Question

Sweet Shop Co. is a chain of candy stores that has been in operation for the past ten years. a. Ordered and received $13,200 worth of cotton candy machines from Candy Makers Inc., which Sweet Shop Co. will pay for in 45 days. b. Sent a check for $7,200 to Candy Makers Inc. for the cotton candy machines from (a). c. Received $1.600 from customers who bought candy on account in previous months. d. To help raise funds for store upgrades estimated to cost $38,000, Sweet Shop Co. Issued 2,200 common shares for $15 each to existing stockholders. e Sweet Shop Co. bought Ice cream trucks for $84,000 total, paying $22,000 cash and signing a long-term note for $62,000. Prepare journal entries for the above transactions, which occurred at the end of the most recent year. (If no entry is required for a transaction/event, select "No Journal Entry Required" In the first account field.) View transaction list Journal entry worksheet 1 2 3 4 5 Ordered and Makers Inc., transaction. es from Candy ecord the No Journal Entry Required Accounts Payable Accounts Receivable Accumulated Amortization Note: Enter debit Transaction Debit Credit Record entry Clear entry View general journal

Answer 1

Transaction	Account Titles and Explanations	Debit	Credit
a	Cotton Candy Machines	$   13,200
	Accounts payable		$   13,200
b	Accounts payable	$     7,200
	Cash		$     7,200
c	Cash	$     1,600
	Accounts receivable		$     1,600
d	Cash (2,200*$15)	$   33,000
	Common stock		$   33,000
e	Ice cream trucks	$   84,000
	Cash		$   22,000
	Note payable		$   62,000

You can reach me over comment box if you have any doubts. Please rate this answer