PROBLEM 3-5A
(a)
Date Account Titles and Explanation Debit Credit
Apr. 1 Cash…………………………………………………………
1
8,000
1 No entry—not a transaction.
2
Rent Expense ……………………………………………
900
3
Supplies …………………………………………………..
Accounts Payable ………………………………
(Purchased supplies on account
from Burlington Company)
1,300
1,300
1
0
Accounts Receivable ………………………………..
1,900
11 Cash…………………………………………………………
Unearned Service Revenue ………………..
(Received cash advance for future
service)
700
700
2
0
Cash…………………………………………………………
0
2,800
30 Accounts Payable …………………………………….
300
PROBLEM 3-5A (Continued)
(b)
Cash
4/1 18,000
4/2 900
Accounts Receivable
4/10 1,900
Supplies
4/3 1,300
Bal. 1,300
Accounts Payable
Unearned Service Revenue
4/11 700
Bal. 700
Salaries and Wages Expense
4/30 1,500
4/2 900
Bal. 900
PROBLEM 3-5A (Continued)
(c) FOYLE ARCHITECTS INC.
Trial Balance
April 30, 2014
Debit Credit
Cash ……………………………………………………………
Accounts Receivable ……………………………………
$18,800
1,900
PROBLEM 3-6A
(a) & (c)
Cash
10/1 Bal. 19,200
10/5 1,300
10/15 1,200
10/20 1,900
Accounts Receivable
10/1 Bal. 2,600
10/10 5,100
10/5 1,300
Supplies
10/1 Bal. 2,100
Equipment
10/1 Bal. 8,000
Bal. 8,000
Unearned Service Revenue
10/1 Bal. 1,100
Bal. 1,100
Common Stock
10/1 Bal. 15,000
Bal. 15,000
Dividends
Service Revenue
10/10 5,100
Salaries and Wages Expense
PROBLEM 3-6A (Continued)
(b)
Date Account Titles and Explanation Debit Credit
Oct. 5 Cash ………………………………………………………..
.
1,300
10 Accounts Receivable ……………………………….
.
.
5,100
15 Salaries and Wages Expense……………………
.
Cash …………………………………………………
.
(Paid employee salaries)
1,200
1,200
17 Cash ………………………………………………………..
.
.
.
600
29 Dividends ………………………………………………..
.
Cash …………………………………………………
.
(Payment of cash dividend)
300
300
.
PROBLEM 3-6A (Continued)
(d) SOLIS COMPANY
Trial Balance
October 31, 2014
Debit Credit
Cash …………………………………………………………….
Accounts Receivable ……………………………………
$ 17,300
6,400
PROBLEM 3-7A
SWISHER CO.
Trial Balance
June 30, 2014
Debit Credit
Cash ($3,090
–
$780 + $870)………………………….
Accounts Receivable* ………………………………….
Supplies ($800 – $340) ………………………………….
–
–
$ 3,180
3,910
460
PROBLEM 3-8A
(a) & (c)
Cash
3/1 Bal. 16,000
3/9 9,900
3/2 2,000
3/10 10,900
3/1 Bal. 22,000
Bal. 22,000
Accounts Payable
Common Stock
3/1 Bal. 80,000
Bal. 80,000
3/20 8,300
3/31 20,000
Sales Revenue
3/31 1,500
Rent Expense
3/2 10,000
Salaries and Wages Expense
3/31 3,800
PROBLEM 3-8A (Continued)
(b)
Date Account Titles and Explanation Debit Credit
Mar. 2 Rent Expense ………………………………………….
.
Accounts Payable …………………………….
.
.
10,000
8,000
3 No entry—not a transaction.
9 Cash ……………………………………………………….
.
9,900
10 Accounts Payable ($8,000 + $2,900)………….
.
Cash …………………………………………………
.
(Paid creditors on account)
10,900
10,900
11 No entry—not a transaction.
.
.
20 Rent Expense ………………………………………….
.
Cash …………………………………………………
.
.
5,000
5,000
PROBLEM 3-8A (Continued)
Date Account Titles and Explanation Debit Credit
Mar. 31 Cash ………………………………………………………..
Accounts Receivable ……………………………….
750
750
31 Cash ………………………………………………………..
20,000
(d) SEQUEL THEATER INC.
Trial Balance
March 31, 2014
Debit Credit
Cash …………………………………………………………
Accounts Receivable ………………………………..
Land …………………………………………………………
$ 32,750
750
38,000
PROBLEM 3-9A
Error (a) In Balance (b) Difference (c) Larger Column
1. No $600 Debit
2. Yes None N/A
(a) HYMAN INC.
5. +$750 –750 Advertising Expense
3-52 Copyright © 2013 John Wiley & Sons, Inc. Kimmel, Financial Accounting, 7/e, Solutions Manual (For Instructor Use Only)
PROBLEM 3-1B (Continued)
(b) Service Revenue ($8,000 + $2,000) …………………….. $10,000
Expenses
Salaries and Wages Expense ……………………… $1,000
Advertising Expense ………………………………….. 750
3-54 Copyright © 2013 John Wiley & Sons, Inc. Kimmel, Financial Accounting, 7/e, Solutions Manual (For Instructor Use Only)
PROBLEM 3-2B (Continued)
(b) WALZ SERVICE INC.
Income Statement
For the Month Ended June 30, 2014
Revenues
Service revenue ($3,000 + $1,500) ……………. $4,500
Expenses
Salaries and wages expense ……………………. $750
(c) WALZ SERVICE INC.
Balance Sheet
June 30, 2014
Assets
Current assets
Cash ………………………………………………………. $17,430
(a) THYME COMPANY
3-56 Copyright © 2013 John Wiley & Sons, Inc. Kimmel, Financial Accounting, 7/e, Solutions Manual (For Instructor Use Only)
PROBLEM 3-3B (Continued)
(b) THYME COMPANY
Income Statement
For the Month Ended September 30, 2014
Revenues
Service revenue……………………………………………. $10,600
THYME COMPANY
Retained Earnings Statement
For the Month Ended September 30, 2014
Retained earnings, September 1 ……………………………………….. $ 2,700
PROBLEM 3-3B (Continued)
THYME COMPANY
Balance Sheet
September 30, 2014
Assets
Current assets
Cash ………………………………………………………. $10,250
Accounts receivable ……………………………….. 8,800
Liabilities and Stockholders’ Equity
Current liabilities
Notes payable ………………………………………… $ 5,000
PROBLEM 3-4B
Date Account Titles and Explanation Debit Credit
Apr. 1 Cash ……………………………………………………….
.
100,000
4 Land ………………………………………………………..
.
Cash …………………………………………………
.
(Purchased land for cash)
250,000
250,000
11 Salaries and Wages Expense……………………
.
Cash …………………………………………………
.
(Paid salaries)
3,000
3,000
12 No entry—not a transaction.
.
.
.
.
25 Cash (100 X $90)………………………………………
.
Unearned Service Revenue ……………….
.
(Received advance for future
services)
9,000
9,000
PROBLEM 3-4B (Continued)
Date Account Titles and Explanation Debit Credit
Apr. 30 Cash ………………………………………………………..
Service Revenue ……………………………….
7,900
7,900