Answer :

Fontaine Corporation's journal entries for 2023-2025 using the extended method involve recording various transactions such as sales, purchases, expenses, and depreciation over the three-year period.

The journal entries for Fontaine Corporation would include recording sales revenue, which is credited when goods or services are sold to customers, and debiting accounts receivable or cash depending on the payment method. Purchases of inventory or assets would be debited to the respective asset accounts and credited to accounts payable or cash. Operating expenses such as salaries, utilities, and rent would be debited to their respective expense accounts and credited to accounts payable or cash. Additionally, any depreciation expense for fixed assets would be recorded by debiting depreciation expense and crediting accumulated depreciation.

Moreover, Fontaine Corporation may also have journal entries related to financing activities such as issuing or repurchasing stock, issuing or repaying debt, and paying dividends. For example, issuing stock would involve crediting common stock and additional paid-in capital accounts and debiting cash.

Repurchasing stock would debit treasury stock and credit cash. Issuing debt would debit cash and credit notes payable, while repaying debt would debit notes payable and credit cash. Dividend payments would be recorded by debiting retained earnings and crediting cash. These journal entries provide a comprehensive record of Fontaine Corporation's financial transactions over the specified period.

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