Write journal entries for the following transactions that occurred during May and explain how each would be disclosed in the financial statement1. The company prepaid $14,340 rent for the period May 1-October 31.2. Sales discounts and allowances were $34,150.3. A loan for $3,500 at 12 percent interest continued to be owed to the company by one of its employees, who made no payments related to this loan during May.4. Depreciation expense was $13,660.5. Customers paid $2,730 for services they will not receive until sometime in June.6. The company purchased $172 worth of stamps and used $100 worth of them.7. The Allowance for Doubtful Accounts was increased by $1,350, reflecting a new estimate of uncollectible accounts.View Solution:
Write journal entries for the following transactions that occurr



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