Complete the journey entry worksheet Note: there are multiple all the way up to
ID: 2330119 • Letter: C
Question
Complete the journey entry worksheet Note: there are multiple all the way up to 5 for examplePerformance Plastics Company (PPC) has been operating for three years. The beginning account balances are $39,508 7,750 8,900 5,700 116,800 209,880 52,800 52,500 102,080 150,880 194,15e Equipment Buildings Accounts Payable Notes Payable (due in three years) Common Stock During the year the company had the following summarized activities a Purchased equipment that cost $24.350: paid $5450 cash and signed a two-year note for the balance b Issued an additional 2,700 shares of common stock for $27000 cash c Borrowed $99,000 cash from a local bank, payable June 30. in two years. d Purchased supplies for $6.100 cash e Built an addition to the factory buildings for $68,000: paid $25.750 in cash and signed a three-year note for the balance 9.
Explanation / Answer
a Purchased equipment that cost $24350, paid $5450 cash and signed two-year note for the Balance Equipment $24,350 To Cash $5,450 To Notes Payable $18,900 (Being Equipment purchased partially on cash and partially by issuing note) b Issued an Additional 2700 shares of Common Stock for $27000 cash Cash $27,000 To Common Stock $27,000 (Being Common stock issued for cash) c Borrowed $99000 cash from a local bank payable June 30, in two years Cash $99,000 To Bank Loan $99,000 (Being Cash borrowed from bank) d Purchased Supplies for $6100 cash Supplies $6,100 To Cash $6,100 (Being Supplies purchased for cash) e Built an addition to the factory buildings for $68000, paid $25750 in cash and signed a three-year note for the Balance Factory Building $68,000 To Cash $25,750 To Notes Payable $42,250 (Being factory building purchased partially on cash and partially by issuing note) d Hired a new president to start January of next year. The contract was for $ 95000 for each full year worked No Journal Entry Required As none of the financial data is effected