Exercise 02.08 – Terrapin, Benson Company
Financial Accounting
Spiceland, Thomas, and Herrman
05th Edition and 06th Edition
Record transactions for equipment, services, rent, supplies, salaries.
Record transactions for equipment, services, rent, supplies, salaries.
Provide an explanation for each transaction.
Record transactions for advertising, supplies, salaries, revenue, utility.
Record each transaction (stock, loan, equipment, advertising, revenue, salary).
Record each transaction (stock, loan, equipment, advertising, revenue, salary).
Assess whether the record transaction is correct or not.
Show the adjusting entries that were made for supplies, prepaid insurance, salaries payable, and deferred revenue on December 31.
Update account balances for the year-end information by recording any necessary adjusting entries. Rent, Revenue, Salary, Supplies.
Calculate the balance of retained earnings each year for each company.
Prepare an income statement, Prepare a statement of stockholders’ equity and prepare a classified balance sheet