Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. the general ledger of zips storage at january 1, 2

The general ledger of Zips Storage at January 1, 2021, includes the following account balances:...

90.2K

Verified Solution

Question

Accounting

The general ledger of Zips Storage at January 1, 2021, includes the following account balances:

Accounts Debits Credits
Cash $ 24,900
Accounts Receivable 15,700
Prepaid Insurance 12,600
Land 151,000
Accounts Payable $ 7,000
Deferred Revenue 6,100
Common Stock 146,000
Retained Earnings 45,100
Totals $ 204,200 $ 204,200

The following is a summary of the transactions for the year:

1. January 9 Provide storage services for cash, $137,100, and on account, $53,700.
2. February 12 Collect on accounts receivable, $51,800.
3. April 25 Receive cash in advance from customers, $13,200.
4. May 6 Purchase supplies on account, $9,800.
5. July 15 Pay property taxes, $8,800.
6. September 10 Pay on accounts payable, $11,700.
7. October 31 Pay salaries, $126,600.
8. November 20 Issue shares of common stock in exchange for $30,000 cash.
9. December 30 Pay $3,100 cash dividends to stockholders.

11. Prepare a post-closing trial balance.

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