Accounting Questions from the 2009 Mid-Year

[Flaming_Arrow]

Flaming, what do you rkn about this question?

1.5.3 Show how the Wages Expense account would appear in the General Ledger after the adjusting entries have been made

This was a difficult one as we were given the ending balance already (in the post-Trial Balance) (i think it was about 63,500) therefore i put accrued wages on the DR side at 1800 then i took the 1800 away from the 63,500 and knew that was a cash payment out of bank so put bank as cross reference on the Debit side and ended up having the 63,500 as a Profit/Loss summary CREDIT entry.

Looked like this

DR                                          CR
1800 Accrued Wages                  63,500 Profit and Loss summary
61,700 Bank
63,500                                    63,500     

that is correct

[taylor tay bags]

What about this one?

2.4.3 State and justify the accounting principle that requires the business to record stock taken by the owner for his personal use 

since it said 'personal use' i said Entity and defined and linked that principle.

[nbalakers24]

thats right

[taylor tay bags]

Awesome, might just pull of a decent result then.

Edit: And last one

(Thanks a lot Flaming and Nb )

1.7 A credit sale that occurred in June has not been recorded State the effect of this omission on the profit and loss statement     

Revenues:
Credit Sales: Understated
Net profit: overstated
Expenses:
Cost of sales Expense: understated 

[nbalakers24]

alot of people is saying stock gain

i tihnk the credit and cost of sales is right

[Flaming_Arrow]

i had stock gain as well

[nbalakers24]

i didnt lol i only had two entires haha hopefully i gte 2/3

[taylor tay bags]

Those adjusting entry's just wanna know if it's what you guys did..

First one was the electricity bill

I debited Electricity 250 and Gst cleaing 25 and credited Wages 275
Depreciation was obvious/Accum dep (18,000-3000)/10 = 1500/2 (6 month reporting period) = 750 Expense and accumulated DEP on CR side

We then recorded a drawings that was forgotten of 1,100 + 100 gst OH FUCK I JUST REALISED I FORGOT TO DEDUCT GST WOWWW FML
Selling price was irrelevant.

Drawings 1000 and stock control 1000 (1100 in my case FML )

3 payments of rent i also stuffed up, someone help clarrify, there is 12,000 left in prepaid account. he pays 4,000 were made in january march and june.. ALL OF THESE ARE IN THE REPORTING PERIOD therefore i went 4,000X3 = 12,000 rent expense.

[Flaming_Arrow]

Those adjusting entry's just wanna know if it's what you guys did..

First one was the electricity bill

I debited Electricity 250 and Gst cleaing 25 and credited Wages 275
Depreciation was obvious/Accum dep (18,000-3000)/10 = 1500/2 (6 month reporting period) = 750 Expense and accumulated DEP on CR side

We then recorded a drawings that was forgotten of 1,100 + 100 gst OH FUCK I JUST REALISED I FORGOT TO DEDUCT GST WOWWW FML
Selling price was irrelevant.

Drawings 1000 and stock control 1000 (1100 in my case FML )

3 payments of rent i also stuffed up, someone help clarrify, there is 12,000 left in prepaid account. he pays 4,000 were made in january march and june.. ALL OF THESE ARE IN THE REPORTING PERIOD therefore i went 4,000X3 = 12,000 rent expense.

depreciation was $125 as it purchased on the 1st of June
Not sure about rent lots of ppl saying different things but i wrote 4000 as he pays 3 months in advance not for 3 months.

[taylor tay bags]

Those adjusting entry's just wanna know if it's what you guys did..

First one was the electricity bill

I debited Electricity 250 and Gst cleaing 25 and credited Wages 275
Depreciation was obvious/Accum dep (18,000-3000)/10 = 1500/2 (6 month reporting period) = 750 Expense and accumulated DEP on CR side

We then recorded a drawings that was forgotten of 1,100 + 100 gst OH FUCK I JUST REALISED I FORGOT TO DEDUCT GST WOWWW FML
Selling price was irrelevant.

Drawings 1000 and stock control 1000 (1100 in my case FML )

3 payments of rent i also stuffed up, someone help clarrify, there is 12,000 left in prepaid account. he pays 4,000 were made in january march and june.. ALL OF THESE ARE IN THE REPORTING PERIOD therefore i went 4,000X3 = 12,000 rent expense.

depreciation was $125 as it purchased on the 1st of June
Not sure about rent lots of ppl saying different things but i wrote 4000 as he pays 3 months in advance not for 3 months.

But the question says Rent is paid 3 months in advance. Three Payments of 4,000 where made in January, March and June

[Flaming_Arrow]

Those adjusting entry's just wanna know if it's what you guys did..

First one was the electricity bill

I debited Electricity 250 and Gst cleaing 25 and credited Wages 275
Depreciation was obvious/Accum dep (18,000-3000)/10 = 1500/2 (6 month reporting period) = 750 Expense and accumulated DEP on CR side

We then recorded a drawings that was forgotten of 1,100 + 100 gst OH FUCK I JUST REALISED I FORGOT TO DEDUCT GST WOWWW FML
Selling price was irrelevant.

Drawings 1000 and stock control 1000 (1100 in my case FML )

3 payments of rent i also stuffed up, someone help clarrify, there is 12,000 left in prepaid account. he pays 4,000 were made in january march and june.. ALL OF THESE ARE IN THE REPORTING PERIOD therefore i went 4,000X3 = 12,000 rent expense.

depreciation was $125 as it purchased on the 1st of June
Not sure about rent lots of ppl saying different things but i wrote 4000 as he pays 3 months in advance not for 3 months.

But the question says Rent is paid 3 months in advance. Three Payments of 4,000 where made in January, March and June

if he paid in January and its paid 3 months in advance, wouldnt it mean it would start at march?

[taylor tay bags]

Those adjusting entry's just wanna know if it's what you guys did..

First one was the electricity bill

I debited Electricity 250 and Gst cleaing 25 and credited Wages 275
Depreciation was obvious/Accum dep (18,000-3000)/10 = 1500/2 (6 month reporting period) = 750 Expense and accumulated DEP on CR side

We then recorded a drawings that was forgotten of 1,100 + 100 gst OH FUCK I JUST REALISED I FORGOT TO DEDUCT GST WOWWW FML
Selling price was irrelevant.

Drawings 1000 and stock control 1000 (1100 in my case FML )

3 payments of rent i also stuffed up, someone help clarrify, there is 12,000 left in prepaid account. he pays 4,000 were made in january march and june.. ALL OF THESE ARE IN THE REPORTING PERIOD therefore i went 4,000X3 = 12,000 rent expense.

depreciation was $125 as it purchased on the 1st of June
Not sure about rent lots of ppl saying different things but i wrote 4000 as he pays 3 months in advance not for 3 months.

But the question says Rent is paid 3 months in advance. Three Payments of 4,000 where made in January, March and June

if he paid in January and its paid 3 months in advance, wouldnt it mean it would start at march?

Point taken, Too Shay!

[Flaming_Arrow]

Those adjusting entry's just wanna know if it's what you guys did..

First one was the electricity bill

I debited Electricity 250 and Gst cleaing 25 and credited Wages 275
Depreciation was obvious/Accum dep (18,000-3000)/10 = 1500/2 (6 month reporting period) = 750 Expense and accumulated DEP on CR side

We then recorded a drawings that was forgotten of 1,100 + 100 gst OH FUCK I JUST REALISED I FORGOT TO DEDUCT GST WOWWW FML
Selling price was irrelevant.

Drawings 1000 and stock control 1000 (1100 in my case FML )

3 payments of rent i also stuffed up, someone help clarrify, there is 12,000 left in prepaid account. he pays 4,000 were made in january march and june.. ALL OF THESE ARE IN THE REPORTING PERIOD therefore i went 4,000X3 = 12,000 rent expense.

depreciation was $125 as it purchased on the 1st of June
Not sure about rent lots of ppl saying different things but i wrote 4000 as he pays 3 months in advance not for 3 months.

But the question says Rent is paid 3 months in advance. Three Payments of 4,000 where made in January, March and June

if he paid in January and its paid 3 months in advance, wouldnt it mean it would start at march?

Point taken, Too Shay!

i'm not too sure tho, the wording is very confusing

[nbalakers24]

true it says rent is paid three months in advance
not for three months

idk its 1am lol

[AppleXY]

2.1 is right, if no-one answered lol.