Question

The following transactions pertain to Smith Training Company for Year 1: Jan. 30 Established the business when it acquired $52,000 cash from the issue of common stock. Feb. 1 Paid rent for office space for two years, $16,400 cash. Apr. 10 Purchased $790 of supplies on account. July 1 Received $29,500 cash in advance for services to be provided over the next year 20 Paid $593 of the accounts payable from April 10. Aug. 15 Billed a customer $10,200 for services provided during August. Sept. 15 Completed a job and received $2,000 cash for services rendered. Oct. 1 Paid employee salaries of $31,000 cash. 15 Received $8,400 cash from accounts receivable. Nov. 16 Billed customers $39,500 for services rendered on account. Doc. Palda dividend of $1,300 cash to the stockholders. 31 Adjusted records to recognize the services provided on the contract of July 1. 31 Recorded $2,350 of accrued salaries as of December 31. 31 Recorded the rent expense for the year. (See February 1.) 31 Physically counted supplies $140 was on hand at the end of the period. b. Post the transactions to T-accounts and calculate the account balances. (Round your answers to the nearest whole dollar amount

Answer 1

A Date Particulars Jan. 30 Common Stock Jul. 1 Unearned Revenue Sep. 15 Service Revenue Oct. 15 Accounts Receivables Cash Amount ($) Date 52,000 Feb. 1 29,500 Jul. 20 2,800 Oct. 1 8,400 Dec. 1 u Particulars Prepaid Rent Accounts Payable Salaries Expense Dividends Amount ($) 16,400 593 31,000 1,300 A A A Dec. 31 Balance A $ 92,700 43,407 92,700 $ Particulars A Common Stock mount ($) Date $ 52,000 Jan. 30 Date Dec. 31 Balance Particulars Amount ($) $ 52,000 Cash $ 52,000 $ 52,000 Particulars Date Feb. 1 Cash Prepaid Rent Amount ($) Date Particulars $ 16,400 Dec. 31 Rent Expense Dec. 31 Balance $ 16,400 Amount ($) 7,517 8,883 $ 16,400 Date Apr. 10 Particulars Accounts Payable Supplies Amount ($) Date Particulars 790 Dec. 31 Supplies Expense Dec. 31 Balance $ 790 Amount ($) 650 140 790 Particulars Accounts Payable Amount ($) Date 593 Apr. 10 Date Jul. 20 Particulars Amount ($) 790 Cash Supplies Dec. 31 Balance $ 197 790 $ 790

Unearned Revenue Amount ($) Date $ 29,500 Jul. 1 Cash Date Particulars Dec. 31 Service Revenue Particulars Amount ($) 29,500 $ 29,500 $ 29,500 Date Particulars A Service Revenue Amount ($) Date Particulars Aug. 15 Accounts Receivables Sep. 15 Cash Nov. 16 Accounts Receivables Dec. 31 Unearned Revenue Amount ($) 10,200 2,800 39,500 29,500 82,000 AIA Particulars Date Particulars Aug. 15 Service Revenue Nov. 16 Service Revenue Accounts Receivables Amount ($) Date 10,200 Oct. 15 Cash $ 39,500 Dec. 31 Balance $ 49,700 Amount ($) $ 8,400 41,300 49,700 Particulars Amount ($) Date Particulars Oct. 1 Cash Dec. 31 Salaries Payable Salaries Expense Amount ($) Date 31,000 2,350 33,350 $ $ - Particulars Dividends Amount ($) Date $ 1,300 Date Dec. 1 Particulars Amount ($) Cash $ 1,300

Particulars Date Dec. 31 Balance Salaries Payable Amount ($) Date Particulars 2,350 Dec. 31 Salaries Expense Amount ($) $ 2,350 $ 2,350 $ 2,350 Rent Expense Amount ($) Date $ 7,517 Particulars Date Particulars Dec. 31 Prepaid Rent (Only for 11 Months) Amount ($) $ 7,517 Since, the Business is established from Feb.1, As of Dec. 31, only 11 has expired and adjusted to that portion. Particulars Supplies Expense Amount ($) Date 650 Particulars A Date Dec. 31 Supplies mount ($) $ 650