On April 1, Jiro Nozomi created a new travel agency. Adventure Travel. The following transactions...

70.2K

Verified Solution

Question

Accounting

image
On April 1, Jiro Nozomi created a new travel agency. Adventure Travel. The following transactions occurred during the company's first month. Apeil 2 Nozomi invested $30,000 cash and conputer equipent worth $20,000 in the company in exchange for its common stock. April 3 The coepany rented furnished office space by paying $1,800 cash for the first month's (April) rent. April 4 The company purchased $1,000 of office supplies for cash. April 10 The conpany paid $2,400 cash for a 12-month insurance policy. Coverage begins on April 11. April 14 The coepany paid \$1, 600 cash for two weeks" salaries earned by eeployees. April 24 The company collected $,000 cash for coenissions revenue. April 28 The coepany paid $1,600 cash for two weeks' salaries earned by enployees. April 29 The conpany paid $350 cash for minor repairs to computer equipent. Agril 30 The conpany paid $750 cash for this month's telephone bill. April 30 The compary paid $1, see cash in dividends: The company's chart of accounts follows. Use the following information to prepare adjusting entries: a. Prepaid insurance of $133 expired this month. b. At the end of the month, $600 of office supplies are still available. c. This month's depreciation on computer equipment is $5,500. d. Employees earned $420 of unpaid and unrecorded salaries as of month-end. On April 1, Jiro Nozomi created a new travel agency. Adventure Travel. The following transactions occurred during the company's first month. Apeil 2 Nozomi invested $30,000 cash and conputer equipent worth $20,000 in the company in exchange for its common stock. April 3 The coepany rented furnished office space by paying $1,800 cash for the first month's (April) rent. April 4 The company purchased $1,000 of office supplies for cash. April 10 The conpany paid $2,400 cash for a 12-month insurance policy. Coverage begins on April 11. April 14 The coepany paid \$1, 600 cash for two weeks" salaries earned by eeployees. April 24 The company collected $,000 cash for coenissions revenue. April 28 The coepany paid $1,600 cash for two weeks' salaries earned by enployees. April 29 The conpany paid $350 cash for minor repairs to computer equipent. Agril 30 The conpany paid $750 cash for this month's telephone bill. April 30 The compary paid $1, see cash in dividends: The company's chart of accounts follows. Use the following information to prepare adjusting entries: a. Prepaid insurance of $133 expired this month. b. At the end of the month, $600 of office supplies are still available. c. This month's depreciation on computer equipment is $5,500. d. Employees earned $420 of unpaid and unrecorded salaries as of month-end

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students