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A photo of Laffysx Laffysx
I have a challenging accounting question for you! Yes I do... and it involves adjusting entries! ( i need help really bad so if you could help me I will give you blood really)

Here is an alphabetical list of Scholz Consulting Co's accounts at fiscal year end of March 31, 2008, before adjustments. All accounts have normal balances.
Accounts Payable 3495
Accounts Receivable 7270
Accumulated Depreciation-computer equipment 2465
Accumulated Depreciation-furniture 1756
Cash 2485
Computer equipment 7395
Consulting fees earned 106750
Furniture 8780
Note payable 5500
Prepaid Insurance 1980
R. Scholz, Capital 11794
R. Scholz drawings 59500
Rent Expense 9625
Salaries Expense 33475
Supplies 3290
Telephone Expense 1700
Unearned consulting fees 3740


1. The nine month 6% note was issued on November 1, 2007. Interest and principal are due on the maturity date (How do you do this?? What is the maturity date?)

2. The furniture has an estimated useful life of 10 years. (do i debit Depreciation Expense 878 and credit accumulated depreciation-furniture 878?)

3. On March 15, the company signed a contract to provide consulting services to Xendor Ince., starting April 1, 2008. The contract is for three months at a rate of $4100 per month. Payment is due at the start of each month.

Thank you for even looking at this!
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A photo of IanSharer IanSharer
No one minds giving you help, but we aren't going to do your assignments for you...


@Laffysx wrote
1. The nine month 6% note was issued on November 1, 2007. Interest and principal are due on the maturity date (How do you do this?? What is the maturity date?)


It's a nine month note, so the maturity date is August 1, 2008.

[quote=Laffysx]2. The furniture has an estimated useful life of 10 years. (do i debit Depreciation Expense 878 and credit accumulated depreciation-furniture 878?)[/quote]

Yes, that's the monthly amortization (assuming you are to use straight-line and there isn't any residual value).


@Laffysx wrote
3. On March 15, the company signed a contract to provide consulting services to Xendor Ince., starting April 1, 2008. The contract is for three months at a rate of $4100 per month. Payment is due at the start of each month.



What's the actual question? Do you need to update accounts for the end of the month or prepare some financial statements? I assume you'd need to credit unearned revenue at the start and then adjust it at the end once you complete the services?
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A photo of Laffysx Laffysx

@IanSharer wrote
No one minds giving you help, but we aren't going to do your assignments for you...


@Laffysx wrote
1. The nine month 6% note was issued on November 1, 2007. Interest and principal are due on the maturity date (How do you do this?? What is the maturity date?)



It's a nine month note, so the maturity date is August 1, 2008.


@Laffysx wrote
2. The furniture has an estimated useful life of 10 years. (do i debit Depreciation Expense 878 and credit accumulated depreciation-furniture 878?)



Yes, that's the monthly amortization (assuming you are to use straight-line and there isn't any residual value).


@Laffysx wrote
3. On March 15, the company signed a contract to provide consulting services to Xendor Ince., starting April 1, 2008. The contract is for three months at a rate of $4100 per month. Payment is due at the start of each month.



What's the actual question? Do you need to update accounts for the end of the month or prepare some financial statements? I assume you'd need to credit unearned revenue at the start and then adjust it at the end once you complete the services?



It's a journalizing question. What I need to do is adjust entries and update accounts for the end of the month. Im having trouble knowing what to credit and what to debit, also the amounts that i debit and credit.

I need to journalize each transaction that I posted. What i posted were transactions.. for March 31. The adjusted transactions that I need to journalize in the journal.
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A photo of Laffysx Laffysx
This isnt the whole question by the way... So I'm not asking anyone to do my assignment for me..

What I really need help with is just the first one. The other two I asked just for clarification, so you dont have to do them! But I really, really need help with the first one, there arent any clear examples in my text book.

I think it's a compound entry in the journal
Notes Payable
Intrest Expense
Interest Payable

but I'm not clear on how to journalize it..
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A photo of g93 g93
Laffysx check your inbox
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