Reference no: EM131116674
Problem 3-13A Journal Entries and a Balance Sheet
Krittersbegone Inc. was organized on July 1 by a group of technicians to provide termite inspec- tions and treatment to homeowners and small businesses. The following transactions occurred during the first month of business:
July 2: Received contributions of $3,000 from each of the six owners in exchange for shares of stock.
July 3: Paid $1,000 rent for the month of July.
July 5: Purchased flashlights, tools, spray equipment, and ladders for $18,000, with a down payment of $5,000 and the balance due in 30 days.
July 17: Paid a $200 bill for the distribution of door-to-door advertising.
July 28: Paid August rent and July utilities to the landlord in the amounts of $1,000 and
$450, respectively.
July 30: Received $8,000 in cash from homeowners for services performed during the month.
In addition, billed $7,500 to other customers for services performed during the month. Billings are due in 30 days.
July 30: Paid commissions of $9,500 to the technicians for July.
Required
1. Prepare journal entries on the books of Krittersbegone to record the transactions entered into during the month. Ignore depreciation expense.
2. Prepare a classified balance sheet dated July 31. From the balance sheet, what cash inflow and what cash outflow can you predict in the month of August? Who would be interested in the cash flow information? Why?
|
Atomic radium and the least amount of attraction
: A. Cesium is the most active group 1 metal, because its valence electron is held more tightly than the others in the same group.
|
|
President wishes to increase government spending
: Suppose the president wishes to increase government spending on infrastructure by $10 billion. Then according to PAYGO rules,
|
|
Find the mass of the ball in grams
: The racquet exerts a force of 534 N on the ball for 3.84 ms, giving it a final velocity of 46.2 m/s. Using these data, find the mass of the ball in grams.
|
|
What is probability that store will have to refund money
: To boost holiday sales, a jewlery store in Bismark, North Dakota is advertizing the following promotion: "if more than 7 inches of cumulative snow fall on December 14, 25, 26, 27, 28you get your money back on all purchases made on December 17." What ..
|
|
Journal entries and a balance sheet
: Krittersbegone Inc. was organized on July 1 by a group of technicians to provide termite inspec- tions and treatment to homeowners and small businesses. The following transactions occurred during the first month of business:
|
|
Which visible wavelengths are missing in the reflected light
: A coating of film n = 1.33 on glass slabs (n = 1.6) is 8.4Af-10Acˆ'5cm thick. If white light is incident normally, which visible wavelengths are missing in the reflected light?
|
|
Organization operational effectiveness
: Define Culture and explain why this concept is so important to an organization's operational effectiveness and an organization's ability to implement strategy.
|
|
Coverage be damaging to objective outcome of criminal trial
: In what ways might pretrial news coverage be damaging to the objective outcome of a criminal trial? Given the emphasis that society places on freedom of the press and freedom of speech, do you believe that judges should be allowed to issue gag rules ..
|
|
Calculate the new wacc and briefly discuss in your report
: Calculate the New WACC and briefly discuss in your report if this new WACC and capital structure might signal the market and investors
|