strayer ac c100 week 3 ch 7 homework

Brief Exercise 7-3Benji Borke has prepared the following list of statements about accounting information systems.Identify each statement as true or false.1.The accounting information system includes each of the steps of the accounting cycle, the documents that provide evidence of transactions that have occurred, and the accounting records..gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> TrueFalse2.The benefits obtained from information provided by the accounting information system need not outweigh the cost of providing that information..gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> TrueFalse3.Designers of accounting systems must consider the needs and knowledge of various users..gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> TrueFalse4.If an accounting information system is cost-effective and provides useful output, it does not need to be flexible.Brief Exercise 7-5Identify in what ledger (general or subsidiary) each of the following accounts is shown.AccountsLedger(a)Rent Expense.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> General LedgerSubsidiary Ledger(b)Accounts Receivable—Cabrera.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> General LedgerSubsidiary Ledger(c)Notes Payable.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> General LedgerSubsidiary Ledger(d)Accounts Payable—Pacheco.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> General LedgerSubsidiary LedgerBrief Exercise 7-6Identify the journal in which each of the following transactions is recorded.TransactionsJournals(a)Cash sales.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> Cash Receipts JournalCash Payments JournalSales JournalPurchases JournalGeneral Journal(b)Owner withdrawal of cash.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> Sales JournalPurchases JournalGeneral JournalCash Receipts JournalCash Payments Journal(c)Cash purchase of land.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> Cash Receipts JournalCash Payments JournalSales JournalPurchases JournalGeneral Journal(d)Credit sales.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> Sales JournalGeneral JournalPurchases JournalCash Payments JournalCash Receipts Journal(e)Purchase of merchandise on account.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> General JournalCash Receipts JournalSales JournalCash Payments JournalPurchases Journal(f)Receipt of cash for services performed.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> Sales JournalPurchases JournalCash Payments JournalGeneral JournalCash Receipts JournalBrief Exercise 7-10Rauch Computer Components Inc. uses a multi-column cash receipts journal.Indicate which column(s) is/are posted only in total, only daily, or both in total and daily.AccountsColumn in Cash Journal Receipts(a)Accounts Receivable.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> Only dailyBoth in total and dailyIn total(b)Sales Discounts.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> In totalBoth in total and dailyOnly daily(c)Cash.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> Both in total and dailyIn totalOnly daily(d)Other Accounts.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> In totalBoth in total and dailyOnly daily.png” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>Exercise 7-5 (Part level Submission)Pennington Company has a balance in its Accounts Payable control account of $9,250 on January 1, 2014. The subsidiary ledger contains three accounts: Hale Company, balance $3,000; Janish Company, balance $1,875; and Valdez Company. During January, the following payable-related transactions occurred.PurchasesPaymentsReturnsHale Company$6,750$6,000$ -0-Janish Company5,2501,8752,250Valdez Company6,3756,750-0-.png” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.png” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.png” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.png” alt=”Collapse question part”>(a)What is the January 1 balance in the Valdez Company subsidiary account?Balance in the Valdez Company subsidiary account $.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>What is the January 31 balance in the control account?The balances in the subsidiary accounts at the end of the month.Which January transaction would not be recorded in a special journal?Exercise 7-7 (Part level Submission)R. Santiago Co. uses special journals and a general journal. The following transactions occurred during May 2014.May 1R. Santiago invested $40,000 cash in the business.2Sold merchandise to Lawrie Co. for $6,300 cash. The cost of the merchandise sold was $4,200.3Purchased merchandise for $7,700 from J. Moskos using check no. 101.14Paid salary to H. Rivera $700 by issuing check no. 102.16Sold merchandise on account to K. Stanton for $900, terms n/30. The cost of the merchandise sold was $630.22A check of $9,000 is received from M. Mangini in full for invoice 101; no discount given..png” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.png” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.png” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.png” alt=”Collapse question part”>(a)Prepare a multiple-column cash receipts journal and record the transactions for May that should be journalized.(Record entries in the order presented in the problem statement.)R. SANTIAGO CO.Cash Receipts JournalCR1DateAccountCreditedRefCashDr.SalesDiscountsDr.AccountsReceivableCr.SalesRevenueCr.OtherAccountsCr.Cost of Goods SoldDr.Inventory Cr..gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> May 1May 2May 3May 14May 16May 22.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> M. ManginiOwner’s Cap..gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> May 1May 2May 3May 14May 16May 22.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> Owner’s Cap.M. Mangini.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> May 1May 2May 3May 14May 16May 22.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”> M. ManginiOwner’s Cap..gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>Click if you would like to Show Work for this question:Open Show WorkExercise 7-14Selected account balances for Hulse Company at January 1, 2014, are presented below.Accounts Payable$14,000Accounts Receivable22,000Cash17,000Inventory13,500Hulse’s sales journal for January shows a total of $110,000 in the selling price column, and its one-column purchases journal for January shows a total of $77,000.The column totals in Hulse’s cash receipts journal are: Cash Dr. $61,000; Sales Discounts Dr. $1,100; Accounts Receivable Cr. $45,000; Sales Revenue Cr. $6,000; and Other Accounts Cr. $11,100.The column totals in Hulse’s cash payments journal for January are: Cash Cr. $55,000; Inventory Cr. $1,000; Accounts Payable Dr. $46,000; and Other Accounts Dr. $10,000. Hulse’s total cost of goods sold for January is $63,600.Accounts Payable, Accounts Receivable, Cash, Inventory, and Sales Revenue are not involved in the “Other Accounts” column in either the cash receipts or cash payments journal, and are not involved in any general journal entries.Compute the January 31 balance for Hulse in the following accounts.(a)Accounts Payable$.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>(b)Accounts Receivable$.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>(c)Cash$.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>(d)Inventory$.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>(e)Sales Revenue$.gif” alt=”http://edugen.wiley.com/edugen/art2/common/pixel.gif”>Click if you would like to Show Work for this question: