Question

Chapter 2-Instruction 2 The following transactions were completed by PS Music during July, the second month of the business's operations: Analyze and journalize each transaction in the two-column journal below. Include Posting References, using the account numbers in your spreadsheet. If an amount box does not require an entry, leave it blank. July 1: Peyton Smith made an additional investment in PS Music by depositing $5,000 in PS Music's checking account. Account Post. Ref. Debit Credit Cash v 5,000 11 Peyton Snith, Capital v 31 V 5,000 July 1: Instead of continuing to share office space with a local real estate agency, Peyton decided to rent office space near a local music store. Paid rent for July, $1,750. Account Post. Ref. Debit Credit office Rent Expense v 51 1,750 Cash v 11 1,750 July 11 Paid a premium of $2,700 for a comprehensive insurance policy covering liability, theft, and fire. The policy covers a one-year period. Account Post. Ref. Dehit Credit Check My Work 0 more Check My Work uses remaining Previous Next

Answer 1

PS Music
Unadjusted Trial Balance
July 31,2019
	Debit Balances	Credit Balances
Cash	9,945
Accounts Receivable	2,750
Supplies	1,020
Prepaid Insurance	2,700
Office Equipment	7,500
Accounts payable		8,350
Unearned Revenue		7,200
Peyton Smith, Capital		9,000
Peyton Smith, Drawing	1,750
Fees Earned		16,200
Wages Expense	2,800
Office Rent Expense	2,550
Equipment Rent Expense	1,375
Utilities Expense	1,215
Music Expense	3,610
Advertising Expense	1,500
Supplies Expense	180
Miscellaneous Expense	1,855
Total	40,750	40,750

Calculations:

Cash			Prepaid Insurance			Fees Earned			Utilities Expense
3,920	1,750		2,700				6,200		300
5,000	2,700		Bal. 2,700				1,000		915
1,000	900						2,000		Bal. 1,215
7,200	250		Office Equipment				2,500
1,000	200		7,500				1,500		Music Expense
2,000	700		Bal.7,500				3,000		1,590
750	1,200						Bal. 16,200		620
500	620								1,400
3,000	800		Accounts payable			Wages Expense			Bal.3,610
	915		250	250		400
	1,200			7,500		1,200			Advertising Expense
	540			850		1,200			500
	1,400			Bal.8,350		Bal.2,800			200
	1,250								800
Bal.9,945			Unearned Revenue			Office Rent Expense			Bal.1,500
				7,200		800
Accounts receivable				Bal.7,200		1,750			Supplies Expense
1,000	1,000					Bal.2,550			180
1,750			Peyton Smith, Capital						Bal.180
1,000				4,000		Equipment Rent Expense
Bal.2,750				5,000		675			Miscellaneous Expense
				Bal. 9,000		700			415
Supplies						Bal.1,375			900
170			Peyton Smith, Drawing						540
850			500						Bal.1855
Bal.1,020			1,250
			Bal. 1,750