Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Accounting Basics Expert

problem 1:

Cleaning Co. began business on March 1, 2011.  The company gives specialized cleaning services to corporate clients.  Listed below are the transactions entered in by Cleaning Co. throughout its first month of operations:

1. Borrowed $200,000 and signed a 10-year note at bank.

2. Issued 1,000 shares for $100,000 in the cash.

3. Signed a 1-year lease for space in a strip mall on March 1and paid the first month’s rent of $1,000 in cash.

4. Acquired cleaning equipment at a cost of $100,000.  The company paid $25,000 in cash and will pay remainder throughout the next year.  The equipment is expected to last ten years.

5. Provided services to 25 clients who were charged fees of $200 each for the month.  20 clients paid the monthly fees.  5 clients were provided services but haven’t paid yet.

6. Paid employees’ wages of $4,000.

7. Purchased a computer for $1,000 on credit.

8. Received a power bill for $200 which has not yet been paid.

9. Received a phone bill for $100 which was paid.

10. Contracted a company to print flyers and distribute them for a fixed fee of $500.  The flyers have been printed and distributed however an invoice has not yet been received from company.

11. Paid dividends of $1,000 to shareholders.

Cleaning Co. has a chart of accounts which consists of the following accounts:

Accounts payable

Accounts receivable

Advertising expense

Capital stock

Cash

Computers

Cleaning equipment

Cleaning service fees

Dividends paid

Notes payable

Prepaid expense

Rent expense

Retained earnings

Unearned revenue

Utilities expense

Wages expense

Required:

a. Make the general journal for the Cleaning Co. for the month of March 2011 and prepare down all journal entries.

b. Post all journal entries to ledger accounts (hint – use T accounts).

c. Make a trial balance as at March 31, 2011.

d. Make a Balance Sheet, Income Statement and Statement of Retained Earnings for the month of March 2011.

e. What does the Income Statement tell you about Cleaning Co’s first month of operations?

problem 2:

a. Elucidate a major factor which led to introduction of International Financial Reporting Standards (IFRS).

b. Elucidate how users of financial information benefit from IFRS.

c. Give one ex of how Canadian generally accepted accounting principles (GAAP) and IFRS sometimes emphasize different qualitative attributes of financial information.

d. In what year were Canadian companies with shares traded on the Toronto Stock Exchange required to begin using IFRS?

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M91183

Have any Question? 


Related Questions in Accounting Basics

Business assignmentthe comany i have choosen is upsresearch

Business Assignment The comany i have choosen is UPS. Research a company that interests you from the Fortune 500. (A list will be provided). Analyze what they do. What business are they in? What industry? How have they b ...

Accounting and regulatory environmenti need someone to

Accounting and Regulatory Environment. I need someone to write a paper for me on accounting and the regulatory environment. The instructions are below on what it is to include. In the wake of the accounting and finance s ...

Assignmentas the accounting period comes to an end you will

Assignment As the accounting period comes to an end, you will prepare the adjusting and closing entries, as well as prepare the financial statements for Marabelle's Craft 'n Shop. Please use this template to complete you ...

Write a 700- to 1050-word paper including the followingthe

Write a 700- to 1,050-word paper including the following: The purpose of accounting and financial reporting within your organization or an organization with which you are familiar. A description of the people, processes, ...

Fasb ongoing projectproject objectivedescribe the history

FASB Ongoing Project Project Objective Describe the history, current status, and adoption implications of a Financial Accounting Standards Board ongoing project. Requirements The FASB has several ongoing projects that in ...

Questionin order to complete this project it will be

Question In order to complete this project, it will be necessary for you to access the FASB Codification website through the American Accounting Association. You may login at http://aaahq.org/ascLogin.cfm using the follo ...

Please give full info for resources used and cite where

Please give full info for resources used and cite where appropriate in APA style. Show all calculations to any work necessary. Answer both questions. As a Financial Accountant, determine the best type of income statement ...

Dine corp international publishes ratings and reviews of

Dine corp international publishes ratings and reviews of the world finest restaurants.following are the facts you need to prepare dine corp's march bank reconcilation. Balance per company records at end of month  $      ...

Accounting questions1 if cash is 2345 in 20x2 and 3671 in

Accounting Questions 1. If Cash is $2,345 in 20X2 and $3,671 in 20X1, what is the percentage of increase or (decrease) from 20X1 to 20X2? A. 56.55%******* B. (56.55%) C. 36.12% D. (36.12%) 2. Gross profit by department a ...

Problem -a firm has the following probability distribution

Problem - A firm has the following probability distribution for annual losses due to vandalism. All amounts are before any tax consideration. The firm has a tax rate of 20%. Annual Losses Probability $ 0 .75 $ 4,000 .20 ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

WalMart Identification of theory and critical discussion

Drawing on the prescribed text and/or relevant academic literature, produce a paper which discusses the nature of group

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro