Bob Night opened The General Favorite Fishing Hole. The fishing camp is open fro
ID: 2372649 • Letter: B
Question
Bob Night opened The General Favorite Fishing Hole. The fishing camp is open from April through September and attracts many famous college basketball coaches during the off season. Guests typically register for one week, arriving on Sunday afternoon and returning home the following Saturday afternoon. The registration fee includes room and board, the use of fishing boats, and professional instruction in fishing techniques. The chart of accounts for the camping operations is provided below. The General's Favorite Fishing Holes Charts of Accounts Assets 101 Cash 142 Office supplies 144 food supplies 145 preparid insurance 181 fishing boats 181.2 accum. depr. fishing boats Liabilities 202 accounts payable 219 wages payable owner's equity 311 bob night, capital 312 bob night, drawing 313 income summary revenues 401 registration fees expenses 511 wages expense 521 rent expense 523 office supplies expense 524 food supplies expense 525 telephone expense 533 utilities expense 535 insurance expense 536 postage expense 542 depr. exp. fishing boats The following transactions took place during April 20---- Apr 1 night invested cash in business, 90,000 Apr 1 paid insurance premium for camping season, 9,000 Apr 2 paid rent for lodge and campgrounds forthemonth of apr 40,000 Apr 2 deposited registration fees, 35,000 Apr 2 purchased ten fishing boats on account for 60,000. The boats have estimated useful lives of five years, at which time they will be donated to a local day camp. arrangement were made to pay for the boats in July. Apr 3 purhcased food supplies from acme super market on acount, 7,000 Apr 5 purchase office supplies from gordon office supplies on account, 500 Apr 7 deposited registration fees, 38,600 Apr 10 purchase food supplies from acme super market on account, 8,200 Apr 10 paid wages to fishing guides, 10,000 Apr 14 deposited registration fees, 30,050 Apr 16 purchased food supplies from acme super market on account, 9,000 Apr 17 paid wages to fishing guides, 10,000 Apr 18 paid postage 150 Apr 21 deposited registration fees, 35,600 Apr 24 purchased food supplies from acme super market on acct, 8,500 Apr 24 paid wages to fishing gudies, 10,000 Apr 28 deposited registration fees, 32,000 Apr 9 paid wages to fishing guides, 10,000 Apr 30 purchased food supplies from a acme super market on account, 6,000 Apr 30 paid acme super market on account, 32,700 Apr 30 paid utilities bill, 2,000 Apr 30 paid telephone bill, 1,200 Apr 30 Bob night withdrew cash for personal use, 6,000 Adjustment information for the end of April is provided below a. office supplies remaining on hand, 100 b. food supplies remaining on hand, 8,000 c. insurance expired during the month of April, 1,500 d. depreciation on the fishing boats for the month of April, 1,000 e. wages earned, but not ye paid, at the end of april, 500. Required: 1. enter above transactions in a general journal. enter transactions from April 1-5 on page 1, April 7-18 on page 2, April 21-29 and the first two entries for April 30 on page 3, and the remaining entires for April 30 on page 4. 2. post the entries to the general ledger. (if you are not using the working papers that accompany this text, you will need to enter the account titles and account number in the general ledger accounts. 3. prepare a trial balance on a work sheet 4. complete the work sheet. 5. prepare the income statement. 6. prepare the statement of owner's equity. 7. prepare the balance sheet. 8. journalize the adjusting entries (page5) 9. post the adjusting entries to the general ledger. 10. journalize the closing entries (pages 5 and 6). 11. post the closing entries to the general ledger. 12. prepare a cost closing trail balance. Thanks again.Explanation / Answer
pr.1 night invested cash in business 90,000
Dr Cash 90,000
Cr Bob night, capital 90,000
1 paid insurance premium for camping season 9,000
Dr Prepaid Insurance 9,000
Cr Cash 9,000
2 paid rent for lodge and campgrounds for the month of April 40,000
Dr Rent Expense 40,000
Cr Cash 40,000
2 deposited registration fees 35,000
Dr Cash 35,000
Cr Registration Fees 35,000
2 purchased 10 fishing boats on account for 60,000 boats have been estimated useful lives of five years at which time they will be donated to a local day camp arrangements were made to pay for the boats in July
Dr Fishing Boats 60,000
Cr Accounts Payable 60,000
3 purchased food supplies from acme super market account 7,000
Dr Food Supplies 7,000
Cr Accounts Payable 7,000
purchased office supplies from Gordon office supplies on account 500
Dr Office Supplies 500
Cr Accounts Payable 500
7 deposited registration fees 38,600
Dr Cash 38,600
Cr Registration Fees 38,600
10 purchase food supplies from acne super market on account 8,200
Dr Food Supplies 8,200
Cr Accounts Payable 8,200
10 paid wages to fishing guides 10,000
Dr Wages Expense 10,000
Cr Cash 10,000
14 deposited registration fees 30,500
Dr Cash 30,500
Cr Registration Fees 30,500
16 purchased food supplies from acne super market on account 9,000
Dr Food Supplies 9,000
Cr Accounts Payable 9,000
17 paid wages to fishing guides 10,000
Dr Wages Expense 10,000
Cr Cash 10,000