Accounts
Debits
Credits
Cash
$ 41,500
Accounts Receivable
25,700
Land
110,800
Accounts Payable
$ 15,300
Notes Payable (due in 2 years)
30,000
Common Stock
100,000
Retained Earnings
32,700
Totals
$ 178,000
$ 178,000
The following is a summary of the transactions for the year:
1. January 12 Provide services to customers on account, $62,400.
2. February 25 Provide services to customers for cash, $75,300.
3. March 19 Collect on accounts receivable, $45,700.
4. April 30 Issue shares of common stock in exchange for $30,000 cash.
5. June 16 Purchase supplies on account, $12,100.
6. July 7 Pay on accounts payable, $11,300.
7. September 30 Pay salaries for employee work in the current year, $64,200.
8. November 22 Pay advertising for the current year, $22,500.
9. December 30 Pay $2,900 cash dividends to stockholders.
The following information is available for the adjusting entries.
Accrued interest on the notes payable at year-end amounted to $2,500 and will be paid January 1, 2025. Accrued salaries at year-end
amounted to $1,500 and will be paid on January 5, 2025. Supplies remaining on hand at the end of the year equal $2,300.
Requirement
General
Journal
General
Trial Balance
Ledger
Income
Statement
Balance Sheet
1. Record each of the transactions listed above in the 'General Journal' tab (these are shown as items 1-9). Review the
'General Ledger' and the 'Trial Balance' tabs to see the effect of the transactions on the account balances.
2. Record the adjusting entries in the 'General Journal' tab (these are shown as items 10-12).
3. Review the adjusted 'Trial Balance' as of December 31, 2024.
4. Prepare an income statement for the period ended December 31, 2024, in the 'Income Statement' tab.
5. Prepare a classified balance sheet as of December 31, 2024 in the 'Balance Sheet' tab.
6. Record the closing entries in the 'General Journal' tab (these are shown as items 13-15).