ACC 300 Week 2 Problem Set 1

ACC/300 Week 2 Problem Set 1

P1-3A On June 1, Beardsley Service Co. was started with an initial investment in the

company of $22,100 cash. Here are the assets and liabilities of the company at June 30,

and the revenues and expenses for the month of June, its first month of operations:

Cash $ 4,600 Notes payable $12,000 Accounts receivable 4,000 Accounts payable 500

Service revenue 7,500 Supplies expense 1,000 Supplies 2,400 Maintenance and repairs expense 600 Advertising expense 400 Utilities expense 300 Equipment 26,000 Salaries and wages expense 1,400

In June, the company issued no additional stock, but paid dividends of $1,400.

 

 (a) Prepare an income statement and a retained earnings statement for the month of

 

June and a balance sheet at June 30, 2012.

(b) Briefly discuss whether the company’s first month of operations was a success. 

 

(c) Discuss the company’s decision to distribute a dividend.

P3-5A Towne Architects incorporated as licensed architects on April 1, 2012. During

the first month of the operation of the business, these events and transactions occurred:

Apr. 1 Stockholders invested $18,000 cash in exchange for common

stock of the corporation.

1 Hired a secretary-receptionist at a salary of $375 per week,

payable monthly.

2 Paid office rent for the month $900.

3 Purchased architectural supplies on account from Spring Green

Company $1,300.

10 Completed blueprints on a carport and billed client $1,900 for

services.

11 Received $700 cash advance from J. Madison to design a new

home.

20 Received $2,800 cash for services completed and delivered to

M. Svetlana.

30 Paid secretary-receptionist for the month $1,500.

30 Paid $300 to Spring Green Company for accounts payable due.

The company uses these accounts: Cash, Accounts Receivable, Supplies, Accounts Payable,

Unearned Service Revenue, Common Stock, Service Revenue, Salaries and Wages Expense,

and Rent Expense.

Instructions

 

(a) Journalize the transactions, including explanations.

(b) Post to the ledger T accounts.

(c) Prepare a trial balance on April 30, 2012.

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      ACC300 Week-2

      P1-3A
      On June 1, Beardsley Service Co. was started with an initial investment in the company of $22,100 cash. Here are the assets and liabilities of the company at June 30, and the …

    • ACC/300 Week 2 Problem Set 1

      P1-3AOn June 1, Beardsley Service Co. was started with an initial investment in the

      company of $22,100 cash. Here are the assets and liabilities of the company at …

    • ACC/300 Week 2 Problem Set 1

      P1-3A On June 1, Beardsley Service Co. was started with an initial investment in the

      company of $22,100 cash. Here are the assets and liabilities of the company at June 30,

    • ACC 300 Week 2 Problem Set 1

      P1-3AOn June 1, Beardsley Service Co. was started with an initial investment in the

      company of $22,100 cash. Here are the assets and liabilities of the company at …

    • ACC 300 Week 2 Problem Set 1

      P1-3A On June 1, Beardsley Service Co. was started with an initial investment in the

      company of $22,100 cash. Here are the assets and liabilities of the company at June 30,

    • Not rated

      Accounting

      Towne Architects incorporated as licensed architects on April 1, 2012. During
      the first month of the operation of the business, these events and transactions occurred:
      Apr. 1 Stockholders …

    • P3-5A Towne Architects incorporated as licensed architects on April 1, 2012. During

      the first month of the operation of the business, these events and transactions occurred:

      Apr. 1 Stockholders …

    • Towne Architects incorporated as licensed architects on April 1, 2012. During the first month of the operation of the business, these events and transactions occurred:

      Apr. 1 Stockholders …

    • Towne Architects incorporated as licensed architects on April 1, 2012. During
      the first month of the operation of the business, these events and transactions occurred:
      Apr. 1 Stockholders invested …

    • Complete the following problem sets in Ch. 1 & 3 of Financial Accounting:

      P1-3A

      On June 1, Beardsley Service Co. was started with an initial investment in the company of $22,100 cash. …