RunRickyRun
New member
- Joined
- May 1, 2010
- Messages
- 2
Hey everyone,
This is for a study guide for my final exam coming up. I turned it in to be checked, and here are the ones given back to me to correct. I want to make sure I have everything 100% correct so when I study for the final exam, I know the practice problems are correct atleast.
Record the following transactions on the journal paper provided. Indicate no entry if appropriate. Omit explanations.
6) Borrowed $9,000 from City Bank for 5 years and signed a promissory note with an annual interest rate of 6%.
7) Purchased a 4-month insurance policy, $2,400.
9) Received $1,500 from customers who paid in advance for winterizing their plants and sprinkler systems in January and February.
30) Received but did not pay the utility bill for telephone, $150.
On 6, I debited cash at $108 and credited Accounts Receivable for $108. I took 9000 x 6% / 5 = 108. That (108) is wrong though. Any help?
On 7, I debited and credit $600 by taking 2400 / 4 = 600. The 600 is wrong though. Would the answer be just the $2,400? I divided by 4 because it's a 4 month policy.
On 9, I debited Cash and Credited Accounts Receivable. Professor said to debit a liability account. Accounts payable maybe?
On 30, I debited Utilities Expense and credited Notes Payable. I think Utilities Expense is correct, but Notes Payable is not. Any help on the correct title of the debit would be?
Thanks a bunch!
This is for a study guide for my final exam coming up. I turned it in to be checked, and here are the ones given back to me to correct. I want to make sure I have everything 100% correct so when I study for the final exam, I know the practice problems are correct atleast.
Record the following transactions on the journal paper provided. Indicate no entry if appropriate. Omit explanations.
6) Borrowed $9,000 from City Bank for 5 years and signed a promissory note with an annual interest rate of 6%.
7) Purchased a 4-month insurance policy, $2,400.
9) Received $1,500 from customers who paid in advance for winterizing their plants and sprinkler systems in January and February.
30) Received but did not pay the utility bill for telephone, $150.
On 6, I debited cash at $108 and credited Accounts Receivable for $108. I took 9000 x 6% / 5 = 108. That (108) is wrong though. Any help?
On 7, I debited and credit $600 by taking 2400 / 4 = 600. The 600 is wrong though. Would the answer be just the $2,400? I divided by 4 because it's a 4 month policy.
On 9, I debited Cash and Credited Accounts Receivable. Professor said to debit a liability account. Accounts payable maybe?
On 30, I debited Utilities Expense and credited Notes Payable. I think Utilities Expense is correct, but Notes Payable is not. Any help on the correct title of the debit would be?
Thanks a bunch!