Paid rent on office and equipment for the month, 6,000. c. Purchased supplies on account, 3,200. d. Paid creditor on account, 1,750. e. Earned fees, receiving cash, 18,250. f. Paid automobile expenses (including rental charge) for month, 1,880, and miscellaneous expenses, 420. g. Paid office salaries, 5,000. h. Determined that the cost of supplies used was 1,400. i. 5: The business acquires photography equipment. 2. That giant print was made from a 16 MP file out of a crop-sensor Fujifilm X-T10. During the month, Jay completed the following transactions related to the business: Oct. 1. Instructions 1. AUG 1 In July of this year, M. Wallace established a business called Wallace Realty. Journal is the part of book keeping. 2003. f. Sold professional services for cash, 4,600. g. Paid on account to Rehab Equipment Company, 700, Ck. 5. Purchased a used delivery truck for 24,000, paying cash. Remember, the only difference between a pro photographer and an amateur is your ability to sell your pictures. Auto-suggest helps you quickly narrow down your search results by suggesting possible matches as you type. What is the Qualified Business Income (QBI) de Should I file my business and personal taxes t How do I enter a 1099-K in TurboTax Online? The following transactions, adjusting entries, and closing entries were completed by Robinson Furniture Co. during a three-year period. No. Depreciation on the company's equipment for the year is computed to be $16,000. No. Received and paid the heating bill, 248, Ck. The account headings are presented below. The estimated useful life of the truck is four years, with a residual value of 5,000 for the truck. Adjusting Entries The following information is available for Drake Company, which adjusts and closes its accounts every December 31: 1. Paid the office rent for the current month, 650, Ck. 501 (Rent Expense). To the left of the amount entered in the accounts, place the appropriate letter to identify the transaction. [Q2] Owner withdrew $100,000 from the business. b. Prepaid taxes will be reversed within one year but can resu. Please resubmit the question and, Q:Katerina's Boutique is a business registered for GST and it lodges its Business Activity Statement, A:Introduction: WebThe insurance journal entry for business owners is: Debit: Drawings (equity account) Credit: Cash/Bank (asset account) The above journal is only used when the business pays for the owners personal insurance out of the business bank account. The bank may be able to provide a schedule listing all expected repayment dates and amounts for the life of the loan. 7. A published author and professional speaker, David Weedmark has advised businesses on technology, media and marketing for more than 20 years. 3. Explanations may be omitted. DSLRs, or digital single lens reflex cameras, come in a variety of prices, and the pro models are always much more expensive. This way you can test different types, like wide angle, before making a financial commitment on theright toolsfor you. Camera lenses are expensive, but they are also the pieces of equipment that will stay with you. Complete the work sheet. 2014 Jan. 4. It was purchased on January 1, 2015. Here are some lenses to consider: For most pro photographers, the most important accessory will be your tripod. Dec. 31. Entry 4: JCC then sells three pallets of concrete mix to a contractor. Please resubmit the question and, Q:Wunderkind Photography entered into the following transactions during February 2020. No. Transfer the account balances to a 10-column worksheet and prepare a trial balance. *Response times may vary by subject and question complexity. Reece Financial Services Co., which specializes in appliance repair services, is owned and operated by Joni Reece. Youve thrilled them with your first set of images and now youre feeling like youre up to the task. James M. Wahlen, Jefferson P. Jones, Donald Pagach, Carl Warren, James M. Reeve, Jonathan Duchac, prepare an adjusted journal entries and adjusted trial balance 1. Small things like cleaning supplies, straps, a tripod, and extra batteries can often be overlooked. Journal entries are the basic accounting entries which are made based upon the, Q:Kristin Malone opened Kristins Maids Cleaning Service on July 1, 2019. If you want any. Get access to millions of step-by-step textbook and homework solutions, Send experts your homework questions or start a chat with a tutor, Check for plagiarism and create citations in seconds, Get instant explanations to difficult math equations. (Optional) Enter the unadjusted trial balance on an end-of-period spreadsheet and complete the spreadsheet. Received a bill from GC Gas and Lube for gas and oil for the truck, 128. k. Sold catering services for cash for the remainder of the month, 2,649. l. Gervais withdrew cash for personal use, 1,550, Ck. For commercial photography of products and other items in a studio, you may also want to invest in a macro lens first, which gives you close-ups of small items, like rings and jewelry. Prepare an unadjusted trial balance for Ken Jones, Architect, as of April 30, 2019. Journal entry: Asset - Debit 1 1600 Machinery and Equipment 50,000 8200 Gains (Losses) on Sale of Capital Assets 1,000 1600 Machinery and Equipment 5,000 1000 Cash 46,000 Machinery and Equipment is credited for the book value of the old tractor and the credit to Cash for $46,000 is the amount of the purchase Sold the used truck for 15,000. 4. In this case, perhaps you might want to look into a 50mm f/1.8 prime lens. E. Paid rent on office and equipment for the month, 5,000. The second intercompany journals are for a, putting the full amount to Other Income (which increases your profit by increasing Income). In March, T. Carter established Carter Delivery Service. The following transactions, adjusting entries, and closing entries were completed by Legacy Furniture Co. during a three-year period. Finally, outsource all of your printing needs from 5-by-7 portraits to posters to a local printing shop or a service available online. Supplies on hand at January 31 are 2,850. b. Depreciation of equipment for the year, 2,800. journal template then post it to the The first journal is to record the invoice for the purchase of the car. Foot the T accounts and show the balances. Hi Spineback Accounts: A personal funding of a business expense results in an 'equity' posting. As such, you should record the asset (trailer) a Office supplies on hand totaled $900. During July, the following, Q:During the period January to December 2020 the company completed the following transactions: Q:Journalize and post the closing entries to their respective T accounts. Systems, A:Note: Dec. 31. Even if youre not a studio photographer, you may need toinvest in a speed light, light stand or a reflector. Debit:Office Equipment(expense account) Credit: Best Boots Loan Payable(liabilityaccount). Prepare a statement of owners equity for July 31, 20--. Depreciation of building for the year, 6,400. b. The journal entries would be: The entries could be separated as illustrated or it could be combined into one entry with a debit to cash for $125,000 ($100,000 from Sam and $25,000 from Ron) and the other debits and credits remaining as illustrated. 180,000 Computer. Insurance premiums expired during the year are 3,150. c. Depreciation of equipment during the year is 5,250. d. Depreciation of trucks during the year is 4,000. e. Wages accrued but not paid at January 31 are 900. Extend the balances to the appropriate balance columns after each transaction is posted. The purchase price is 85,000, pays 25,000 cash and signs a note for the balance. adding information about your business, you will see the. Premier investment & rental property taxes. Prepare an income statement, a statement of owners equity (no additional investments were made during the year), and a balance sheet. The credit side of the entry would be equity as the asset has been transferred by the owner (assuming that she doesnt receive anything as consideration and it is not a lease or loan). Recorded depreciation on the truck for the year. Connect with and learn from others in the QuickBooks Community. Q:Prepare adjusting journal entries, as needed, considering the account balances excerpted from the, A:Given information is: Reece Financial Services Co.s accounting clerk prepared the following unadjusted trial balance at July 31, 2016: The data needed to determine year-end adjustments are as follows: a. No. It covers the period from January 1, 2018 thru December 31, 2019. The double-declining-balance method of depreciation is used. For event photography, start with a couple of zoom lenses. The life cycle to account for payment of rent expenses (in cash) goes through a couple of steps as shown below; Step 1 Journal entry for rent paid (in cash) Rent A/C. I do my bookkeeping in QuickBooks. Add the accounts listed in part (3) as needed. (The periodic inventory system is used.) Determine account balances of the T accounts. How much high ISO power do you really need? Since the business is no longer making these payments, an entry should be made in the credit card account in QB to reflect this. Question: Prepare general journal entries for the following transactions of a new company called Pose-for-Pics. 2006. j. Dec. 1: Paid 2,000 cash for an insurance policy covering the next 12 months. 6,500.00, Q:At the end of its frst year, the trial balance of Pharoah Company shows Equipment $22,800 and zero, A:The adjusting entry for depreciation are as follows, Q:The ledger of Hammond Company, on March 31, 2012, includes these selected accounts before adjusting, A:Supplies expense = Supplies at the beginning - supplies on hand 2. Maybe youre looking to shoot more dramatic portraits likewedding photographythat really bring your viewer close to the subject, perhaps a 24mm or 35mm would be more useful to you. Transactions completed during the month follow. A:The journal entries are prepared to keep the record of day to day transactions of the business. If you still cannot find the error, re-analyze each transaction. Sales & No. No. Debit. The unadjusted trial balance of Recessive Interiors at January 31, 2019, the end of the year, follows: The data needed to determine year-end adjustments are as follows: a. The loan will offset the Accounts Payable and you will monitor the balance owing through the loan liability account, not through the accounts payable account. 2. No. No. following. Agoodcameraand camera lenses, of course, let you point and shoot. Reece Financial Services accounting clerk prepared the following unadjusted trial balance at July 31, 2019: The data needed to determine year-end adjustments are as follows: Depreciation of building for the year, 6,400. 1206. k. Sold services to customers for cash for the second half of the month, 820. l. Received and paid the bill for the business license, 75, Ck. Results of Journal Entry. Journalize and post the closing entries. unrelated year-end, A:Adjusting entries are made by the management of the company for ensuring the accrual base accounting, Q:The following information relates to year-end adjusting entries as of December 31, 2021. g. Bought supplies for cash, 185, Ck. In the example journal, $1,000 has been offset to wages. Search our solutions OR ask your own Custom Dec. 31. WebExample #2. 31.Withdrew cash for personal use, 3,500. look into new cameralenses and make sure youre buying the right ones, equipment needed to start a photography business, Last-Minute Stocking Stuffers for Photography Fanatics, Tips For Photographing Holiday Lights From A Photojournalist. As with cameras, price usually dictates the quality. All of this equipment was purchased before the business was formed and over a period of multiple years. Income and Expense A/C. Transactions, Q:The following transactions of Atty. Dec. 31. A Trial Balance have, Q:The following transactions of Atty. (Optional) Enter the unadjusted trial balance on an end-of-period spreadsheet and complete the spreadsheet. Feb. 28. How accurate does the color need to be in your images? View this solution and millions of others when you join today! Reece Financial Services Co., which specializes in appliance repair services, is owned and operated by Joni Reece. The third journal adds the loan interest to the loan. adding business information, continue through the screens to enter the The account headings are presented below. One extremely important fact or that often gets overlooked is what photography equipment is needed to start aphotography business. k. Sold catering services for cash for the remainder of the month, 2,649 (Catering Income). Estimate your self-employment tax and eliminate any surprises. 27.Paid utilities expense, 2,240. 3002. g. Bought insurance for the truck for the year, 1,200, Ck. 505. m. Paid the salary of the assistant, 1,150, Ck. Impairment loss ($) At that point I would begin paying on the credit card with my personal checking account. This journal puts the printer into the Profit and Loss Report of Designer Doors but shows that it was paid for by Best Boots. (function(d,id){if(d.getElementById(id))return;var sc,node=d.getElementsByTagName('script')[0];sc=d.createElement('script');sc.id=id;sc.src='https://sdk.getsitekit.com/static/js/app.js#apiKey=6138d8d96b9f00c8c3086fde4d335dbf';node.parentNode.insertBefore(sc,node);}(document,'sitekit-sdk')); 2. The note payable is due next July (short term). WebEquipment Purchased: If the equipment is purchased, the journal entry would typically include a debit to the Equipment account (for the cost of the equipment) and a credit to Transferred cash from a personal bank account to an account to be used for the business, 18,000. b. 3. 5 The company purchased Oct. 2. The rent was paid in advance, for the full year, on January 1, 2018. If you're using the Desktop version, here's how: We're right here if you have other questions. A count of supplies indicates that the Store Supplies account should be reduced by 128 and the Office Supplies account reduced by 397 for supplies used during the year. If you still cannot find the error, re-analyze each transaction. When you're starting your own photography business, you will want to make sure you have the right equipment. Sold the truck purchased January 9, 2015, for 36,000. The company plans to do a large spread, magazine advertisement on January 15, 2019. Bank Loan Repayment Journal Entry Example, The figures from the above examples are based on the figures in the, Interest on Bank Loan Journal Entry Example, Motor Vehicle with Loan Journal Entry Example, Intercompany Loan Journal Entry for Expenses - Best Boots, Intercompany Expense Loan Journal Entry Designer Doors Example, Repay Intercompany Loan Journal Entry Expense Designer Doors Bookkeeping Example, Intercompany Repay Expense Loan Journal Entry Best Boots Bookkeeping Example, Intercompany Cash Loan Journal Entry Best Boots, Intercompany Cash Loan Journal Entry Designer Doors, Loan Forgiveness Journal Entry Other Income Example, Decreases the loan owing on the balance sheet, PPP Loan Forgiveness Journal Entry Expense Offset, with bank loans the business receives actual money into the bank account and. Consider thetype of photographyyoull be shooting landscape photography vs. aerial photography before you make a selection. Since you have posted a question with multiple sub-parts, we will solve first three sub-parts, Q:An auto-body repair shop has been in business for 23 years. Also, make sure you get a camera bag that is comfortable for the type and duration of shoots youll be doing. Indicate the effect of each transaction and the balances after each transaction, using the following tabular headings: 2. I operate a boat tour business and would like to transfer my personal assets (boat and truck) to the business. I'm not sure how to enter this into 4. Transactions completed during the month follow. The aim here is to move the loan away for the full $3,000 from the balance sheet liability to Other Income on the Profit and Loss. 30. 4. 1. The company, A:Journal entry: Journal entry is a set of economic events which can be measured in monetary terms., Q:On June 1, 2019, Teofila Albay, Optometrist, established the Albay Eye Clinic. The interest is to be collected on the maturity date. Write the account totals from the left side of the equals sign and add them.