homework assignment 1:1 joseph tegali opened a business. record

Homework Assignment 1:1

Joseph Tegali opened a business. Record the transactions for the first month of operations. A. Mr. Tegali invested $20,000 cash in the business. B. Purchased equipment and paid cash, $4,000. C. Purchased additional equipment on account, $5,000. D. Purchased furniture and promised to pay $3,000 in 30 days. E. Paid $2,000 on amount due for equipment.

[Paid means paid in cash.]

Assets = Liabilities + Equity

Cash Equipment Furniture A/P Capital

A

B

C

D

E 14,000 9,000 3,000 6,000 20,000


Elizabeth Fagani opened a business. Record the transactions for the first month of operations. A. Ms. Fagani invested $30,000 cash in the business. B. Purchased a computer on account, $15,000. C. Purchased a car for $28,000. Paid $8,000, balance due in 30 days. D. Purchased a second computer on account, $9,000. E. Made $5,000 payment on amount due on car.


Cash Computer Car A/P Capital

A

B

C

D

E 17,000 24,000 28,000 39,000 30,000


Romeo Mapena opened a business. Record the transactions for the first month of operations of Mapena Company. A. Mr. Mapena invested $50,000 cash in the business. B. Purchased supplies on account, $3,000. C. Purchased equipment, $16,000. (Paid in cash) D. Purchased a $23,000 truck; paid $10,000, balance due 30 days. E. Bought furniture and paid cash, $7,000. F. Made $5,000 payment on amount due on truck. G. Purchased additional furniture on account, $4,000. H. Paid in full amount due for supplies, $3,000.


Cash Supplies Equip. Truck Furniture A/P Capital

A

B

C

D

E

F

G

H 9,000 3,000 16,000 23,000 11,000 12,000 50,000

Prepare a balance sheet for Mapena Company on December 31, 2011.

Balance Sheet


Julie Skagit opened a business in July 2011. Record the transactions for the month. A. Owner invested $40,000 cash in the business. B. Provided services and collected cash, $10,000. C. Provided services on account, $7,000. D. Collected $2,000 of amount due on account from transaction C. E. Paid rent for the month, $5,000. F. Received bill for utilities, but did not pay, $2,000. G. Paid wages for the period, $4,000. H. Made partial payment on amount due for utilities from transaction F, $1,000. I. The owner withdrew $16,000.


Cash Accounts

Receivable Accounts Payable

Skagit, Capital

Skagit, Drawing

Service revenue

Rent expense

Utilities expense

Wages expense

A

B

C

D

E

F

G

H

I 26,000 5,000 1,000 40,000 (16,000) 17,000 (5,000) (2,000) (4,000)

Homework Assignment 1:4 (Continued)

Prepare income statement, statement of owner’s equity and balance sheet for the month ended July 31, 2011 for Skagit Company. [Net income, $6,000; ending capital, $30,000; total assets, $31,000]

Income Statement

Statement of Owner’s Equity

Balance Sheet


Hans Varisi opened a business in March, 2011. Record the transactions for the month. A. Owner invested $35,000 cash in the business. B. Provided services on account, $8,000. C. Purchased furniture on account, $5,000. D. Collected $2,000 on account. E. Paid $3,000 on account. F. Received bill for utilities, but did not pay, $5,000. G. Made payment on account, $1,000. H. Performed services on account, $9,000. I. Customers paid $6,000 on account. J. Received bill for advertising, but did not pay, $4,000. K. Paid $7,000 on account.


Cash Accounts

Receivable Furniture Accounts Payable

Varisi, Capital

Service revenue

Advertising expense

Utilities expense

A

B

C

D

E

F

G

H

I

J

K 32,000 9,000 5,000 3,000 35,000 17,000 (4,000) (5,000)


Prepare income statement, statement of owner’s equity and balance sheet for the month ended March 31, 2011 for Varisi Company. [Net income, $8,000; ending capital, $43,000; total assets, $46,000]

Income Statement


Balance Sheet


Richard Harsusi opened a business in January 2011. Record the transactions for the month. A. Owner invested $30,000 cash in the business. B. Purchased supplies on account, $2,000. C. Paid cash to purchase furniture, $14,000. D. Provided services and collected cash, $8,000. E. Provided services and customer promised to pay in 30 days, $12,000. F. Customer from transaction E made partial payment on account, $5,000. G. Paid amount due for supplies in transaction B, $2,000. H. Paid wages for the month, $6,000. I. Received telephone bill but did not pay, $3,000. J. Paid insurance for the period, $7,000. K. The owner withdrew $1,000.


Cash Accounts

Receivable Supplies Furniture Accounts Payable

Harsusi, Capital

Harsusi, Drawing

Service revenue

Wages expense

Insurance expense

Telephone expense

A

B

C

D

E

F

G

H

I

J

K

13,000 7,000 2,000 14,000 3,000 30,000 (1,000) 20,000 (6,000) (7,000) (3,000)


Prepare income statement, statement of owner’s equity and balance sheet for the month ended January 31, 2011 for Harsusi Company. [Net income, $4,000; ending capital, $33,000; total assets, $36,000]

Income Statement


Balance Sheet


Helen Gresi opened a business. Record the transactions for the first month of operations. A. Owner invested $20,000 cash in the business. B. Provided services and collected cash, $12,000. C. Paid insurance for the month, $6,000. D. Paid cash to purchase supplies, $11,000. E. Provided services on account, $10,000. F. Customer made payment on account, $4,000. G. Purchased furniture on account, $3,000. H. Paid wages for the month, $5,000. I. Paid amount due for furniture in transaction G, $3,000. J. Received telephone bill but did not pay, $1,000. K. The owner withdrew $2,000.


Cash Accounts

Receivable Supplies Furniture Accounts Payable

Gresi, Capital

Gresi, Drawing

Service revenue

Wages expense

Insurance expense

Telephone expense

A

B

C

D

E

F

G

H

I

J

K

9,000 6,000 11,000 3,000 1,000 20,000 (2,000) 22,000 (5,000) (6,000) (1,000)


Record the transactions for the Edith Kaska Company in T-accounts.

A. Edith Kaska invested cash in business, $50,000.

Cash Kaska, Capital

B. Purchased equipment and paid cash, $7,000.

Equipment Cash

C. Purchased supplies on account, $3,000.

Supplies Accounts payable

D. Made payment on accounts payable, $1,000.

Accounts payable Cash

E. Edith Kaska withdrew $15,000.

Kaska, Drawing Cash


Record the transactions in T-accounts.

A. Earned revenue and collected cash, $12,000.

Cash Service revenue

B. Earned revenue on account, $4,000.

Accounts receivable Service revenue

C. Customer made payment on account, $2,000.

Cash Accounts receivable


Record the transactions in T-accounts.

A. Paid salaries of employees, $9,000. Salary expense Cash

B. Received bill for advertising but did not pay it, $2,000.

Advertising expense Accounts payable

C. Made payment on account, $1,000.

Accounts payable Cash


Carol Rundi opened a business. Record the transactions for the month in T-accounts. Calculate the ending balance in each account.

A Owner invested cash in business, $20,000 G Paid wages for month, $16,000

B Purchased equipment on account, $12,000 H Received utility bill, will pay later, $11,000.

C Made payment on account, $4,000 I Performed services on account, $28,000

D Purchased supplies paid cash, $1,000 J Made payment on account, $13,000

E Borrowed $60,000 on note payable K Collected cash on account, $15,000

F Earned revenue and collected cash, $22,000 L Owner withdrew $8,000 [Cash, $75,000] [A/R, $13,000] [Total assets, $101,000] [A/P, $6,000] [Net income, $23,000] [Ending cap, $35,000]

ASSETS = LIABILITIES + EQUITY

Cash Accounts rec. Accounts pay. Rundi, capital Service revenue

Equipment Note payable Rundi, drawing Wages expense

Supplies Utilities expense


Albert Yareba opened a business in June 2011. Record the June transactions for Yareba Company in T-accounts. Calculate the ending balance in each account.

A Owner invested cash in business, $30,000 G Purchased equipment on account, $24,000

B Paid rent for month, $9,000 H Collected $1,000 from credit customer

C Earned revenue and collected cash, $13,000 I Purchased supplies and paid cash, $6,000

D Performed services on account, $31,000 J Made payment on account, $7,000

E Received bill for advertising, $18,000 K Collected cash on account, $3,000

F Borrowed $20,000 on note payable L Owner withdrew $5,000 [Cash, $40,000] [A/R, $27,000] [Total assets, $97,000] [A/P, $35,000] [Net income, $17,000] [Ending cap, $42,000]


Cash Accounts rec. Accounts pay. Yareba, capital Service revenue

Equipment Note payable Yareba, drawing Rent expense

Supplies Advertising exp.


Prepare the trial balance, income statement, statement of owner’s equity and balance sheet for Yareba Company for the month ended June 30, 2011. Use the amounts from the previous problem.

Trial Balance

Income Statement


Balance Sheet


Ben Riantana opened a business. Record the transactions for the month in T-accounts. Calculate the ending balance in each account.

A Owner invested cash in business, $30,000 G Earned revenue and collected cash, $15,000

B Purchased truck on account, $18,000 H Received advertising bill, $7,000, pay later.

C Performed services on account, $17,000 I Borrowed $20,000 on note payable

D Made payment on account, $6,000 J Made payment on account, $3,000

E Purchased supplies paid cash, $2,000 K Collected cash on account, $5,000

F Paid insurance for month, $9,000 L Owner withdrew $4,000 [Cash, $46,000] [A/R, $12,000] [Total assets, $78,000] [A/P, $16,000] [Net income, $16,000] [Ending cap, $42,000]


Cash Accounts rec. Accounts pay. Riantana,

capital Service revenue

Truck Note payable Riantana, draw Insurance expense



Mary Holma opened a business in June 2011. Record the transactions for Holma Company in T-accounts. Calculate the ending balance in each account.

A Owner invested cash in business, $40,000 G Paid rent for month, $7,000

B Purchased supplies and paid cash, $8,000 H Received bill for advertising, $15,000

C Purchased equipment on account, $14,000 I Collected $13,000 from credit customer

D Performed services on account, $22,000 J Made payment on account, $10,000

E Earned revenue and collected cash, $19,000 K Collected cash on account, $5,000

F Borrowed $10,000 on note payable L Owner withdrew $7,000 [Cash, $55,000] [A/R, $4,000] [Total assets, $81,000] [A/P, $19,000] [Net income, $19,000] [Ending cap, $52,000]


Cash Accounts rec. Accounts pay. Holma, capital Service revenue

Equipment Note payable Holma, drawing Rent expense



Prepare the trial balance, income statement, statement of owner’s equity and balance sheet for Holma Company for the month ended June 30, 2011. Prepare the trial balance for Holma Company.

Prepare the income statement for Holma Company.

Prepare the statement of owner’s equity for Holma Company.

Prepare the balance sheet for Holma Company.


Henry Walser opened a business in April 2011. Record the transactions for Walser Company in T-accounts. Calculate the ending balance in each account.

A Owner invested cash in business, $50,000 G Received bill for utilities, $11,000

B Earned revenue and collected cash, $22,000 H Performed services on account, $7,000

C Purchased equipment on account, $18,000 I Collected $5,000 from credit customer

D Paid wages for month, $12,000 J Made payment on account, $6,000

E Borrowed $17,000 on note payable K Collected cash on account, $1,000

F Purchased supplies and paid cash, $8,000 L Owner withdrew $3,000 [Cash, $66,000] [A/R, $1,000] [Total assets, $93,000] [A/P, $23,000] [Net income, $6,000] [Ending cap, $53,000]


Cash Accounts rec. Accounts pay. Walser, capital Service revenue

Equipment Note payable Walser, drawing Utilities expense

Supplies Wages expense


Prepare the trial balance, income statement, statement of owner’s equity and balance sheet for Walser Company for the month ended April 30, 2011. Prepare the trial balance for Walser Company.

Prepare the income statement for Walser Company.

Prepare the statement of owner’s equity for Walser Company.

Prepare the balance sheet for Walser Company.

Chart of Accounts

Current assets

101 Cash

111 Accounts receivable

115 Inventory

121 Supplies

133 Prepaid rent

135 Prepaid insurance

Long-term assets

151 Land

161 Building

162 Accumulated depreciation – Building

171 Equipment (Car, Computer, name of depreciable asset)

172 Accumulated depreciation – Equipment (name of depreciable asset) Current liabilities

202 Accounts payable

211 Sales tax payable

215 Notes payable – Short-term Long-term liabilities

251 Notes payable – Long-term

Owner’s Equity

301 (Owner name), capital

302 (Owner name), drawing Revenue accounts for a service business

401 Service revenue

Expenses for all businesses

521 Salary and wages expense

523 Rent expense

525 Insurance expense

531 Advertising expense

533 Repair expense

535 Telephone expense

541 Utilities expense

545 Supplies expense

547 Payroll tax expense

551 Depreciation Expense

555 Bank credit card expense

561 Cash short and over

Revenue accounts for a merchandising business

401 Sales

402 Sales returns and allowances

403 Sales discounts Additional expense accounts for a merchandising business

501 Purchases

502 Purchases returns and allowances

503 Purchases discounts

504 Freight-in

Homework Assignment 3:1 Rachael Miyako began Miyako Company in May 2011. Record the transactions in the general journal. Use the chart of accounts.

May 1 Rachael Miyako invested cash in business, $10,000 May 5 Performed services on account, $6,000 May 7 Paid salaries for the month, $3,000 May 8 Paid rent for the month, $4,000 May 12 Purchased supplies on account, $7,000 May 15 Performed services and collected cash, $9,000 May 21 Paid cash on account, $2,000 May 26 Paid cash for equipment, $8,000 May 28 Collected cash on account, $5,000

Date Account names Debit Credit


Post the journal entries for Miyako Company to the general ledger (T-accounts). [Cash, $7,000] [A/R, $1,000] [Total assets, $23,000] [A/P, $5,000] [Net income, $8,000] [Ending capital, $18,000]


Prepare the trial balance for Miyako Company.

Prepare the income statement for Miyako Company.

Prepare the statement of owner’s equity for Miyako Company.

Prepare the balance sheet for Miyako Company.

Homework Assignment 3:2 Tony Jerung began Jerung Company in June 2011. Record the transactions in the general journal. Use the chart of accounts. June 1 Owner invested cash in business, $20,000 June 4 Earned revenue and collected cash, $15,000 June 8 Paid wages for month, $9,000 June 9 Performed services on account, $12,000 June 11 Purchased equipment on account, $8,000 June 13 Received bill for utilities, $7,000, did not pay June 24 Collected $4,000 on account June 25 Made payment on account, $3,000 June 26 Owner withdrew $2,000



Post the journal entries for Jerung Company to the general ledger (T-accounts). [Cash, $25,000] [A/R, $8,000] [Total assets, $41,000] [A/P, $12,000] [Net income, $11,000] [Ending cap, $29,000]


Prepare the trial balance for Jerung Company.

Prepare the income statement for Jerung Company.

Prepare the statement of owner’s equity for Jerung Company.

Prepare the balance sheet for Jerung Company.


Howard Canela began Canela Company in July 2011. Record the transactions in general journal. Use the chart of accounts. July 1 Howard Canela invested cash in business, $27,000 July 2 Performed services on account, $12,000 July 4 Received bill for advertising, $7,000, did not pay July 6 Paid utilities for the month, $3,000 July 7 Performed services and collected cash, $18,000 July 10 Collected cash on account, $5,000 July 14 Paid wages for the month, $4,000 July 15 Paid cash on account, $1,000 July 16 Purchased building, $10,000; paid $7,000 cash, balance due 90 days July 17 Purchased computer, $3,000 and equipment, $5,000, on account July 22 Purchased supplies, $1,000 and furniture, $4,000, paid $2,000 in

cash, balance due in 30 days. July 23 Collected cash on account, $6,000 July 25 Paid cash on account, $2,000 July 26 Received, but did not pay, bill for rent, $11,000 July 27 Howard Canela withdrew $9,000



Post the journal entries for Canela Company to the general ledger (T-accounts). [Cash, $28,000] [A/R, $1,000] [Total assets, $52,000] [A/P, $29,000] [Net income, $5,000] [Ending capital, $23,000]


Prepare the trial balance for Canela Company.

Prepare the income statement for Canela Company.

Prepare the statement of owner’s equity for Canela Company.

Prepare the balance sheet for Canela Company.

Homework Assignment 3:4 George Wyandot began Wyandot Company in August 2011. Record the transactions in the general journal. Use the chart of accounts. August 1 Owner invested cash in business, $8,000 August 3 Received bill for repairs, $1,000, did not pay August 5 Paid wages for month, $4,000 August 7 Purchased building on account, $20,000 August 11 Earned revenue and collected cash, $14,000 August 15 Performed services on account, $6,000 August 23 Collected $4,000 on account August 25 Made payment on account, $10,000 August 29 Owner withdrew $3,000



Post the journal entries for Wyandot Company to the general ledger (T-accounts). [Cash, $9,000] [A/R, $2,000] [Total assets, $31,000] [A/P, $11,000] [Net income, $15,000] [Ending cap, $20,000]


Prepare the trial balance for Wyandot Company.

Prepare the income statement for Wyandot Company.

Prepare the statement of owner’s equity for Wyandot Company.

Prepare the balance sheet for Wyandot Company.


Leslie Jakati began Jakati Company in April 2011. Record transactions in general journal. Use the chart of accounts. April 1 Owner invested cash in business, $32,000 April 2 Performed services on account, $14,000 April 4 Received bill for electricity, $3,000, did not pay April 6 Paid insurance for the month, $6,000 April 7 Performed services and collected cash, $22,000 April 10 Collected cash on account, $4,000 April 14 Paid wages for the month, $8,000 April 15 Purchased land, $50,000; paid $17,000 cash, balance due 90 days April 16 Paid cash on account, $12,000 April 17 Purchased building, $21,000 and furniture, $7,000, on account April 22 Purchased equipment, $2,000 and computer, $5,000, paid $1,000 in

cash, balance due in 30 days. April 23 Collected cash on account, $9,000 April 25 Paid cash on account, $3,000 April 26 Received, but did not pay, bill for advertising, $9,000 April 27 Owner withdrew $11,000



Post the journal entries for Jakati Company to the general ledger (T-accounts). [Cash, $9,000] [A/R, $1,000] [Total assets, $95,000] [A/P, $64,000] [Net income, $10,000] [Ending capital, $31,000]


Prepare the trial balance for Jakati Company.

Prepare the income statement for Jakati Company.

Prepare the statement of owner’s equity for Jakati Company.

Prepare the balance sheet for Jakati Company.


Record correcting journal entry. See Lesson in Classroom Exercises.

A. Paid rent for the month, $500

Description Account names Debit Credit

Proper entry

Entry as recorded

Advertising expense 500

Cash 500

Correcting entry

B. Purchased supplies on account, $300


Proper entry

Entry as recorded

Supplies 300

Cash 300

Correcting entry

C. Purchased furniture on account, $1,000


Proper entry

Entry as recorded

Furniture 800

Accounts payable 800

Correcting entry

D. Paid rent, $1,200


Proper entry

Entry as recorded

Rent expense 1,500

Cash 1,500

Correcting entry

E. Purchased furniture on account, $500


Proper entry

Entry as recorded

Furniture 700

Cash 700

Correcting entry

F. Paid advertising, $900


Proper entry

Entry as recorded

Advertising expense 400

Accounts payable 400

Correcting entry


Identify the type of error. See Lesson in Classroom Exercises.

4738.35 6453.81 7463.23

The bookkeeper added the column of numbers and calculated a total of 18,637.39. What type of error occurred?

Slide Transposition Neither

Show your work

123.16 845.21 16.43

The bookkeeper added the column of numbers and calculated a total of 1,132.67. What type of error occurred? Slide Transposition Neither

Show your work

87.46 42.98 58.76

The bookkeeper added the column of numbers and calculated a total of 197.44. What type of error occurred? Slide Transposition Neither

Show your work

homework assignment 1:1 joseph tegali opened a business. record

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