1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
zloy xaker [14]
3 years ago
6

Elain's Inflatables earns service revenue by providing party planning services and inflatable playscapes. Elaine?'s Inflatables

is organized as a sole proprietorship and owned by Elaine Gibson. During the past? month, Elaine?'s Inflatables has the following? transactions:a. Gibson contributed $10,000 to the business in exchange for capital.b. Purchased equipment for $5,000 on account.c. Paid $400 for office supplies.d. Earned and received $2,500 cash for service revenue.e. Paid $400 for wages to employees.f. Gibson withdrew $1,000 cash.g. Earned $1,000 for services provided. Customer has not yet paid.h. Paid $1,000 for rent.i. Received a bill for $250 for the monthly utilities. The bill has not yet been paid.
Business
1 answer:
Ede4ka [16]3 years ago
8 0

Answer:

The accounting entry for each transaction is given below.

Gibson contributed $10,000 to the business in exchange for capital.

Debit Cash Asset       $10,000

Credit Capital              $10,000

b. Purchased equipment for $5,000 on account.

Debit equipment Asset      $5,000

Credit Payable Liability       $5,000

c. Paid $400 for office supplies.

Debit payable         $400

Credit Cash Asset   $400

d. Earned and received $2,500 cash for service revenue.

Debit Cash Asset    $2,500

Credit Income          $2,500

e. Paid $400 for wages to employees.

Debit Wages expense   $400

Credit Cash Asset          $400

f. Gibson withdrew $1,000 cash

Debit Capital          $1,000

Credit Cash Asset  $1,000

.g. Earned $1,000 for services provided. Customer has not yet paid.

Debit Receivable           $1,000

Credit Service Income   $1,000

h. Paid $1,000 for rent.

Debit Rent expense   $1,000

Credit Cash Asset      $1,000

i. Received a bill for $250 for the monthly utilities. The bill has not yet been paid.

Debit Utility expense     $250

Credit payable                $250

You might be interested in
Pineapple whip, a company that makes an ice cream-like treat using pineapple, sells its branding, production techniques, and pro
rewona [7]

In this context, the Pineapple whip is engaged in a business arrangement called Franchising.

<h3>What is Franchising?</h3>

Franchising is a business arrangement where the franchisor (one party) grants some rights and authorities to the franchisee.

In this case, the , the franchisee will pays a fee to the franchisor because he is using the business's success, trademarks, proprietary knowledge etc.

In conclusion, the the Pineapple whip is engaged in a business arrangement called Franchising.

Read more about Franchising

<em>brainly.com/question/19565082</em>

5 0
2 years ago
the fair value of Blossom is estimated to be $820,800. The carrying value of Blossom’s net identifiable assets, including the go
Greeley [361]

Answer:

Cullumber Company

Journal Entry:

Debit Loss on Goodwill Impairment $34,200

Credit Goodwill $34,200

To record the loss on goodwill impairment.

Explanation:

a) Data and Calculation:

Fair value = $820,800

Carrying value of net identifiable assets, including goodwill = $855,000

Goodwill impairment = $34,200 ($855,000 - $820,800)

b) Cullumber, which acquired Blossom is expected to check for the impairment of goodwill yearly.  The impairment occurs when the carrying value of the net identifiable assets of Blossom is more than the fair value of Blossom.  Generally Accepted Accounting Standards require the annual review of the fair value of goodwill to check for its impairment.  By the above entry, the goodwill will be reduced by $34,200 and a loss debited in Cullumber's accounts.

4 0
3 years ago
Anne is a full-time student at UCLA buts works part-time as a waitress at a diner near her dormitory. She earns an hourly wage b
miss Akunina [59]

Answer:

In California, if the tip is included in the service charge, Anne's employer must pay taxes for them. The employer is required to pay for these taxes in California, not the employee. Even though tips are not part of an employee's wage, they are still taxable. This means that Anne must include the $51 in her AGI.

5 0
3 years ago
Harrison and Sherrie are making decisions on their bank accounts. Harrison wants to put more money in as a principle amount beca
Troyanec [42]
Sherrie wants to put the original money in an account with a higher interest rate. Explain which method will result in more money.

Answer: In this case I would say that both Sherrie and Harrison are good methods that will result in more money. As to find out which idea would make the most bang for the buck we would need actual data like interest rates.

I hope it helps, Regards.
5 0
3 years ago
Read 2 more answers
The amount of money remaining after deductions are taken out best describes which term?
telo118 [61]
The answer to this question is the term net income. A net income is the remaining money after deductions or expenses have been taken from the gross income. Net income is also known as net profit. Net income also states and calculates the total revenue that exceeds after all operational expenses and taxes been deducted.
4 0
3 years ago
Other questions:
  • Smiling Elephant, Inc., has an issue of preferred stock outstanding that pays a $2.85 dividend every year, in perpetuity. If thi
    11·1 answer
  • Expando, Inc., is considering the possibility of building an additional factory that would produce a new addition to their produ
    13·2 answers
  • Van and her brother Trung both own homes valued at $175,000. Both pay property taxes at 1.25% and pay annual taxes of $2,187.50.
    13·2 answers
  • What is the purpose of the rheostat in this experiment? 1) to limit the current in the circuit. 2) to overheat. 3) as an aid to
    6·1 answer
  • Jensen Automotive produces alternators for American-made cars. They generally use a static budget with the following costs based
    8·1 answer
  • __________ departs from the often dimly lit restaurant operated by a Chinese family and offers, instead, an exhibition kitchen.
    11·1 answer
  • Alejandro purchased a building in​ 1985, which he uses in his manufacturing business. Alejandro used the ACRS statutory rates to
    9·2 answers
  • DataSpan, Inc., automated its plant at the start of the current year and installed a flexible manufacturing system. The company
    7·1 answer
  • Today, most jobs are filled through the open job market. <br><br> a. true <br> b. false
    15·1 answer
  • Consumers must make choices about what to buy and what to forgo to fulfill wants because?
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!