Friendley’s Miniature Golf and Driving Range Inc…

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Friendley’s Miniature Golf and Driving Range Inc. was opened on March 1 by Dean Barley. These selected events and transactions occurred during March.

Mar. 1 Stockholders invested $50,000 cash in the business in exchange for common stock of the corporation.
3 Purchased Arnie�s Golf Land for $38,000 cash. The price consists of land $23,000, building $9,000, and equipment $6,000. (Record this in a single entry.)
5 Advertised the opening of the driving range and miniature golf course, paying advertising expenses of $1,200 cash.
6 Paid cash $2,400 for a 1-year insurance policy.
10 Purchased golf clubs and other equipment for $5,500 from Golden Bear Company, payable in 30 days.
18 Received golf fees of $1,600 in cash from customers for golf services performed.
19 Sold 100 coupon books for $25 each in cash. Each book contains ten coupons that enable the holder to play one round of miniature golf or to hit one bucket of golf balls. (Hint: The revenue should not be recognized until the customers use the coupons.)
25 Paid a $500 cash dividend.
30 Paid salaries of $800.
30 Paid Golden Bear Company in full for equipment purchased on March 10.
31 Received $900 in cash from customers for golf services performed.

Journalize the March transactions. Friendley’s records golf fees as service revenue.

SKU: friendleys-miniature-golf-and-driving-range-inc Category: