchased office equipmentcosting $1,064.00 from Office Express. The invoice number was87417.
June 1: Check # 5001 was used to purchased computer equipmentcosting $14,560.00 from Matthew Catalano. The invoice number was20117.
June 2: Check # 5002 was used to make a down payment of$32,000.00 on additional computer equipment that was purchased fromRoyce Computers, invoice number 76542. The full price of thecomputer was $160,000.00. A five-year note was executed by Byte forthe balance.
June 4: Additional office equipment costing $500.00 waspurchased on credit from Discount Computer Corporation. The invoicenumber was 98432.
June 8: Unsatisfactory office equipment costing $100.00 frominvoice number 98432 was returned to Discount Computer for creditto be applied against the outstanding balance owed by Byte.
June 10: Check # 5003 was used to make a $24,500.00 paymentreducing the prinicpal owed on the June 2 purchase of computerequipment from Royce Computers.
une 14: Check # 5004 was used to purchase a one-year insurancepolicy covering its computer equipment for $4,968.00 from Seth'sInsurance. The effective date of the policy was June 16 and theinvoice number was 2387.
June 16: A check in the amount of $7,500.00 was received forservices performed for Pitman Pictures.
June 16: Byte purchased a building and the land it is on for$95,000.00 to house its repair facilities and to store computerequipment. The lot on which the building is located is valued at$15,000.00. The balance of the cost is to be allocated to thebuilding. Check # 5005 was used to make the down payment of$9,500.00. A thirty year mortgage with an inital payement due onAugust 1st, was established for the balance.
June 17: Check # 5006 for$8,800.00 was paid for rent of theoffice space for June, July, August and September.
June 17: Received invoice number 26354 in the amount of $450.00from the local newspaper for advertising.
June 21: Billed various miscellaneous local customers $4,000.00for consulting services performed.
June 21: Check # 5008 was used to purchase a fax machine for theoffice from Office Machines Express for $850.00. The invoice numberwas 975-328.
June 21: Accounts payable in the amount of $400.00 were paidwith Check # 5007. J
June 22: Check # 5010 was used to pay the advertising bill thatwas received on June 17.
June 22: Received a bill for $1,240.00 from Computer Parts andRepair Co. for repairs to the computer equipment. The invoicenumber was 43254.
June 22: Check # 5009 was used to pay salaries of $860.00 toequipment operators for the week ending June 18. Ignore payrolltaxes.
June 23: Cash in the amount of $3,205.00 was received onbillings.
June 23: Purchased office supplies for $630.00 from Staples onaccount. The invoice number was 65498.
June 28: Billed $5,490.00 to miscellaneous customers forservices performed to June 25.
June 29: Cash in the amount of $5,201.00 was received forbillings. June 29: Paid the bill received on June 22, from ComputerParts and Repairs Co with Check # 5011.
June 29: Check # 5012 was used to pay salaries of $860.00 toequipment operators for the week ending June 25. Ignore payrolltaxes.
June 30: Received a bill for the amount of $840.00 from O &G Oil and Gas Co. The invoice number was 784537.
June 30: Check # 5013 was used to pay for airline tickets of$1,700.00 to send the kids to Grandma Ellen for the July 4thholiday.
Adjusting Entries - Round to two decimal places.
The rent payment made on June 17 was for June, July, August andSeptember. Expense the amount associated with one month's rent. Aphysical inventory showed that only $259.00 worth of officesupplies remained on hand as of June 30.
The annual interest rate on the mortgage payable was 7.50percent. Interest expense for one-half month should be computedbecause the building and land were purchased and the liabilityincurred on June 16.
Record a journal entry to reflect that one half month'sinsurance has expired.
A review of Byteâs job worksheets show that there are unbilledrevenues in the amount of $5,500 for the period of June 28-30.
The fixed assets have estimated useful lives as follows:Building - 31.5 years Computer Equipment - 5.0 years OfficeEquipment - 7.0 years Use the straight-line method of depreciation.Management has decided that assets purchased during a month aretreated as if purchased on the first day of the month. Thebuildingâs scrap value is $8,500. The office equipment has a scrapvalue of $300. The computer equipment has no scrap value. Calculatethe depreciation for one month.
A review of the payroll records show that unpaid salaries in theamount of $516.00 are owed by Byte for three days, June 28 - 30.Ignore payroll taxes.
The note payable to Royce Computers (transactions 04 and 07) isa five-year note, with interest at the rate of 12 percent annually.Interest expense should be computed based on a 360 day year.
Closing Entries
Close the revenue accounts.
Close the expense accounts.
Close the income summary account.
Close the withdrawals account.
Hi I need some help with my Accounting Project. Mainly theAdjusting Entires.
June 1: Hudson Bloom invested $162,624.00 cash and computerequipment with a fair market value of $43,680.00 in his newbusiness, Byte of Accounting.
June 1: Check # 5000 was used to purchased office equipmentcosting $1,064.00 from Office Express. The invoice number was87417.
June 1: Check # 5001 was used to purchased computer equipmentcosting $14,560.00 from Matthew Catalano. The invoice number was20117.
June 2: Check # 5002 was used to make a down payment of$32,000.00 on additional computer equipment that was purchased fromRoyce Computers, invoice number 76542. The full price of thecomputer was $160,000.00. A five-year note was executed by Byte forthe balance.
June 4: Additional office equipment costing $500.00 waspurchased on credit from Discount Computer Corporation. The invoicenumber was 98432.
June 8: Unsatisfactory office equipment costing $100.00 frominvoice number 98432 was returned to Discount Computer for creditto be applied against the outstanding balance owed by Byte.
June 10: Check # 5003 was used to make a $24,500.00 paymentreducing the prinicpal owed on the June 2 purchase of computerequipment from Royce Computers.
une 14: Check # 5004 was used to purchase a one-year insurancepolicy covering its computer equipment for $4,968.00 from Seth'sInsurance. The effective date of the policy was June 16 and theinvoice number was 2387.
June 16: A check in the amount of $7,500.00 was received forservices performed for Pitman Pictures.
June 16: Byte purchased a building and the land it is on for$95,000.00 to house its repair facilities and to store computerequipment. The lot on which the building is located is valued at$15,000.00. The balance of the cost is to be allocated to thebuilding. Check # 5005 was used to make the down payment of$9,500.00. A thirty year mortgage with an inital payement due onAugust 1st, was established for the balance.
June 17: Check # 5006 for$8,800.00 was paid for rent of theoffice space for June, July, August and September.
June 17: Received invoice number 26354 in the amount of $450.00from the local newspaper for advertising.
June 21: Billed various miscellaneous local customers $4,000.00for consulting services performed.
June 21: Check # 5008 was used to purchase a fax machine for theoffice from Office Machines Express for $850.00. The invoice numberwas 975-328.
June 21: Accounts payable in the amount of $400.00 were paidwith Check # 5007. J
June 22: Check # 5010 was used to pay the advertising bill thatwas received on June 17.
June 22: Received a bill for $1,240.00 from Computer Parts andRepair Co. for repairs to the computer equipment. The invoicenumber was 43254.
June 22: Check # 5009 was used to pay salaries of $860.00 toequipment operators for the week ending June 18. Ignore payrolltaxes.
June 23: Cash in the amount of $3,205.00 was received onbillings.
June 23: Purchased office supplies for $630.00 from Staples onaccount. The invoice number was 65498.
June 28: Billed $5,490.00 to miscellaneous customers forservices performed to June 25.
June 29: Cash in the amount of $5,201.00 was received forbillings. June 29: Paid the bill received on June 22, from ComputerParts and Repairs Co with Check # 5011.
June 29: Check # 5012 was used to pay salaries of $860.00 toequipment operators for the week ending June 25. Ignore payrolltaxes.
June 30: Received a bill for the amount of $840.00 from O &G Oil and Gas Co. The invoice number was 784537.
June 30: Check # 5013 was used to pay for airline tickets of$1,700.00 to send the kids to Grandma Ellen for the July 4thholiday.
Adjusting Entries - Round to two decimal places.
The rent payment made on June 17 was for June, July, August andSeptember. Expense the amount associated with one month's rent. Aphysical inventory showed that only $259.00 worth of officesupplies remained on hand as of June 30.
The annual interest rate on the mortgage payable was 7.50percent. Interest expense for one-half month should be computedbecause the building and land were purchased and the liabilityincurred on June 16.
Record a journal entry to reflect that one half month'sinsurance has expired.
A review of Byteâs job worksheets show that there are unbilledrevenues in the amount of $5,500 for the period of June 28-30.
The fixed assets have estimated useful lives as follows:Building - 31.5 years Computer Equipment - 5.0 years OfficeEquipment - 7.0 years Use the straight-line method of depreciation.Management has decided that assets purchased during a month aretreated as if purchased on the first day of the month. Thebuildingâs scrap value is $8,500. The office equipment has a scrapvalue of $300. The computer equipment has no scrap value. Calculatethe depreciation for one month.
A review of the payroll records show that unpaid salaries in theamount of $516.00 are owed by Byte for three days, June 28 - 30.Ignore payroll taxes.
The note payable to Royce Computers (transactions 04 and 07) isa five-year note, with interest at the rate of 12 percent annually.Interest expense should be computed based on a 360 day year.
Closing Entries
Close the revenue accounts.
Close the expense accounts.
Close the income summary account.
Close the withdrawals account.
