Prepare Journal Entries to Record the Following Transactions of Daisy

question 70

Essay

Prepare journal entries to record the following transactions of Daisy King Ice Cream Company. If an entry is not required, state "No Entry."
1. Started business by issuing 10,000 shares of capital stock for $20,000.
2. Signed a franchise agreement to pay royalties of 5% of sales.
3. Leased a building for three years at $500 per month and paid six months' rent in advance.
4. Purchased equipment for $5,400, paying $1,000 down and signing a two-year, 10% note for the balance.
5. Purchased $1,800 of supplies on account.
6. Recorded cash sales of $800 for the first week.
7. Paid weekly wages, $320.
8. Paid for supplies purchased in item (5).
9. Paid royalties due on first week's sales.
10. Recorded depreciation on equipment, $50.

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Definitions:

Genuine Voice

Authentic and honest expression or communication style that reflects true intentions and personality, often emphasized in branding and public relations.

Corporate Social Responsibility Messages

are communications from a company about its efforts and initiatives to behave ethically and contribute to economic development, the environment, and quality of life of its stakeholders.

Corporate Reputation

The perception of a company's trustworthiness, quality, and reliability by the public, customers, and stakeholders.

Shareholder Value

The return on investment that shareholders receive from a company, often seen as a primary goal of businesses, including profit and stock price appreciation.