yaode3zy
Mar 4, 2009, 01:32 AM
Question:
In the general journal, on December 6, I got:
Salaries expense - 600 debit
cash - 600 credit
Salaries Payable- 1000 debit
cash- 1000 credit
Am I doin this right? How would I set this up for the Adjustment #1 for Accrued Salaries Payable $600?
On December 1, 2007, Wheeler Distributing Company had the following account balances.
Debits Credits
Cash $ 7,300 Accumulated Depreciation $ 2,200
Accounts Receivable 5,600 Accounts Payable 4,600
Merchandise Inventory 12,000 Salaries Payable 1,000
Supplies 1,200 Common stock 15,000
Equipment 22,000 Retained Earnings 25,300
$48,100 $48,100
During December the company completed the following summary transactions.
Dec. 6 Paid $1,600 for salaries due employees, of which $600 is for December and $1,000 is for November salaries payable.
8 Received $1,800 cash from customers in payment of account (no discount allowed).
10 Sold merchandise for cash $6,000. The cost of the merchandise sold was $4,000.
13 Purchased merchandise on account from King Co. $8,000, terms 2/10, n/30.
15 Purchased supplies for cash $2,000.
18 Sold merchandise on account $9,000, terms 1/10, n/30. The cost of the merchandise sold was $6,000.
20 Paid salaries $1,800.
23 Paid King Co. in full, less discount.
27 Received collections in full, less discounts, from customers billed on December 18.
Adjustment data:
1. Accrued salaries payable $600.
2. Depreciation $300 per month.
3. Supplies on hand $2,200.
Instructions
a. Journalize the December transactions.
b. Enter the December 1 balances in the ledger T accounts and post the December transactions. Use Cost of Goods Sold, Depreciation Expense, Salaries Expense, Sales, Sales Discounts, and Supplies Expense.
c. Journalize and post adjusting entries.
d. Prepare an adjusted trial balance.
(d) Totals $63,000
e. Prepare an income statement and a retained earnings statement for December and a classified balance sheet at December 31.
(e) Net income $ 610
In the general journal, on December 6, I got:
Salaries expense - 600 debit
cash - 600 credit
Salaries Payable- 1000 debit
cash- 1000 credit
Am I doin this right? How would I set this up for the Adjustment #1 for Accrued Salaries Payable $600?
On December 1, 2007, Wheeler Distributing Company had the following account balances.
Debits Credits
Cash $ 7,300 Accumulated Depreciation $ 2,200
Accounts Receivable 5,600 Accounts Payable 4,600
Merchandise Inventory 12,000 Salaries Payable 1,000
Supplies 1,200 Common stock 15,000
Equipment 22,000 Retained Earnings 25,300
$48,100 $48,100
During December the company completed the following summary transactions.
Dec. 6 Paid $1,600 for salaries due employees, of which $600 is for December and $1,000 is for November salaries payable.
8 Received $1,800 cash from customers in payment of account (no discount allowed).
10 Sold merchandise for cash $6,000. The cost of the merchandise sold was $4,000.
13 Purchased merchandise on account from King Co. $8,000, terms 2/10, n/30.
15 Purchased supplies for cash $2,000.
18 Sold merchandise on account $9,000, terms 1/10, n/30. The cost of the merchandise sold was $6,000.
20 Paid salaries $1,800.
23 Paid King Co. in full, less discount.
27 Received collections in full, less discounts, from customers billed on December 18.
Adjustment data:
1. Accrued salaries payable $600.
2. Depreciation $300 per month.
3. Supplies on hand $2,200.
Instructions
a. Journalize the December transactions.
b. Enter the December 1 balances in the ledger T accounts and post the December transactions. Use Cost of Goods Sold, Depreciation Expense, Salaries Expense, Sales, Sales Discounts, and Supplies Expense.
c. Journalize and post adjusting entries.
d. Prepare an adjusted trial balance.
(d) Totals $63,000
e. Prepare an income statement and a retained earnings statement for December and a classified balance sheet at December 31.
(e) Net income $ 610