173. On October 1, 2011, Smith invested $20,000 cash, office equipment costing $15,000, and drafting equipment costing $12,000 into the company in exchange for common stock. Show the general journal...





173. On October 1, 2011, Smith invested $20,000 cash, office equipment costing $15,000, and drafting equipment costing $12,000 into the company in exchange for common stock. Show the general journal entry to record this transaction.



























































Cash




Equipment




9/01




(a) 4,200




9/4 (b)




550




9/1




(a) 800










9/11




(d) 150










9/4




(b) 2,550










9/15




(e) 190
















































































Common Stock




Notes Payable










9/1




(a) 5,000










9/4




(b) 2,000




























































174. Krenz Car Care, which is owned and operated by Karl Krenz, began business as a corporation in September of the current year. Karl, a master mechanic, had no experience with keeping a set of books. As a result, Karl entered all of September's transactions directly to the ledger accounts. When he tried to locate a particular entry he found it to be confusing and time consuming. He has hired you to improve his accounting procedures. The accounts in his general ledger are as follows:

























































Accounts Receivable




Repair Revenue




9/9




(c) 275




9/15 (c)




190










9/9 (c)




275






















9/11 (e)




150




































Prepare the general journal entries, in chronological order (a) through (e), from the T-account entries shown. Include a brief description of the probable nature of each transaction.









175. Flora Accounting Services completed these transactions in February:



a. Purchased office supplies on account, $300.



b. Completed work for a client on credit, $500.



c. Paid cash for the office supplies purchased in ().



d. Completed work for a client and received $800 cash.



e. Received $500 cash for the work described in ().



f. Received $1,000 from a client for accounting services to be performed in March.



Prepare journal entries to record the above transactions. Explanations are not necessary.











May 15, 2022
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