Accoutning Homework Help

Please see attched. I need help with all required answers. Didn’t leave myself time due to busy work schedule. Thanks.

6550 Fall 2013

Exercise #1

The following is the post-closing trial balance for the Patrick’s Manufacturing Corporation as of December 31, 20X0.

The following transactions occurred during January 20X1:

Jan.

1 

  

Sold merchandise for cash, $3,500. The cost of the merchandise was $2,000. The company uses the perpetual inventory system.

2 

  

Purchased equipment on account for $5,500 from the Strong Company.

4 

  

Received a bill of $150 from the local newspaper for an advertisement that appeared in the paper on January 2.

8 

  

Sold merchandise on account for $5,000. The cost of the merchandise was $2,800.

10 

  

Purchased merchandise on account for $9,500.

13 

  

Purchased equipment for cash, $800.

16 

  

Paid the entire amount due to the Strong Company.

18 

  

Received $4,000 from customers on account.

20 

  

Paid $800 to the owner of the building for January’s rent.

30 

  

Paid employees $3,000 for salaries for the month of January.

31 

  

Paid a cash dividend of $1,000 to shareholders.

Required:

1. Use the horizontal model to record the transactions

2. Prepare general Journal entries to record each transaction.

3. Prepare an income Statement

4. Prepare a balance sheet.

Resources

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