(35 marks) PENULTIMATE began business on December 1, 2019. Its December transactions are: Dec. 1...
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Accounting
(35 marks)
PENULTIMATE began business on December 1, 2019. Its December transactions are:
Dec. 1 Invested $40,000 in the business in exchange for common stock.
2 Paid $2,400 cash for December rent.
2 Purchased $2,160 of supplies on account.
3 Purchased $19,000 of office equipment; paying $4,700 cash with the balance due in 30 days.
14 Paid $3,600 cash for assistants wages for two weeks work.
20 Performed consulting services for $6,000 cash
30 Billed clients $14,400 for December consulting services
31 Paid $2,800 cash for dividends
Required:
a.
Record these transactions in journal entry form and prepare the unadjusted trial balance.10 marks
b.
Journalize the following adjusting entries at December 31:5 marks
Supplies available at December 31 are $1,440.
Accrued wages payable at December 31 are $540
Depreciation for December is $240.
PENULTIMATE has spent 30 hours on a tax fraud case during December. When completed in January, his work will be billed at $175 per hour. (Use Fees Receivable)
Prepare the adjusted trial balance8 marks
c.
Prepare the underlying financial statements of I/S(4 marks)and B/S(8 marks)
only need question c, please use OA OL Non-OL (FL) Non-OA (or FA) EQ and NOA NNO EQ
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