Quarter 4 Opening Entries: 1. Sold 100 shares of preferred stock (par value $15,
ID: 2451084 • Letter: Q
Question
Quarter 4 Opening Entries: 1. Sold 100 shares of preferred stock (par value $15, 10% dividend) for $25 each. 2. Prepay rent for the next year for $120. 3. Purchase supplies of $30 4. Collect $300 on accounts receivable 5. Pay $400 towards accounts payable 6. Invest another $200 into your investment account 7. Purchase another 15 units for $15 on account 8. Purchase back 30 shares of common stock for $15 each 9. Write off a bad debt (A/R) of $20 10. Collect another $300 from customers as a deposit towards future rent.
Need the open entries
Explanation / Answer
Date Account Titles and Explanations Debit ($) Credit ($) Jan-00 Cash 2500 Preferred stock 1500 paid in capital in excess of par value - preferred stock 1000 (Sold 100 shares of preferred stock (par value $15, 10% dividend) for $25 each.) 2 Prepaid rent 120 Cash 120 ( Prepay rent for the next year for $120 entry 3 Supplies 30 Cash 30 (Purchase supplies of $30) 4 Cash 300 Accounts receivable 300 (Collect $300 on accounts receivable) 5 Accounts Payable 400 Cash 400 (Pay $400 towards accounts payable) 6 Investment 200 Cash 200 (Invest another $200 into your investment account) 7 Inventory 225 Accounts Payable 225 (Purchase another 15 units for $15 on account) 8 Treasury Stock 450 cash 450 (Purchase back 30 shares of common stock for $15 each) 9 Allowance for doubtful debt 20 accounts receivable 20 (Write off a bad debt (A/R) of $20) 10 Cash 300 Unearned Revenue 300 (Collect another $300 from customers as a deposit towards future rent.)