Complete the checkbook register using the following transactions then explain how you
completed the first four transactions.
August 1 – Opened the checking account with $100.00
August 2 – Purchased groceries from Grocer’s Haven for $43.82 plus 4% tax. (Check 101)
August 2 – Paid $8.00 for parking using your debit card.
August 4 – Deposited paycheck from work. ($9.75/ hr for 40 hours)
August 6 – Paid HydroPower $35.11. (Check 102)
August 6 – Bought 3 pairs of pants at $29.99 each with a 10% coupon and 5% sales tax from
Bargains-R-Us. (Check 103)
August 7 – Bought a bike for $180.00, helmet for $14.95, and gloves for $8.95 from Wheels-2-
Go. Used a 15% off coupon and there was 4% sales tax. (Check 104)
August 11 – Deposited paycheck from work less $100.00 ($9.75/hr for 40 hours)
August 11 – Opened a savings account with $100.00 transferred from the checking account.
(Note: This is an additional $100.00, not the $100.00 you just took out of your paycheck)
August 12 – Ate lunch at Hamburger Mayvn for $5.65 plus 5% tax. Used your debit card to pay
for it.
Be sure to include in your response:
• The steps you followed to complete your computations.
• The balance as of August 12
• The process for entering the transaction in the registry.
To complete the checkbook register, we will follow the given transactions and compute the balances accordingly.
1. August 1 – Opened the checking account with $100.00
This transaction increases the balance by $100.00. So, the balance becomes $100.00.
2. August 2 – Purchased groceries from Grocer’s Haven for $43.82 plus 4% tax. (Check 101)
The purchase amount is $43.82. The tax is 4% of $43.82, which is $43.82 * 0.04 = $1.75.
The total payment is $43.82 + $1.75 = $45.57.
This transaction decreases the balance by $45.57. So, the balance becomes $54.43.
3. August 2 – Paid $8.00 for parking using your debit card.
This transaction decreases the balance by $8.00. So, the balance becomes $46.43.
4. August 4 – Deposited paycheck from work. ($9.75/hr for 40 hours)
The hourly rate is $9.75, and the number of hours worked is 40.
The paycheck amount is $9.75 * 40 = $390.00.
This transaction increases the balance by $390.00. So, the balance becomes $436.43.
To enter these transactions in the registry:
- For the first transaction, write "Check 101" in the check number column, "Grocer’s Haven" in the description column, and "$45.57" in the payment column. Subtract $45.57 from the previous balance to get the new balance, which should be $54.43.
- For the second transaction, write "Debit Card" in the check number column, "Parking" in the description column, and "$8.00" in the payment column. Subtract $8.00 from the previous balance to get the new balance, which should be $46.43.
- For the third transaction, write "Deposit" in the check number column, "Work Paycheck" in the description column, and "$390.00" in the deposit column. Add $390.00 to the previous balance to get the new balance, which should be $436.43.
- Repeat the same process for the remaining transactions.
The balance as of August 12 is $436.43.
To complete the checkbook register, we will start with an opening balance of $100.00 on August 1.
1. August 2 - Purchased groceries from Grocer's Haven for $43.82 plus 4% tax (Check 101):
- Subtract the total amount of the groceries, which is $43.82, from the current balance.
- Calculate the tax by multiplying $43.82 by 4% (0.04) to get $1.75.
- Subtract the tax from the balance.
- The new balance is $100.00 - $43.82 - $1.75 = $54.43.
2. August 2 - Paid $8.00 for parking using your debit card:
- Subtract the parking fee of $8.00 from the current balance.
- The new balance is $54.43 - $8.00 = $46.43.
3. August 4 - Deposited paycheck from work ($9.75/hr for 40 hours):
- Multiply your hourly wage ($9.75) by the number of hours worked (40) to get the total paycheck amount.
- Deposit the paycheck into the checking account.
- The new balance is $46.43 + paycheck amount.
4. August 6 - Paid HydroPower $35.11 (Check 102):
- Subtract the payment amount of $35.11 from the current balance.
- The new balance is the previous balance - $35.11.
To enter these transactions in the checkbook register, record the following information:
- For transaction 1: Date - August 2, Description - Grocer's Haven, Payment - $43.82, Deposit - $0.00, Balance - $54.43.
- For transaction 2: Date - August 2, Description - Parking, Payment - $8.00, Deposit - $0.00, Balance - $46.43.
- For transaction 3: Date - August 4, Description - Paycheck, Payment - $0.00, Deposit - paycheck amount, Balance - updated balance.
- For transaction 4: Date - August 6, Description - HydroPower, Payment - $35.11, Deposit - $0.00, Balance - updated balance.
The process for entering the transactions in the registry is to enter the date, description, payment (if applicable), deposit (if applicable), and the updated balance after each transaction. Repeat this process for each transaction.
The balance as of August 12 will depend on additional transactions that are not listed in the given information.
To complete the first four transactions and explain the process, follow these steps:
Step 1: Open the checking account with $100.00 (August 1)
- Start with a balance of $0.00
- Add $100.00 to the balance, resulting in a new balance of $100.00
Step 2: Purchase groceries from Grocer’s Haven for $43.82 plus 4% tax (Check 101) (August 2)
- Deduct $43.82 from the balance, resulting in a new balance of $56.18
- Calculate the tax amount by multiplying $43.82 by 4% (0.04)
- Deduct the tax amount ($1.75) from the balance, resulting in a new balance of $54.43
Step 3: Pay $8.00 for parking using your debit card (August 2)
- Deduct $8.00 from the balance, resulting in a new balance of $46.43
Step 4: Deposit paycheck from work ($9.75/hr for 40 hours) (August 4)
- Calculate the paycheck amount by multiplying the hourly rate ($9.75) by the number of hours (40)
- Add the paycheck amount ($390.00) to the balance, resulting in a new balance of $436.43
The balance as of August 12 is $436.43
To enter the transactions in the checkbook register:
- Date: August 1, Transaction: Opening balance, Debit: $0.00, Credit: $100.00, Balance: $100.00
- Date: August 2, Transaction: Groceries from Grocer's Haven (Check 101), Debit: $43.82, Credit: $0.00, Balance: $56.18
- Date: August 2, Transaction: Parking payment, Debit: $8.00, Credit: $0.00, Balance: $46.18
- Date: August 4, Transaction: Paycheck deposit, Debit: $0.00, Credit: $390.00, Balance: $436.18
Continue entering the remaining transactions in a similar manner, adjusting the balance accordingly after each transaction.