Problem<\/b>– <\/b>Dana La Fontseeopened Pro Window Washing Inc. on July 1, 2012. During July<\/p>\n
the followingtransactions were completed.<\/p>\n
July 1- Issued 12,000shares of common stock for $12,000 cash.<\/p>\n
July 1- Purchasedused truck for $8,000, paying $2,000 cash and the balance on<\/p>\n
account.<\/p>\n
July 3 – Purchasedcleaning supplies for $900 on account.<\/p>\n
July 5 – Paid $1,800 cash on 1-year insurance policyeffective July 1.<\/p>\n
July 12 – Billedcustomers $3,700 for cleaning services.<\/p>\n
July 18 – Paid $1,000cash on amount owed on truck and $500 on amount owed on<\/p>\n
cleaning supplies.<\/p>\n
July 20 – Paid $2,000cash for employee salaries.<\/p>\n
July 21 – Collected $1,600 cash from customers billedon July 12.<\/p>\n
July 25 – Billed customers $2,500 for cleaning services.<\/p>\n
July 31 – Paid $290for maintenance of the truck during month.<\/p>\n
July 31 – Declared and paid $600 cash dividend.<\/p>\n
The chart of accountsfor Pro Window Washing contains the following accounts: Cash,<\/p>\n
Accounts Receivable,Supplies, Prepaid Insurance, Equipment, Accumulated Depreciation\u2014<\/p>\n
Equipment, AccountsPayable, Salaries and Wages Payable, Common Stock, Retained<\/p>\n
Earnings, Dividends,Income Summary, Service Revenue, Maintenance and Repairs Expense,<\/p>\n
Supplies Expense,Depreciation Expense, Insurance Expense, Salaries and Wages<\/p>\n
Expense.<\/p>\n
Instructions<\/b><\/p>\n
(a) Journalize theJuly transactions.<\/p>\n
(b) Post to theledger accounts. (Use T accounts.)<\/p>\n
(c) Prepare a trialbalance at July 31.<\/p>\n
(d) Journalize thefollowing adjustments.<\/p>\n
(1) Services providedbut unbilled and uncollected at July 31 were $1,700.<\/p>\n
(2) Depreciation onequipment for the month was $180.<\/p>\n
(3) One-twelfth ofthe insurance expired.<\/p>\n
(4) An inventorycount shows $320 of cleaning supplies on hand at July 31.<\/p>\n
(5) Accrued butunpaid employee salaries were $400.<\/p>\n
(e) Post adjustingentries to the T accounts.<\/p>\n
(f ) Prepare anadjusted trial balance.<\/p>\n
(g) Prepare theincome statement and a retained earnings statement for July and a classified<\/p>\n
balance sheet at July31.<\/p>\n
(h) Journalize andpost closing entries and complete the closing process.<\/p>\n
(i) Prepare a post-closing trialbalance at July 31.<\/p>\n","protected":false},"excerpt":{"rendered":"
Problem– Dana La Fontseeopened Pro Window Washing Inc. on July 1, 2012. During July the followingtransactions were completed. July 1- Issued 12,000shares of common stock for $12,000 cash. July 1- Purchasedused truck for $8,000, paying $2,000 cash and the balance Read More …<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-49410","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/49410","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/comments?post=49410"}],"version-history":[{"count":0,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/posts\/49410\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/media?parent=49410"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/categories?post=49410"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.benedictsol.com\/blogs\/wp-json\/wp\/v2\/tags?post=49410"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}