Wednesday 25 July 2012


Problem 2-1B
Surepar Miniature Golf and Driving Range was opened on March 1 by Jerry Glover. The following selected events and transactions occurred during March:

March 1 Invested $50,000 cash in the business in exchange for common stock.

3 Purchased Lee’s Golf Land for $38,000 cash.The price consists of land $23,000, building $9,000, and equipment $6,000. (Make one compound entry.)

5 Advertised the opening of the driving range and miniature golf course, paying advertising expenses of $1,600.

6 Paid cash $1,480 for a one-year insurance policy.

10 Purchased golf clubs and other equipment for $2,600 from Palmer Company payable in 30 days.

18 Received $800 in cash for golf fees earned.

19 Sold 100 coupon books for $15 each.Each book contains 10 coupons that enable the holder to play one round of miniature golf or to hit one bucket of golf balls.

25 Withdrew $2,000 cash for personal use

30 Paid salaries of $600.

30 Paid Palmer Company in full.

31 Received $500 cash for fees earned.

Jerry Glover uses the following accounts: Cash; Prepaid Insurance; Land; Buildings; Equipment; Accounts Payable; Unearned Revenue; Common Stock; Dividends; Golf Revenue; Advertising Expense; and Salaries Expense.

Instructions

Journalize the March transactions.

Instructions 

Journalize the March transactions. 


No comments:

Post a Comment