Reference no: EM133110056
Question - Sysco is a global leader in marketing and distributing food products to restaurants, health care and educational facilities, lodging establishments, and other customers who prepare meals away from home. The following transactions are typical of those that occurred in a recent year, but the amounts are simplified. (Dollars are in thousands.)
a) Borrowed $80,000 from a bank, signing a short-term note payable.
b) Provided $100,000 in service to customers, with $95,000 on the account and the rest received in cash.
c) Purchased plant and equipment for $130,000 in cash.
d) Paid employee wages of $1,000.
e) Received $410 on account from a customer.
f) Paid $4,000 cash for travel costs during the year.
g) Paid $8,200 cash on accounts payable.
h) Incurred $20,000 in utility expenses during the year, of which $15,000 was paid in cash and the rest owed on account.
Required -
a. For each of the above transactions, prepare journal entries.
b. Calculate the company's preliminary net income.
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