Prelim1Part2Ver2KEY - Part II Journal Entries(60 Points...

Info icon This preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Part II: Journal Entries (60 Points) Recording Adjusting and Closing Entries and Preparing a Balance Sheet and Income Statement Including Earnings per Share Problem 1, Part 1 . (20 Points) Record journal entries for the following transactions in the space provided below, as if today were December 1, 2006. In cases where no entry is required, please write "No entry required for this transaction" for your answer to grade correctly. Unless otherwise stated, assume the transaction takes place today (December 1, 2006). a. Borrowed $5,000 cash on a five year, 12 percent note payable, dated June 1, 2006 b. Purchased land for a future building site on credit, $12,000. c. Recorded sales revenue for 2006 totaling $61,000, including $7,000 cash and the balance on credit. d. Sold 650 additional shares of capital stock for $1 cash per share (par value = $1). e. Recognized $12,500 in remaining expenses for 2006, including $6,000 on credit. (Use “Remaining Expenses” account) f. Jack Little sells 50 shares to his Admin TA, Katie, for $12 per share. He purchased the shares for $15 per share. g. Collected accounts receivable, $8,500. h. Purchased additional assets, $6,750 cash (Use the “Remaining Assets” account). i. Paid accounts payable, $4,900. j. Purchased supplies on account for future use, $1,500. Problem 1, Part 2 (10 Points) Record adjusting journal entries for the following transactions in the space provided on the following page. In cases where no entry is required, please select the option "No entry required for this transaction" for your answer to grade correctly.
Image of page 1

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern