Messages
Proposals
Get Urgent Writing Help In Your Essays, Assignments, Homeworks, Dissertation, Thesis Or Coursework & Achieve A+ Grades.
Privacy Guaranteed - 100% Plagiarism Free Writing - Free Turnitin Report - Professional And Experienced Writers - 24/7 Online Support
COMPREHENSIVE PROBLEM 1: THE ACCOUNTING CYCLE
Bob Night opened, “The General’s 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 Hole: Chart of Accounts
Assets
Revenues
101
Cash
401
Registration Fees
142
Office Supplies
144
Food Supplies
Expenses
145
Prepaid Insurance
511
Wages Expense
181
Fishing Boats
521
Rent Expense
181.1
Accum. Depr.--Fishing Boats
523
Office Supplies Expense
524
Food Supplies Expense
Liabilities
525
Telephone Expense
202
Accounts Payable
533
Utilities Expense
219
Wages Payable
535
Insurance Expense
536
Postage Expense
Owner's Equity
542
Depr. Exp.--Fishing Boats
311
Bob Night, Capital
312
Bob Night, Drawing
313
Income Summary
The following transactions took place during April 2015
Day Trans# Desc
1 1101 Night invested cash in business, $90,000.
1 1102 Paid insurance premium for six-month camping season, $9,000.
2 1103 Paid rent for lodge and campgrounds for the month of April, $40,000.
2 1104 Deposited registration fees, $35,000.
2 1105 Purchase 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. Arrangements were made to pay for the boats in July.
3 1106 Purchase food supplies from Acme Super Market on account, $7,000.
5 1107 Purchase office supplies from Gordon Office Supplies on account, $500.
7 1108 Deposited registration fee, $38,600.
10 1109 Purchased food supplies from Acme Super Market on account, $8,200
10 1110 Paid wages to fishing guides, $10,000
14 1111 Deposited registration fees, $30,500
16 1112 Purchased food supplies from Acme Super Market on account, $9,000
17 1113 Paid wages to fishing guides, $10,000
18 1114 Paid postage, $150.
21 1115 Deposited registration fees, $35,600
24 1116 Purchased food supplies from Acme Super Market on account, $8,500
24 1117 Paid wages to fishing guides, $10,000
28 1118 Deposited registration fees, $32,000.
29 1119 Paid wages to fishing guides, $10,000
30 1120 Purchased food supplies from Acme Super Market on account, $6,000.
30 1121 Paid Acme Super market on account, $32,700.
30 1122 Paid utilities bill, $2,000.
30 1123 Paid telephone bill, $1,200.
30 1124 Bob Night withdrew cash for personal use, $6,000.
Adjustment information for the end of April is provided below.
Office supplies remaining on hand, $100.
Food supplies remaining on hand, $8,000.
Insurance expired during the month of April, $1,500.
Depreciation on the fishing boats for the month of April, $1,000.
Wages earned, but not yet paid, at the end of April, $500.
Required:
Enter the transactions in a general journal. Enter transactions from April 1-5 on pages 1, April 7-18 on page 2, April 21-29 and the first two entries for April 30 on page 3, and the remaining entries for April 30 on page 4.
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 numbers in the general leger accounts).
Prepare a trial balance on a work sheet.
Complete the work sheet.
Journalize the adjusting entries (page 5)
Post the adjusting entries to the general ledger.
Prepare the income statement.
Prepare the statement of owner's equity
Prepare the balance sheet.
Journalize the closing entries (page 5 and 6)
Post the closing entries to the general ledger.
Prepare a post-closing trial balance.
COMPREHENSIVE PROBLEM 1, PERIOD 2: THE ACCOUNTING CYCLE
During the month of May 2015, The General’s Favorite Fishing Hold engaged in the following transactions. These transactions required an expansion of the chart of accounts as showing below
The General’s Favorite Fishing Hole
Assets
Revenues
101
Cash
401
Registration Fees
122
Accounts Receivable
404
Vending Revenue
142
Office Supplies
144
Food Supplies
Expenses
145
Prepaid Insurance
511
Wages Expense
146
Prepaid Subscriptions
512
Advertising Expense
161
Land
521
Rent Expense
171
Building
523
Office Supplies Expense
171.1
Accum. Depr.--Buildings
524
Food Supplies Expense
181
Fishing Boats
525
Telephone Expense
181.1
Accum. Depr.--Fishing Boats
533
Utilities Expense
182
Surround Sound System
535
Insurance Expense
182.1
Accum. Depr.--Surround Sound Sys.
536
Postage Expense
183
Big Screen TV
537
Repair Expense
183.1
Accum. Depr.--Big Screen TV
540
Depr. Exp.--Buildings
541
Depr. Exp.--Surround Sound Sys.
Liabilities
542
Depr. Exp.--Fishing Boats
202
Accounts Payable
543
Depr. Exp.--Big Screen TV
219
Wages Payable
546
Satellite Programming. Exp.
548
Subscriptions Expense
Owner's Equity
311
Bob Night, Capital
312
Bob Night, Drawing
313
Income Summary
The following transactions took place during May 2015
Day Trans# Desc
1 2101 In order to provide snacks for guests on a 24 hour basis, Night signed a contract with Snack Attack. Snack Attack will install vending machines with food and drinks and pay a 10% commission on all sales. Estimated payments are made at the beginning of each month. Night received a check for $200, the estimated commission on sales for May.
2 2102 Night purchased a surround sound system and big screen TV with a Digital Satellite System for the guest lounge. The surround sound system cost $3,600 and has an estimated useful life of 5 years, and no salvage value. The TV cost $8,000 and has an estimated useful life of 8 years, and a salvage value of $800. Night paid cash for both items.
2 2103 Paid for May’s programming on the new Digital Satellite System, $125.
3 2104 Night's office manager returned $100 worth of office supplies to Gordon Office Supply. Night received a $100 reduction in our account with Gordon.
3 2105 Deposited registration fees, $52,700
3 2106 Paid rent for lodge and campgrounds for the month of May, $40,000.
3 2107 In preparation for the purchase of a nearby campground, Night invested an additional $600,000.
4 2108 Paid Gordon Office Supply on account, $400.
4 2109 Purchased the assets of a competing business and paid cash for the following: land $100,000, lodge $530,000 and fishing boats $9,000. The lodge has a remaining useful life of 50 years and a $50,000 salvage value. The boats have remaining lives of 5 years and zero salvage value.
5 2110 Paid May's insurance premium for the new camp, $1,000
5 2111 Purchased food supplies from Acme Super Market on account, $22,950.
5 2112 Purchased office supplies from Gordon Office Supplies on account, $1,200.
7 2113 Night paid $40 each for one-year subscriptions to Fishing Illustrated, Fishing Unlimited, and Fish Master. The magazines are published monthly.
10 2114 Deposited registration fees, $62,750
13 2115 Paid wages to fishing guides, $30,000. (Don’t forget wages payable.)
14 2116 A guest because ill and was unable to stay for the entire week. A refund was issued in the amount of $1,000.
17 2117 Deposited registration fees, $63,000.
19 2118 Purchased food supplies from Acme Super Market on account, $18,400.
21 2119 Deposited registration fees, $63,400
23 2120 Paid $2,500 for advertising spots on National Sports Talk Radio
25 2121 Paid repair fee for damaged boat, $ 850.
27 2122 Paid wages to fishing guides, $30,000.
28 2123 Paid $1,800 for advertising spots on billboards.
29 2124 Purchased food supplies from Acme Super Market on account, $14,325.
30 2125 Paid utilities bill, $3,300
30 2126 Paid telephone bill, $1,800.
30 2127 Paid Acme Super Market on account, $47,350.
31 2128 Bob Night withdrew cash for personal use, $7,500.
Adjustment information at the end of May is provided below.
Total vending machine sales were $2,300 for the month of May. A 10% commission is earned on these sales.
Straight-line depreciation is used for the 10 boats purchased on April 2nd for $60,000. The useful life for these assets is 5 years and there is no salvage value. A full month's depreciation was taken in April on these boats. Straight-line depreciation is also used for the two boats purchased in May. Make one adjusting entry for all depreciation on the boats.
Straight line depreciation is used to depreciate the surround sound system.
Straight line depreciation is used to depreciate the big screen TV.
Straight line depreciation is used for the building purchased in May.
On April 2nd Night paid $9,000 for insurance during the six-month camping season. May's portion of this premium was used up during this month.
Night received his May issues of Fishing Illustrated, Fishing Unlimited, and Fish Master.
Office supplies remaining on hand, $150.
Food supplies remaining on hand, $5,925.
Wages earned, but not yet paid, at the end of May, $6,000.
Required:
Enter the above transactions in a general journal. Enter transactions from May 1-4 on page 5, May 5-28 on page 6, and the remaining entries on page 7. To save time and space, don’t enter descriptions for the journal entries.
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, account numbers, and balances from April 30 in the general ledger accounts.)
Prepare a trial balance on a work sheet.
Complete the work sheet.
Journalize the adjusting entries on page 8 of the general journal.
Post the adjusting entries to the general ledger.
Prepare the income statement.
Prepare the statement of owner’s equity
Prepare the balance sheet.
Journalize the closing entries on page 9 of the general journal.
Post the closing entries to the general ledger.
Prepare a post-closing trial balance.
Possible Post-Closing Trial Balance (Unverified yet)
April 30, 20—
Account
Acct.
No.
Debit
Balance
Credit
Balance
Cash
101
130,650
Office Supplies
142
100
Food Supplies
144
8,000
Prepaid Insurance
145
7,500
Fishing Boats
181
60,000
Accumulated Depreciation--Fishing Boats
181.1
1,000
Accounts Payable
202
66,500
Wages Payable
219
500
Bob Night, Capital
311
138,250
206,250
206,250
| Writer | Writer Name | Amount | Client Comments & Rating |
|---|---|---|---|
ONLINE |
Instant Homework Helper |
$36 |
She helped me in last minute in a very reasonable price. She is a lifesaver, I got A+ grade in my homework, I will surely hire her again for my next assignments, Thumbs Up! |
Custom Original Solution And Get A+ Grades
Custom Original Solution And Get A+ Grades
Custom Original Solution And Get A+ Grades
| Writer | Writer Name | Offer | Chat |
|---|---|---|---|
ONLINE |
Helping HandI am an Academic writer with 10 years of experience. As an Academic writer, my aim is to generate unique content without Plagiarism as per the client’s requirements. |
$35 | Chat With Writer |
ONLINE |
Top Essay TutorI have more than 12 years of experience in managing online classes, exams, and quizzes on different websites like; Connect, McGraw-Hill, and Blackboard. I always provide a guarantee to my clients for their grades. |
$40 | Chat With Writer |
Let our expert academic writers to help you in achieving a+ grades in your homework, assignment, quiz or exam.