Solution Manual for Financial and Managerial Accounting for Decision Makers, 14th Edition by Michelle Hanlon, 9781618533616, Covering Chapters 1-24

Solution Manual for Financial Acc g g g g




ounting 9th Edition g g




Harrison, Horngren, Thomas g g




Short Exercises
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(5 min.) S 2-1
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Hooper’s payment was not an expense.
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Hooper acquired an asset, Equipment, because the computer is an economic resource of the
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business.




(5 min.) S 2-2
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a. $13,400 ($11,000 + $2,400 + $5,500 − $5,500)
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b. $ 2,400
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(5-10 min.) S 2-3
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Cash

, (5 min.) S 2-4
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Increased total assets:
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April 1 g (Medical supplies) g


April 3 g (Cash, Accounts Receivable)
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(5-10 min.) S 2-5
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a. Purchase of asset for cash g g g g g


Sale of asset for cash
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Collection of an account receivable g g g g


b. Payment of dividends to owners g g g g g


Expense transaction g


c. Pay a liabilityg g


Return an asset purchased on account
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d. Issuance of stock Re g g g


venue transaction g


e. Purchase of asset on account Borrow money (
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Answers may vary.) g g




(10 min.) S 2-6
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Journal DATE ACCOUNT TITLES AND
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EXPLANATION DEBIT CREDIT g




Mar. 15 Cash……………………………………
g 31,000
Note Payable……………………… 31,000 Borrowed money from the
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bank.

22 Accounts Receivable……………….
g g 8,900
Service Revenue…………………. g




8,900

Performed service on account.
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,2-2 FinancialgAccountingg8/eg SolutionsgManual

, 28 Cash… ........................................ 5,600
Accounts Receivable ................. 5,600 Received cash on account.
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29 Utilities Expense…………………….
g 900
Accounts Payable… ................... 900 Received utility bill.
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31 Salary Expense………………………
g g 2,600
Cash………………………………… 2,600 Paid salary expense.
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(10-15 min.) S 2-7
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Req. 1 g




Journal DATE ACCOUNT TITLES AND
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EXPLANATION DEBIT CREDIT g




Supplies……………………………….. 1,700
Accounts Payable………………… 1,700 Purchased
g supplies
on account. g




Accounts Payable…………………… g 425
Cash………………………………… 425
Paid cash on account.
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Req. 2 g




Accounts Payable
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Req. 3 g




The business owes $1,275, as shown in the Accounts Payable account.
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