By Kenneth Boyd
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Additional info for 1,001 Accounting Practice Problems For Dummies
At the end of an accounting period, a company’s total assets equaled $576,000, and liabilities equaled $245,000. How much was the company’s owners’ equity? 19. At the end of an accounting period, a company’s owners’ equity equaled $2,376,000, and its liabilities equaled $142,000. How much were the company’s assets? 20. What does it mean when a business has negative retained earnings? 21. What is the effect on the accounting equation if a company buys a truck with a cash down payment of $5,000 and borrows the remaining $25,000?
Employees earn a total of $25,000 during a pay period. What is the proper entry to record the payment of these wages? 230. What type of account is accumulated depreciation? 231. What is the correct entry to record depreciation expense? 232. A company properly records its sales of $20,000 during the month. However, it does not record the cost of goods sold for those sales that totaled $12,000. What is the proper entry to record the cost of goods sold? 233. A company has a $100,000 outstanding balance from a customer who recently filed bankruptcy.
What is the proper entry to record $8,000 of salaries paid to employees? 196. What is the proper entry to record a payment on a loan (principal portion only)? 197. What is the proper entry to record $1,500 of rent paid on June 30 to a landlord for the next six months’ rent? 198. What is the proper entry to record a purchase of a truck for $20,000 with a 50% cash down payment and the balance financed with a loan? Recording Revenue and Income 199–218 199. If a company has $5,000 of credit card sales but has to pay $100 of credit card fees, how much should be recorded as cash?