Reference no: EM132460606

Analyzing and Recording

Required

Question 1. Prepare general journal entries to record these transactions (use account titles listed in part 2).

Question 2. Open the following ledger accounts-their account numbers are in parentheses (use the balance column format):

1. Cash (101);
2. Accounts Receivable (106);
3. Office Supplies (124);
4. Prepaid Insurance (128);
5. balances: Cash, $59

Check (2) Ending

Prepaid Rent (131); Office Equipment (163); Accounts Payable (201); K. Tanner, Capital (301); K. Tanner, Withdrawals (302); Services Revenue (403); and Utilities Expense (690). Post journal entries Accounts Receivable from part 1 to the ledger accounts and enter the balance after each posting.

Accounts Payable, $

Question 3. Prepare a trial balance as of April 30.

(3) Total deb

$1 19,490

Aracel Engineering completed the following transactions in the month of June.

Problem a. Jenna Aracel, the owner, invested $100,000 cash, office equipment with a value of $5,000, and

Problem 2-2A

$60,000 of drafting equipment to launch the company.

Preparing and pos

journal entries; pr

Problem b. The company purchased land worth $49,000 for an office by paying $6,300 cash and signing a long-trial balance term note payable for $42,700.

• C3 C4 A1
• The company purchased a portable building with $55,000 cash and moved it onto the land acquired in b.

Problem d. The company paid $3,000 cash for the premium on an 18-month insurance policy.

Problem e. The company completed and delivered a set of plans for a client and collected $6,200 cash.

Problem f. The company purchased $20,000 of additional drafting equipment by paying $9,500 cash and signing cpasled ist a long-term note payable for $10,500.

Problem g. The company completed $14,000 of engineering services for a client. This amount is to be received in 30 days.

Problem h. The company purchased $1, 150 of additional office equipment on credit.

Problem i. The company completed engineering services for $22,000 on credit.

Problem j. The company received a bill for rent of equipment that was used on a recently completed job. The $1,333 rent cost must be paid within 30 days.

Problem k. The company collected $7,000 cash in partial payment from the client described in transaction g.

Problem I. The company paid $1,200 cash for wages to a drafting assistant.

Problem m. The company paid $1, 150 cash to settle the account payable created in transaction h.

Problem n. The company paid $925 cash for minor maintenance of its drafting equipment.

Problem o. Jenna Aracel withdrew $9,480 cash from the company for personal use.

Problem p. The company paid $1,200 cash for wages to a drafting assistant.

Problem q. The company paid $2,500 cash for advertisements on the web during June.