The book balance in the checking account of Lyle’s Salon as of November 30 is $3,282.95. The bank statement shows an ending balance of $2,127. By examining last month’s bank reconciliation, comparing the deposits and checks written per books and per bank in November, and noting the service charges and other debit and credit memos shown on the bank statement, the following were found: (a) An ATM withdrawal of $150 on November 18 by Lyle for personal use was not recorded on the books. (b) A bank debit memo issued for an NSF check from a customer of $19.50. (c) A bank credit memo issued for interest of $19 earned during the month. (d) On November 30, a deposit of $1,177 was made, which is not shown on the bank statement. (e) A bank debit memo issued for $17.50 for bank service charges. (f) Checks No. 549, 561, and 562 for the amounts of $185, $21, and $9.40, respectively, were written during November but have not yet been received by the bank. (g) The reconciliation from the previous month showed outstanding checks totaling $271.95. One of those checks, No. 471 for $18.65, has not yet been received by the bank. (h) Check No. 523 written to a creditor in the amount of $372.90 was recorded in the books as $327.90. REQUIRED 1. Prepare a bank reconciliation as of November 30. 2. Prepare the required journal entries.
> Prepare a balance sheet for David Segal as of October 31, 20--.
> Prepare a statement of owner’s equity for David Segal for the month of October 20--.
> A beginning accounting student tried to complete a work sheet for Dick Ady’s Bookkeeping Service. The following adjusting entries were to have been analyzed and entered in the work sheet: (a) Ending inventory of supplies on July 31, $130. (b) Unexpired i
> Refer to Problem 5-15B and the following additional information: REQUIRED 1. Journalize the adjusting entries on page 3 of the general journal. 2. Post the adjusting entries to the general ledger. (If you are not using the working papers that accompany
> Val Nolan started a business called Nolan’s Home Appraisals. The trial balance as of October 31, after the first month of operations, is as follows: REQUIRED 1. Analyze the following adjustments and enter them on the work sheet. (a) Sup
> The following is a list of outstanding notes payable as of December 31, 20--: REQUIRED 1. Compute the accrued interest at the end of the year. 2. Prepare the adjusting entry in the general journal. Date of Note No. of Days Payee X. Rayal G. Richards
> Creswell Entertainment issued the following bonds: Date of issue and sale: ………………………………………………… April 1, 20-1 Principal amount: …………………………………………………………... $600,000 Sale price of bonds: ………………………………………………………………. 100 Denomination of bonds: ……………………………………………
> Financial statements for McGinnis Company as well as additional information relevant to cash flows during the period are given below and on the next page. Additional information: 1. Office equipment was sold in 20-2 for $35,000. Additional information o
> Powell Company’s condensed income statement for the year ended December 31, 20-2, was as follows: Net sales………………&a
> If the total of the schedule of accounts receivable does not agree with the Accounts Receivable balance, what procedures should be used to search for the error?
> Mueller and Kenington Company is trying to decide whether to discontinue department A. Operating results for the year just ended for each of the company’s three departments and for the entire operation are as follows: REQUIRED 1. Prepa
> Tom Peterson owns the business Peterson’s Furniture and Appliances. The following information is provided for the year ended December 31, 20--: REQUIRED 1. Prepare an income statement showing departmental direct operating margin and tot
> Sonya McDowell owns a business called The Knitting Chamber. She has divided her business into two departments: domestic yarn and international yarn. The following information is provided for the fiscal year ended June 30, 20--: REQUIRED 1. Prepare an inc
> Bacon and Hand Distributors has divided its business into two departments: retail sales and wholesale sales. The following information is provided for the year ended December 31, 20--: Net sales, retail sales department ……………………………………………….. $570,000 Net
> The sales, gross profit, and condensed direct and indirect operating expenses of departments A and B of Robin Sun Enterprises are as follows: Compute the departmental direct operating margin and direct operating margin percentage for each department.
> The sales, cost of goods sold, and total operating expenses of departments A and B of Barker Company are as follows: Compute the departmental operating income for each department. Dept. A $180,000 138,000 27,000 Dept. B $152,000 118,000 16,000 Sales
> Herbert Quiong owns a furniture store that offers free delivery of merchandise delivered within the local area. Mileage records for the three sales departments are as follows: Department 1: ……………………………. 4,000 miles Department 2: ……………………………. 13,000 mile
> Amelia Diaz owns a sporting goods store. She has divided her store into three departments. Net sales for the month of July are as follows: Football: ………………………. $10,000 Basketball: ………………………. 6,000 Baseball: …………………………. 9,000 Advertising expense for Jul
> Johnson Company rents 5,000 square feet of store space for $40,000 per year. The amount of square footage by department is as follows: Department A: ………………………………………………... 1,200 sq. ft. Department B: ………………………………………………… 1,400 sq. ft. Department C: ………………
> Nicole Lawrence and Josh Doyle are partners in a business that sells cheerleading uniforms. They have organized the business, called L and D Uniforms, on a departmental basis as follows: letters, sweaters, and skirts. At the end of the first year of oper
> What steps are followed in posting cash receipts from the general ournal to the general ledger?
> Name the types of cash flows associated with financing activities.
> Based on the information provided in Problem 10-11A, Problem 10-11A: Sourk Distributors is a retail business. The following sales, returns, and cash receipts occurred during March 20--. There is an 8% sales tax. Beginning general ledger account balanc
> Sourk Distributors is a retail business. The following sales, returns, and cash receipts occurred during March 20--. There is an 8% sales tax. Beginning general ledger account balances were Cash, $9,586; and Accounts Receivable, $1,016. Beginning custome
> Zebra Imaginarium, a retail business, had the following cash receipts during December 20--. The sales tax is 6%. Dec. 1 received payment on account from Michael Anderson, $1,360. 2 Received payment on account from Ansel Manufacturing, $382. 7 Cash sales
> For each document or procedure listed below, indicate whether it would be used for a retail business or a wholesale business, as described in the chapter.
> Willamette Manufacturing estimated that its total payroll for the coming year would be $650,000. The workers’ compensation insurance premium rate is 0.3%. REQUIRED 1. Calculate the estimated workers’ compensation insurance premium and prepare the journa
> Cascade Company has four employees. All are paid on a monthly basis. The fiscal year of the business is June 1 to May 31. The accounts kept by Cascade include the following: REQUIRED 1. Journalize the preceding transactions using a general journal. 2. Op
> Selected information from the payroll register of Ebeling’s Dairy for the week ended July 7, 20--, is shown below. The SUTA tax rate is 5.4%, and the FUTA tax rate is 0.6%, both on the first $7,000 of earnings. Social Security tax on th
> Specialty Manufacturing estimated that its total payroll for the coming year would be $450,000. The workers’ compensation insurance premium rate is 0.2%. REQUIRED 1. Calculate the estimated workers’ compensation insurance premium and prepare the journal
> Angel Ruiz owns a business called Ruiz Construction Co. He does his banking at Citizens National Bank in Portland, Oregon. The amounts in his general ledger for payroll taxes and the employees’ withholding of Social Security, Medicare, and federal income
> Mandy Feng employs Jay Johnson at a salary of $35,000 a year. Feng is subject to employer Social Security taxes at a rate of 6.2% and Medicare taxes at a rate of 1.45% on Johnson’s salary. In addition, Feng must pay SUTA tax at a rate of 5.4% and FUTA ta
> What steps are followed in posting sales returns and allowances from the general journal to the general ledger and accounts receivable ledger?
> Selected information from the payroll register of Joanie’s Boutique for the week ended September 14, 20--, is as follows. Social Security tax is 6.2% on the first $118,500 of earnings for each employee. Medicare tax is 1.45% of gross ea
> Earnings for several employees for the week ended March 12, 20--, are as follows: Calculate the employer’s payroll taxes expense and prepare the journal entry as of March 12, 20--, assuming that FUTA tax is 0.6%, SUTA tax is 5.4%, Socia
> Indicate with an “X” in which columns, Income Statement Debit or Credit or Balance Sheet Debit or Credit, a net income or a net loss would appear on a work sheet. Income Statement Balance Sheet Debit Credit Debit
> Listed below are the weekly cash register tape amounts for service fees and the related cash counts during the month of July. A change fund of $100 is maintained. REQUIRED 1. Prepare the journal entries to record the cash service fees and cash short and
> Mary’s Luxury Travel in Problem 8-9A keeps employee earnings records. Problem 8-9A: Mary Losch operates a travel agency called Mary’s Luxury Travel. She has five employees, all of whom are paid on a weekly basis. The
> Portions of the payroll register for Barney’s Bagels for the week ended July 15 are shown below. The SUTA tax rate is 5.4%, and the FUTA tax rate is 0.6%, both of which are levied on the first $7,000 of earnings. The Social Security tax
> Mary Losch operates a travel agency called Mary’s Luxury Travel. She has five employees, all of whom are paid on a weekly basis. The travel agency uses a payroll register, individual employee earnings records, and a general journal. Mar
> Donald Chin works for Northwest Supplies. His rate of pay is $8.50 per hour, and he is paid 1½ times the regular rate for all hours worked in excess of 40 per week. During the last week of January of the current year, he worked 48 hours. Chin is married
> Journalize the following data taken from the payroll register of Copy Masters as of April 15, 20: Regular earnings ………………………………………. $5,715.00 Overtime earnings ………………………………………... 790.00 Deductions: Federal income tax ………………………………………. 625.00 Social Sec
> On December 31, the payroll register of Hamstreet Associates indicated the following information: Determine the amount of Social Security and Medicare taxes to be withheld and record the journal entry for the payroll, crediting Cash for the net pay.
> What steps are followed in posting sales from the general journal to the accounts receivable ledger?
> Mary Sue Guild works for a company that pays its employees 1½ times the regular rate for all hours worked in excess of 40 per week. Guild’s pay rate is $10 per hour. Her wages are subject to deductions for federal income t
> Assume a Social Security tax rate of 6.2% is applied to maximum earnings of $118,500 and a Medicare tax rate of 1.45% is applied to all earnings. Calculate the Social Security and Medicare taxes for the following situations: Cumul. Pay Before Curren
> Using the table in Figure 8-4 on pages 288 and 289, Figure 8-4: Determine the amount of federal income tax an employer should withhold weekly for employees with the following marital status, earnings, and withholding allowances: SINGLE Persons-W
> Rebecca Huang receives a regular salary of $2,600 a month and is paid 1½ times the regular hourly rate for hours worked in excess of 40 per week. (a) Calculate Huang’s overtime rate of pay. (b) Calculate Huang’s total gross weekly pay if she works 45 hou
> Ryan Lawrence’s regular hourly rate is $15. He receives 1½ times the regular rate for any hours worked over 40 a week and double the rate for work on Sunday. During the past week, Lawrence worked 8 hours each day Monday through Thursday, 10 hours on Frid
> The book balance in the checking account of Johnson Enterprises as of October 31 is $5,718. The bank statement shows an ending balance of $5,217. The following information is discovered by (1) comparing last month’s deposits in transit
> Based on the following information, prepare the weekly entries for cash receipts from service fees and cash short and over. A change fund of $100 is maintained. Cash Register Receipt Amount $268.50 237.75 Actual Cash Change Fund $100 Date Counted Apr
> Based on the following petty cash information, prepare (a) the journal entry to establish a petty cash fund, and (b) the journal entry to replenish the petty cash fund. On January 1, 20--, a check was written in the amount of $300 to establish a petty
> Based on the following bank reconciliation, prepare the journal entries: Carmen Lui Associates Bank Reconciliation July 31, 20-- Bank statement balance, luly 31 Add deposits in transit $3 3 16 80 $300 00 118 00 4 18 00 $3 73 4 80 Deduct outstanding
> What steps are followed in posting sales from the general journal to the general ledger?
> In a format similar to the following, indicate whether the action at the left will result in an addition to (+) or subtraction from (–) the ending bank balance or the ending checkbook balance. Ending Ending Bank Checkbook Balance B
> Based on the following information, prepare a check and stub: January 15, 20- $2,841.50 Date: Balance brought forward: Deposit: Check to: (from Exercise 7-2A) J. M. Suppliers $150.00 Office Supplies Sign your name Amount: For: Signature:
> Based on the following information, prepare a deposit ticket: Date: January 15, 20- $396.00 Currency: Coin: 23.20 Checks: No. 4-12 372.00 No. 80-318 127.00 No. 3-8 44.00
> A petty cash fund was established for $150. The following vouchers were issued during May: REQUIRED 1. Prepare the journal entry to establish the petty cash fund. 2. Record the vouchers in the petty cash record. Total and rule the petty cash record. 3.
> Match the following words with their definitions: 1. An endorsement where the payce simply signs on the back of the check a. signature card b. canceled check c. blank endorsement d. drawer c. restrictive endorscment f. drawce g. payce 2. An endorsem
> The capital account for Autumn Chou, including an additional investment, and a partial work sheet are shown below and on page 208. REQUIRED Prepare a statement of owner’s equity. GENERAL LEDGER AONE Autumn Chou, Capital MCONT 311 P
> Refer to the work sheet in Problem 6-7A for Megaffin’s Repairs. The trial balance amounts (before adjustments) have been entered in the ledger accounts provided in the working papers. If you are not using the working papers that accompa
> Page 206 shows a work sheet for Megaffin’s Repairs. No additional investments were made by the owner during the month. REQUIRED 1. Prepare an income statement. 2. Prepare a statement of owner’s equity. 3. Prepare a balance sheet.
> Using the following partial listing of T accounts, prepare closing entries in general journal form dated January 31, 20--. Then post the closing entries to the T accounts. Accum. Depr.- Del. Equip Wages Еxpense Bal. 1,800 Electricity Еxpense 185.1 5
> Using the following partial listing of T accounts, prepare closing entries in general journal form dated April 30, 20--. Then post the closing entries to the T accounts. Income Supplies Еxpense Bal. 500 Cash 101 Summary 313 524 Bal. 500 Accounts Gol
> Describe how each of the following accounts is used: (1) Sales, (2) Sales Tax Payable, (3) Sales Returns and Allowances, and (4) Sales Discounts.
> Set up T accounts for Major Advising based on the work sheet in Exercise 6-1A and the chart of accounts provided below. Enter the existing balance for each account. Prepare closing entries in general journal form. Then post the closing entries to the T a
> From the partial work sheet below, prepare a balance sheet. Major Advising Work Sheet (Partlal) For Month Ended January 31, 20 -- IIE MALANIS 1339 00 935 00 3 46 00 800 00 3500 00 1 Can 2 Acounts Recehable 3 Supplies 4 Prepald Insurance 5 omce Equip
> From the partial work sheet below, prepare a statement of owner’s equity, assuming no additional investment was made by the owner.
> Indicate with an “X” whether each account total should be extended to the Income Statement Debit or Credit or to the Balance Sheet Debit or Credit columns on the work sheet. Income Statement Balance Sheet Debit Cr
> From the adjustments columns in Exercise 5-9A, Exercise 5-9A: A partial work sheet for Jim Jacobs’ Furniture Repair is shown as follows. Indicate by letters (a) through (d) the four adjustments in the Adjustments columns of the work
> From the partial work sheet for Major Advising below, prepare an income statement.
> A partial work sheet for Jim Jacobs’ Furniture Repair is shown as follows. Indicate by letters (a) through (d) the four adjustments in the Adjustments columns of the work sheet, properly matching each debit and credit. Complete the Adju
> Two adjusting entries are in the following general journal. Post these adjusting entries to the four general ledger accounts. The following account numbers were taken from the chart of accounts: 141, Supplies; 219, Wages Payable; 511, Wages Expense; and
> Analyze each situation and indicate the correct dollar amount for the adjusting entry. 1. Amount of insurance expired is $970. (Balance Sheet) Prepaid Insurance (Income Statement) Insurance Expense TB 1,450 Bal. 2. Amount of unexpired insurance is
> Analyze each situation and indicate the correct dollar amount for the adjusting entry. 1. Ending inventory of supplies is $260. (Balance Sheet) Supplies (Income Statement) Supplies Expense TB 580 Bal. 2. Amount of supplies used is $230. (Balance She
> Describe the net effect of the four closing entries on the balance of the owner’s capital account. Where else is this same amount calculated?
> A depreciable asset was acquired for $6,840. The asset has an estimated useful life of six years (72 months) and no salvage value. Using the straight-line depreciation method, calculate the book value as of December 31, 20--.
> Delivery equipment was purchased for $7,200. The delivery equipment has an estimated useful life of four years (48 months) and no salvage value. Using the straight-line depreciation method, analyze the necessary adjusting entry as of December 31 (one mon
> The trial balance shows wages expense of $600. An additional $200 of wages was earned by the employees, but has not yet been paid. Analyze this adjustment for wages using T accounts, and then formally enter this adjustment in the general journal.
> A six-month liability insurance policy was purchased for $900. Analyze the required adjustment as of December 31 using T accounts, and then formally enter this adjustment in the general journal.
> The trial balance indicates that the supplies account has a balance, prior to the adjusting entry, of $320. A physical count of the supplies inventory shows that $90 of supplies remain. Analyze this adjustment for supplies using T accounts, and then form
> Annette Creighton opened Creighton Consulting. She rented a small office and paid a part-time worker to answer the phone and make deliveries. Her chart of accounts is as follows: Creighton’s transactions for the first month of business
> Joe Adams bought $500 worth of office supplies on account. The following entry was recorded on May 17. Find the error(s) and correct it (them) using the ruling method. On May 25, after the transactions had been posted, Adams discovered that the followin
> From the following trial balance taken after one month of operation, prepare an income statement, a statement of owner’s equity, and a balance sheet. TJ's Paint Service Trial Balance July 31, 20-- ACOUNT ACCDUNT DET BALANE CREDIT BA
> From the information in Exercises 4-4A and 4-5A, Exercises 4-4A and 4-5A: Diane Bernick has opened Bernick’s Consulting. Journalize the following transactions that occurred during January of the current year. Use the following journa
> Set up general ledger accounts using the chart of accounts provided in Exercise 4-4A. Exercise 4-4A: Diane Bernick has opened Bernick’s Consulting. Journalize the following transactions that occurred during January of the current year
> List the four steps for closing the temporary accounts.
> Diane Bernick has opened Bernick’s Consulting. Journalize the following transactions that occurred during January of the current year. Use the following journal pages: January 1–10, page 1, and January 11â€&
> Set up T accounts for each of the general ledger accounts needed for Exercise 4-2A and post debits and credits to the accounts. Exercise 4-2A: For each of the following transactions, list the account to be debited and the account to be credited in the
> For each of the following transactions, list the account to be debited and the account to be credited in the general journal. 1. Invested cash in the business, $5,000. 2. Paid office rent, $500. 3. Purchased office supplies on account, $300. 4. Received
> Prepare an income statement for Jay Pembroke for the month of April 20--.
> Label each of the following accounts as an asset (A), a liability (L), or owner’s equity (OE), using the following format: Item Account Classification Money in bank Office supplies Money owed Office chairs Net worth of owner Cash Su
> Refer to the trial balance in Problem 3-13A and to the analysis of the change in owner’s equity in Problem 3-14A. REQUIRED 1. Prepare an income statement for Kohl’s Home Repair for the month ended May 31, 20--. 2. Prepare a statement of owner’s equity f
> To determine the following information. Use the format provided below. 1. a. Total revenue for the month b. Total expenses for the month c. Net income for the month 2. a. Wilhclm Kohl's original investment in the business + Net income for the month
> Wilhelm Kohl started a business in May 20-- called Kohl’s Home Repair. Kohl hired a part-time college student as an assistant. Kohl has decided to use the following accounts for recording transactions: The following transactions occurre
> From the information in the trial balance presented for Juanita’s Delivery Service on page 76, prepare a balance sheet for Juanita’s Delivery Service as of September 30, 20--.
> Assuming that all entries have been posted, prepare correcting entries for each of the following errors. 1. The following entry was made to record the purchase of $700 in supplies on account: Supplies 142 700 Cash 101 700 2. The following entry was m
> Why is it important to total and verify the totals of the payroll register after the data for each employee have been entered?
> Jim Andrews opened a delivery business in March. He rented a small office and has a part-time assistant. His trial balance shows accounts for the first three months of business. Andrews’ transactions for the month of June are as follow
> Source documents trigger the analysis of events requiring an accounting entry. Match the following source documents with the type of information they provide. 1. Check stubs or check register 2. Purchase invoice from suppliers (vendors) a. A good or
