ACCT 212 Week 2 Homework

$20.00

Institution	ACCT 212 Financial Accounting
Contributor	Jessica Brown

Description

Question: Green Wave Company plans to own and operate a storage rental facility.

Required:

For the first month of operations, the company had the following transactions. For each transaction, describe the dual effect on the accounting equation. For example, in the first transaction, (1) assets increase and (2) stockholders’ equity increases.

Question: Terrapin Company engages in the following external transactions for November.

Purchase equipment in exchange for cash of $22,900.
Provide services to customers and receive cash of $5,400.
Pay the current month's rent of $1,200.
Purchase office supplies on account for $900.
Pay employee salaries of $1,900 for the current month.

Required:

Record the transactions. Terrapin uses the following accounts: Cash, Supplies, Equipment, Accounts Payable, Service Revenue, Rent Expense, and Salaries Expense. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)

Question: Consider the recorded transactions below.

Required:

Post each transaction to T-accounts and compute the ending balance of each account. The beginning balance of each account before the transactions is: Cash, $3,300; Accounts Receivable, $4,100; Supplies, $390; Accounts Payable, $3,400; Deferred Revenue, $290. Service Revenue and Advertising Expense each have a beginning balance of zero.

Question: Below is the complete list of accounts of Cobras Incorporated and the related balance at the end of March. All accounts have their normal debit or credit balance. Supplies, $1,000; Buildings, $46,000; Salaries Payable, $500; Common Stock, $26,000; Accounts Payable, $1,750; Utilities Expense,

$2,800; Prepaid Insurance, $1,200; Service Revenue, $18,600; Accounts Receivable, $3,300; Cash, $2,600; Salaries Expense, $5,500; Retained Earnings, $15,550.