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12/3 Paid Cash for a computer $3,000. Computer is expected to remain in service for 5 years.
do i just credit cash for 3000 and debt equipment for 3000?
do i need to do a journal entry for depreciation and all of that?
or do i just wait until the endof the year and do an adjusting entry?
12/4 purchased office furniture on account 3600. furniture should last 5 years.
I also have a list of adjusting entrys that need to be done. not to sure how to do them
1. Accured service revenue 400(earned but payment would be received until next period
4. Accured 1/3 of secretarys monthly salary(earned but not paid until next period.(JE info is Hired
secretary to be paid 1500 on the 20th day of each month...it happened on 12/21)
• 2 years ago
Additional Details
12/2—Received $7,000 cash from Schulz. Issued common stock to her.
12/3—Paid cash for a Dell computer, $3,000. The computer is expected to remain in service for
five years.
12/4—Purchased office furniture on account, $3,600. The furniture should last for five years.
12/9—Performed tax service for a client and received cash for the full amount of $800.
12/21—Received $900 in advance for tax work to be performed evenly over the next 30 days.
12/21—Hired a secretary to be paid $1,500 on the 20th day of each month. (Note: this is not a
transaction to journalize at this point. The information will be used to accrue salary on 12/31.
A. Accrued service revenue, $400. (Earned, but payment won't be received until next period)
B. 1/3 of the service revenue collected in advance on December 21 has now been earned.
C. Supplies still on hand at the end of month, $100.
D. Depreciation expense—equipment, $50; furniture, $60.
E. Accrued 1/3 of the secretary’s monthly salary. (Earned, but won't be paid until next period)
2 years ago
12/4 purchased office furniture on account 3600. furniture should last 5 years
Dr Office Furn. $3,600
Cr AP $3,600
1. Accured service revenue 400 (earned but payment would be received until next period
Dr AR $400
Cr Service revenue $400
4. Accured 1/3 of secretarys monthly salary(earned but not paid until next period.(JE info is Hired
secretary to be paid 1500 on the 20th day of each month...it happened on 12/21)
Dr Salaries expense $500
Cr Salaries payable $500
12/9—Performed tax service for a client and received cash for the full amount of $800
Dr Cash $800
Cr Service revenue $800
12/21—Received $900 in advance for tax work to be performed evenly over the next 30 days
Dr Cash $900
Cr Unearned revenue $900