Social Work homework help

Preston Hill Bed & Breakfast Accounting Transactions for the Month of April 1, 2018 Date Description April 1, 2018 Jon Edwards and Dan Fogle each invested $20,000 in a corporation to run Preston Hill Bed & Breakfast. Each were issued 2,000 shares of $10 par value common stock. April 1, 2018 The partners leased a fully furnished, established, five-bedroom room Bed & Breakfast for 3 years at $3,000 per month. The landlord required a payment of $12,000 for 4 months of rent plus a $3,000 security deposit. April 1, 2018 Purchased a minivan valued at $35,000 with a $10,000 down payment and a 3-year $25,000 note payable with an annual interest rate of 5%. The minivan has a 5-year useful life and no salvage value. The monthly payment including principal and interest is $749.27 April 1, 2018 Neither partner can cook but arranged with the restaurant next door (Dora’s Diner) to provide breakfast for the guests at $10 per person per day. Grace’s Diner will bill the B & B at the end of each month for the meals provided. They must pay Dora’s Diner before the 10th of the next month. April 1, 2018 Purchased used deck furniture for $3,000 cash. The furniture has a 6-year useful life and no salvage value. April 3, 2018 Ace Computers, a local company, arranged with the B & B to provide rooms for their out of town weekday visitors at a rate of $100 per night. The B & B will bill Ace at the end of the month for rooms used. April 6, 2018 Purchased $875 of office supplies on account from ABC Office Supply. April 8, 2018 Paid invoice from Insurance company for 4 months of coverage beginning April 1, 2018 for a total of $1,200. April 8, 2018 Received $1,500 in cash and credit card receipts for room rentals for April 1 – 8, 2018. April 8, 2018 Received reservation deposits as follows: Smith Family – $250 for April 25 – 26, 2018 Harris Family – $500 for April 29 – 30, 2018 Mester Family – $375 for May 3 – 5, 2018 April 15, 2018 Paid $1,500 in wage expense for the period April 1 – April 15, 2018. April 15, 2018 Received $1,200 in cash and credit card receipts for room rentals for April 9 – 15, 2018. April 20, 2018 Received reservation deposits as follows: Plourde Family – $250 for April 25 – 26, 2018 Friedman Family – $200 for April 29 – 30, 2018 Brooks Family – $255 for June 3 – 5, 2018 April 21, 2018 Received $2,050 in cash and credit card receipts for room rentals for April 16 – 21, 2018. April 27, 2018 Refunded Harris Family deposit paid on April 8, 2018 less $50 Administrative Fee. April 29, 2018 Paid ABC Office Supply invoice for purchases on April 6, 2018. April 30, 2018 Van Payment # 1 – Total $749.27 (Principal = $645.10; Interest = $104.17) April 30, 2018 Paid $1,500 in wage expense for the period April 16 – April 30, 2018. April 30, 2018 Paid credit card in full with the following charges incurred in April 2018: Licenses and Fees – $100; Printing – $275; Dues – $100; Uniforms – $325; Advertising $560; Postage $125 April 30, 2018 Sent $975 invoice to ACE for rooms rented April 1, 2018 – April 30, 2018 April 30, 2018 Received invoice from Grace’s Diner for $380. April 30, 2018 Paid dividends to shareholders in the amount of $1,500.The general journal entries—————–Debit——–Credit,April 1, 2018: To record the capital invested (2000x$10×2)Cash——————————————-$40,000Common stock——————————————–$40,000April 1, 2018: To record the prepaid Lease rentals and security depositPrepaid Lease rentals———————$12,000Security Deposit—————————-$3,000Cash——————————————————–$15,000April 1, 2018: To record purchase of a MinivanMinivan—————————————$35,000Cash——————————————————–$10,000Note Payable———————————————-$25,000April 1, 2018: To record the Purchase of used deck furnitureDeck furniture——————————$3,000Cash——————————————————–$3,000April 6, 2018: To record Purchased office supplies on account from ABCOffice Supplies—————————–$875Accounts Payable—————————————$875April 8, 2018: To record Prepaid InsurancePrepaid Insurance————————-$1,200Cash——————————————————-$1,200April 8, 2018: To record receipts for room rentals for April 1 – 8, 2018Cash—————————————–$1,500Room rentals Revenue———————————$1,500April 8, 2018: To record reservation deposits received ($250+$500+$375)Cash—————————————- $1,125Unearned Revenue————————————-$1,125April 15, 2018: To record wage expense paidWages Expenses————————–$1,500Cash——————————————————-$1,500April 15, 2018: To record receipts for room rentals for April 9 – 15Cash—————————————–$1,200Room rentals Revenue——————————–$1,200April 20, 2018: To record reservation deposits received ($250+$200+$255)Cash—————————————–$705Unearned Revenue————————————-$705April 21, 2018:To record receipts for room rentals for April 16 – 21, 2018Cash—————————————–$2,050Room rentals Revenue———————————$2,050April 27, 2018: To record a refund to Harris Family less Administrative FeeUnearned Revenue———————–$500Administrative Fee————————————– $50Cash——————————————————-$450April 29, 2018: To record cash paid to ABC Office SupplyAccounts Payable————————$875Cash——————————————————-$875April 30, 2018: To record Van PaymentInterest Expense————————-$104.17Note Payable—————————–$645.10Cash——————————————————$749.27April 30, 2018: To record wage expense paidWages Expenses————————$1,500Cash——————————————————$1,500April 30, 2018: To record credit card payments for charges incurred in April 2018Operating expenses———————$1,485Cash—————————————————–$1,485Operating expenses are Licenses and Fees Expenses,$100Printing,$275,Uniforms & other dues,$425Advertising Expenses,$560 &Postage,$125April 30, 2018: To record invoice sent to ACE for rooms rented Accounts Receivable——————-$975Room rentals Revenue——————————$975April 30, 2018: To record invoice received from Grace’s DinerMeals expenses————————$380Accounts Payable————————————$380April 30, 2018: To record dividends paid to shareholdersDividends—————————— $1,500Cash—————————————————-$1,500Total————————————-$111,119.27 $111,119.27Adjusting entries On 30 AprilAre entries done at the end of the period to comply with accrual principle and to match revenue and expenses in the period in which revenue is earned and expenses incurred. In this case , we will adjust the expired lease rentals on prepaid lease rentals, record depreciation and adjust for earned revenue on unearned revenue account.To adjust and record expired lease rentals expenseDebit, Lease rentals expense——–$3,000Credit, Prepaid Lease rentals———————-$3,000To record depreciation expenseDebit, Depreciation Expense————-$625Credit, Accumulated Depreciation———————–$625Depreciation on Deck Furniture ($3000/6=$500/12=$42 for AprilDepreciation on Van=$35,000/5= $7,000/12=$583April 30, 2018: To record Room rentals earned from cash deposits receivedDebit, Unearned Revenue—————-$700Credit, Room rentals Revenue————————–$700Earned Room rentals Revenue= $250+$250+$200=$700Smith Family – $250 for April 25 – 26, 2018—is earnedHarris Family – $500 for April 29 – 30, 2018– refundedMester Family – $375 for May 3 – 5,—-not earnedPlourde Family – $250 for April 25 – 26, 2018—is earnedFriedman Family – $200 for April 29 – 30, 2018 —is earnedBrooks Family – $255 for June 3 – 5, 2018—-not earnedMake Trial balace sheet using this format