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Journalize the Following Utility Transactions in the Quest County Enterprise

question 48

Essay

Journalize the following utility transactions in the Quest County Enterprise Fund:
1.Billings to external customers $1,600,000; billings to Quest County governmental funds $130,000.
2.Collected refundable deposits from new customers $10,000.
3.Collected 95% of all billings by fiscal year-end.
4.Refunded $4,000 in deposits to former customers.
5.Unbilled services to outside customers at year-end $14,000.


Definitions:

Petty Cash Fund

A small amount of cash on hand that is used for covering minor expenses in a business.

Office Supplies

Items such as pens, paper, and other materials used in an office setting for daily operations.

Merchandise Inventory

Goods that a business intends to sell to customers for a profit.

Days' Sales

An analysis technique used to estimate the average time it takes for a company to collect cash from sales.

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