Question

Check my work Required information The general ledger of Red Storm Cleaners at January 1, 2021, includes the following account balances: of 8 Cr Debits $10,500 6,100 2,100 19,500 Accounts Cash Accounts Receivable Supplies Equipment Accumulated Depreciation Salaries Payable Common Stock Retained Earnings Totals 6,800 9,300 15,500 6,600 $38,200 $38,200 nces The following is a summary of the transactions for the year: 1. March 12 Provide services to customers, $41,000, of which $19,100 is on account. 2. May 2 Collect on accounts receivable, $16,100. 3. June 30 Issue shares of common stock in exchange for $6,000 cash. 4. August 1 Pay salaries of $9,300 from 2020 (prior year). 5. September 25 Pay repairs and maintenance expenses, $11,100. 6. October 19 Purchase equipment for $6,100 cash. 7. December 30 Pay $1,100 cash dividends to stockholders. Required: 1., 3., 6., & 10. Post the transactions, adjusting entries and closing entries to the T-accounts. Be sure to include beginning balances. Cash Accounts Receivable < Prey 78 of 8 e Next >

Answer 1

T-Accounts:
DEBIT	AMOUNT $	CREDIT	AMOUNT $
CASH A/C
OB	10500	1-Aug	9300
12-Mar	21900	25-Sep	11100
2-May	16100	19-Oct	6100
30-Jun	6000	30-Dec	1100
		CB	26900
ACCOUNTS RECEIVABLE A/C
OB	6100	2-May	16100
12-Mar	19100	CB	9100
SUPPLIES A/C
OB	2100
EQUIPMENT A/C
OB	19500	CB	25600
19-Oct	6100
ACCUMULATED DEPRECIATION A/C
		OB	6800
SALARIES PAYABLE A/C
1-Aug	9300	OB	9300
COMMON STOCK A/C
CB	21500	OB	15500
		30-Jun	6000
RETAINED EARNINGS A/C
		OB	6600
SERVICE REVENUE A/C
		12-Mar	41000
REPAIRS AND MAINTENANCE EXP. A/C
25-Sep	11100
CASH DIVIDEND A/C
30-Dec	1100