Question

Assignment Gradebook ORION CALCULATOR PULL CARE PRINTER VERSION BACK NEX Problem 3-09A On My 31, 2022, the general ledger of Sheridan Legal Services I showed the following balances: Cash $3,440, Accounts Receivable 51,290, Supplies $430, Equipment 54,300, Accounts Payable $3,530, Common Stock $3,010, and Retained Earnings $2,920. During August, the following transactions occurred Aug 3 Collected $1,030 of accounts receivable due from customers Received 51,120 cash for issuing common stock to new investors 6 Paid $2.320 cash on accounts payable. 7 Performed ingat services of $5,590, of which $2,580 was collected in cash and the remainder was due on account 12 Purchased s inal equipment for $1,030, paying $340 inash and the balance on court 14 Pald i es $3,010, rent $770, and advertising expenses 235 for the month of August 18 Collected the balance for the services performed on August 20 Paid cash dividend of $430 to stockholders. 24 Billed a cient $860 for legal services performed 26 Received $1,720 from Laurentian Bank; the money was borrowed on a banknote payable that d i months 27 Agreed to perform legal services for a client in September for $3,870. The client will say the amount owing after the services have been performed. 28 Received the titty bel for the month of August in the amount of $235; no n se 31 Paid income tax for the month $430.

Answer 1

Sheridan Legal Services Limited Journal Enteries Date Particulars 3.8.2022 Cash a/c Dr. To Accounts Receivable (Cash from debtors) Debit in $ Credit in $ 1030 1030 1120 5.8.2022 Cash a/c Dr. To Common Stock (Common Stock issued) 1120 Dr. 2320 6.8.2022 Accounts Payable a/c To Cash (Creditors paid) 2320 3010 2580 7.8.2022 Accounts Receivable a/c Dr. Cash a/c Dr. To Service Revenue (Services provided) 5590 Dr. 1030 12.8.2022 Equipment a/c To Cash To Accounts Payable (Equipment purchased) 340 690 14.8.2022 Salaries Expense a/c Dr. Rent Expense a/c Dr. Advertising Expense a/c Dr. To Cash (Expenses paid) 3010 770 235 4015 3010 18.8.2022 Cash a/c Dr. To Accounts Receivable (Cash from debtors) 3010 Dr. 430 20.8.2022 Cash Dividend a/c To Cash (Dividend paid) 430 860 24.8.2022 Accounts Receivable a/c Dr. To Service Revenue (Services provided) 860 Dr. 1720 26.8.2022 Cash a/c To Note Payable (Borrowed from bank) 1720 27.8.2022 No journal Entery 235 28.8.2022 Utility expense a/c Dr. To Accounts Payable (Expense paid) 235

Trial Balance For the period ending 31.8.2022 Particulars Cash Accounts Receivable Supplies Equipment Accounts Payable Note Payable Common Stock Retained Earnings Cash Dividend Service Revenue Salaries Expense Rent Expense Advertising Expense Utility expense Income Tax expense Totals Debit in $ Credit in $ 5365 1120 430 5330 2135 1720 4130 2920 430 6450 3010 770 235 235 430 17355 17355

Cash Cash Dividend 430 Bal. 430 430 430 Bal. Accounts Receivable Common Stock Service Revenue Accounts Receivable Note Payable Cash 3440 Accounts Payable 1030 Equipment 1120 Salaries Expense 2580 Rent Expense 3010 Advertising Expense 1720 Cash Dividend Income Tax expense 2320 340 3010 770 235 430 430 5365 12900 Service Revenue Accounts Receivable Cash 6450 Accounts Receivable 6450 3010 2580 860 6450 Bal. Bal. 12900 Cash Bal. Service Revenue Service Revenue Accounts Receivable 1290 Cash 3010 Cash 860 Bal. 5160 1030 3010 1120 5160 Salaries Expense 3010 Bal. 3010 3010 3010 Rent Expense Cash 770 Bal. Supplies 430 Bal. 430 Bal. 770 770 770 430 430 Advertising Expense 235 Cash Bal. 235 Bal. Cash Accounts Payable Equipment 4300 340 690 Bal. 5330 235 235 5330 5330 Utility expense Accounts Payable 235 Bal. 235 Cash 235 235 Accounts Payable 2320 Bal. Equipment 2135 Utility expense 4455 3530 690 235 4455 Bal. Income Tax expense Cash 430 Bal. 430 430 430 Note Payable Cash 1720 1720 Bal. 1720 1720 Bal. Common Stock Bal. 4130 Cash 4130 3010 1120 4130 2920 Retained Earnings Bal. 2920 2920 Bal. 2920