Question

Your teacher will grade your response to ensure you receive proper credit for your answer.
Complete the following transactions and explain how they would appear in your register.

(5 points each – 2 points for the correct answers and 3 points for a correct explanation of your process)

You open your bank account on April 16 with a tax refund check of $145.00.
You pay SellUPhone $65.34 on April 18. (Check 794)
You deposit your paycheck on April 23. ($9.76/hour for 35 hours)
You buy $61.32 (4% sales tax not included) in clothes from BargainsRUs on April 24 using your debit card.
Be sure to include in your response:

the steps you followed to complete your computations
the balance as of April 24
the process for entering the transaction in the registry

Answer 1

Let’s break down each transaction step by step and explain how these would appear in your check register.

### Transaction 1: Open Bank Account
- **Date:** April 16
- **Description:** Initial deposit (Tax refund check)
- **Amount:** $145.00
- **Running Total:** $145.00

### Transaction 2: Payment to SellUPhone
- **Date:** April 18
- **Description:** Payment to SellUPhone (Check 794)
- **Amount:** -$65.34
- **Running Total:**
- Previous balance: $145.00
- New balance: $145.00 - $65.34 = $79.66

### Transaction 3: Deposit Paycheck
- **Calculate paycheck:**
- Hourly rate = $9.76
- Hours worked = 35
- Total paycheck = $9.76 * 35 = $342.60
- **Date:** April 23
- **Description:** Paycheck deposit
- **Amount:** +$342.60
- **Running Total:**
- Previous balance: $79.66
- New balance: $79.66 + $342.60 = $422.26

### Transaction 4: Clothes Purchase at BargainsRUs
- **Calculate total cost including tax:**
- Cost of clothes: $61.32
- Sales tax = 4% of $61.32 = $61.32 * 0.04 = $2.45
- Total amount spent = $61.32 + $2.45 = $63.77
- **Date:** April 24
- **Description:** Purchase at BargainsRUs
- **Amount:** -$63.77
- **Running Total:**
- Previous balance: $422.26
- New balance: $422.26 - $63.77 = $358.49

### Summary of Transactions in Check Register
| Date | Description | Check # | Withdrawals | Deposits | Balance |
|------------|--------------------------|---------|-------------|-----------|-----------|
| April 16 | Initial Deposit | | | $145.00 | $145.00 |
| April 18 | Payment to SellUPhone | 794 | $65.34 | | $79.66 |
| April 23 | Paycheck Deposit | | | $342.60 | $422.26 |
| April 24 | Purchase at BargainsRUs | | $63.77 | | $358.49 |

### Explanation of the Process:
1. **Opening the Account:** When I opened my account with a tax refund, I recorded the deposit in my register under the initial deposit.
2. **Payment Transactions:** For each payment or deposit, I noted the date, description, and corresponding amount as a withdrawal or deposit.
3. **Calculation of Paycheck:** When calculating my paycheck, I multiplied my hourly wage by the total hours worked to find the amount to deposit.
4. **Sales Tax Calculation:** For the clothing purchase, I computed the sales tax by multiplying the clothing cost by the tax rate and added it to the total spend amount.
5. **Running Balance:** After each transaction, I updated my running balance by either adding or subtracting the amount from the previous balance to maintain an accurate current total.

As of April 24, the running balance in my account is **$358.49**.