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Class: Problem 04-02A amounts for the financial reports. SEE-IT-NOW TRAVEL General Journal Date Account Titles Acct. No. Debit Credit Transactions for April (Part 2): Apr 1 Cash 101 Computer Equipment 167 Stafford, Capital 301 Owner invested in the business. 2 Rent Expense 640 Cash 101 Paid one month's rent. 3 Office Supplies 124 Cash 101 Acquired office supplies. 10 Prepaid Insurance 128 Cash 101 Paid 12-month's premium on advance. 14 Salaries Expense 622 Cash 101 Paid two weeks' salaries. 24 Cash 101 Commissions Earned 405 Collected commissions from airlines. 28 Salaries Expense 622 Cash 101 Paid two weeks' salaries. 29 Repairs Expense 684 Cash 101 Repaired the computer. 30 Telephone Expense 688 Cash 101 Paid the telephone bill. 30 J. Stafford, Withdrawals 302 Cash 101 Owner withdrew cash for personal use. NOTE : Ledger accounts begin at cell A186. Post the transactions to those accounts then use the balances to provide
Class: Problem 04-02A Adjusting Entries (Part 4): Apr 30 Insurance Expense 637 Prepaid Insurance 128 To record expired insurance. 30 Office Supplies Expense 650 Office Supplies 124 To record cost of supplies used. 30 Depreciation Expense - Computer Equipment 612 Accumulated Depreciation - Computer Equipment 168 To record depreciation. 30 Salaries Expense 622 Salaries Payable 209 To record accrued salaries. 30 Accounts Receivable 106 Commissions Earned 405 To record accrued commissions. Closing Entries (Part 6) Apr 30 Commissions Earned 405 Income Summary 901 To close the revenue account. 30 Income Summary 901 Depreciation Expense, Computer Equipment 612 Salaries Expense 622 Insurance Expense 637 Rent Expense 640 Office Supplies Expense 650 Repairs Expense 684 Telephone Expense 688 To close expense accounts. 30 Income Summary 901 J. Stafford, Capital 301 To close the income summary account. 30 J. Stafford, Capital 301 J. Stafford, Withdrawals 302 To close the withdrawals account.
Class: Problem 04-02A SEE-IT-NOW TRAVEL Statement of Owner's Equity For Month Ended April 30, 2011 J. Stafford, Capital, April 1, 2011 Plus: Investment by owner Net income Total Less Owner withdrawals J. Stafford, Capital, April 30, 2011 SEE-IT-NOW TRAVEL Balance Sheet April 30, 2011 Assets Cash Accounts receivable Office supplies Prepaid insurance Computer equipment Accumulated depreciation, computer equipment Total assets Liabilities Salaries payable Owner's Equity J. Stafford, Capital Total liabilities and equity SEE-IT-NOW TRAVEL Post-Closing Trial Balance April 30, 2011 Account Titles Debits Credits Cash Accounts receivable Office supplies Prepaid insurance Computer equipment Accumulated depreciation, computer equipment Salaries payable J. Stafford, Capital Totals
Class: Problem 04-02A SEE-IT-NOW TRAVEL General Ledger Cash Account No. 101 Date Explanation (^) PR Debit Credit Balance Apr 1 2 3 10 14 24 28 29 30 30 Accounts Receivable Account No. 106 Date Explanation (^) PR Debit Credit Balance Apr 30 Adjusting Office Supplies Account No. 124 Date Explanation (^) PR Debit Credit Balance Apr 3 30 Adjusting Prepaid Insurance Account No. 128 Date Explanation (^) PR Debit Credit Balance Apr 10 30 Adjusting Computer Equipment Account No. 167 Date Explanation (^) PR Debit Credit Balance Apr 1 Accumulated Depreciation, Computer Equipment Account No. 168 Date Explanation (^) PR Debit Credit Balance Apr 30 Adjusting Salaries Payable Account No. 209 Date Explanation (^) PR Debit Credit Balance Apr 30 Adjusting
Class: Problem 04-02A Repairs Expense Account No. 684 Date Explanation (^) PR Debit Credit Balance Apr 29 30 Closing Telephone Expense Account No. 688 Date Explanation (^) PR Debit Credit Balance Apr 30 30 Closing Income Summary Account No. 901 Date Explanation (^) PR Debit Credit Balance Apr 30 Closing 30 Closing 30 Closing
Given Data P04-02A: SEE-IT-NOW TRAVEL Apr 1 Stafford invested cash $ 20, 1 Stafford invested computer equipment $ 40, 2 Paid first month's rent $ 1, 3 Purchased office supplies $ 1, 10 Paid annual insurance premium $ 3, 14 Paid salaries $ 1, 24 Collected commissions earned $ 7, 28 Paid salaries $ 1, 29 Paid for computer repair $ 250 30 Paid telephone bill $ 650 30 Stafford withdrew cash for personal use $ 1, Chart of Accounts 101 Cash 106 Accounts Receivable 124 Office Supplies 128 Prepaid Insurance 167 Computer Equipment 168 Accumulated Depreciation, Computer Equipment 209 Salaries Payable 301 J. Stafford, Capital 302 J. Stafford, Withdrawals 405 Commissions Earned 612 Depreciation, Computer Equipment 622 Salaries Expense 637 Insurance Expense 640 Rent Expense 650 Office Supplies Expense 684 Repairs Expense 688 Telephone Expense 901 Income Summary Additional information: Apr 30 2/3 of a month's insurance expired Office supplies on hand $ 700 Depreciation on computer $ 600 Unpaid salaries $ 320 Commissions earned but not billed $ 1, Check figures: (3) Unadjusted trial balance totals $ 67, (4a) Insurance Expense $ 200 (5) Net income $ 1, Capital (4/30/2011) $ 60, Total assets $ 60, (7) Post-closing trial balance totals $ 61,
Class: Problem 04-03A
Class: Problem 04-03A KOBE REPAIRS General Journal Debit Credit Dec. 31, 2011 Closing entries: Repair Fees Earned Income Summary To close the revenue account. Income Summary Depreciation Expense, Equipment Wages Expense Insurance Expense Rent Expense Office Supplies Expense Utilities Expense To close the expense accounts. Income Summary S. Kobe, Capital To close the income summary account. S. Kobe, Capital S. Kobe, Withdrawals To close the withdrawals account. Part 4: Assume for this part only: a. None of the $700 insurance expense had expired during the year. Assume it is a prepayment of next period's insurance protection b. There are no earned and unpaid wages at the end of the year Describe the financial statement changes resulting from these assumptions.
