Question

Comprehensive Accounting Cycle Review 5-02 (Part Level Submission) On November 1, 2022, Larkspur had the following account balances. The company uses the perpetual inventory method. Cash Accounts Receivable Supplies Equipment Debit $26,100 6,496 2,494 72,500 Accumulated Depreciation-Equipment Accounts Payable Unearned Service Revenue Salaries and Wages Payable Common Stock Retained Earnings Credit $2,900 9,860 11,600 4,930 58,000 20,300 $107,590 During November, the following summary transactions were completed. Nov. 8 Paid $10,295 for salaries due employees, of which $5,365 is for November and $4,930 is for October 10 Received $5,510 cash from customers in payment of account. 11 Purchased merchandise on account from Dimas Discount Supply for $23,200, terms 2/10, n/30. 12 Sold merchandise on account for $15,950, terms 2/10, n/30. The cost of the merchandise sold was $11.600. 15 Received credit from Dimas Discount Supply for merchandise returned $870. 19 Received collections in full, less discounts, from customers billed on sales of $15,950 on November 12. 20 Paid Dimas Discount Supply in full, less discount. 22 Received $6,670 cash for services performed in November 25 Purchased equipment on account $14,500. 27 Purchased supplies on account $4,930. 28 Paid creditors $8,700 of accounts payable due. 29 Paid November rent $1,087. 29 Paid salaries $3,770. 29 Performed services on account and billed customers $2,030 for those services. 29 Received $1,958 from customers for services to be performed in the future.

Answer 1

No.	Date	Account Titles and Explanation	Debit	Credit
1.	Nov. 30	Supplies Expense	4,640
		Supplies		4,640
2.	Nov. 30	Salaries and Wages Expense	1,450
		Salaries and Wages Payable		1,450
3.	Nov. 30	Depreciation Expense	725
		Accumulated Depreciation-Equipment		725
4.	Nov. 30	Unearned Service Revenue	1885
		Service Revenue		1885

Cash
11/1 Bal.	26100	11/8	10295
11/10	5510	11/20	21883
11/19	15631	11/28	8700
11/22	6670	11/29	1087
11/29	1958	11/29	3770
11/30 Bal.	10134
Accounts receivable
11/1 Bal.	6496	11/10	5510
11/12	15950	11/19	15950
11/29	2030
11/30 Bal.	3016

Inventory
11/11	23200	11/12	11600
		11/15	870
		11/20	447
11/30 Bal.	10283

Supplies
11/1 Bal.	2494	Adj.	4640
11/27	4930
11/30 Bal.	2784

Equipment
11/1 Bal.	72500
11/25	14500
11/30 Bal.	87000

Accumulated Depreciation—Equipment
		11/1 Bal.	2900
		Adj.	725
		11/30 Bal.	3625

Accounts Payable
11/15	870	11/1 Bal.	9860
11/20	22330	11/11	23200
11/28	8700	11/25	14500
		11/27	4930
		11/30 Bal.	20590

Unearned Service Revenue
Adj.	1885	11/1 Bal.	11600
		11/29	1958
		11/30 Bal.	11673

Salaries and Wages Payable
11/8	4930	11/1 Bal.	4930
		Adj.	1450
		11/30 Bal.	1450

Common Stock
		11/1 Bal.	58000
		11/30 Bal.	58000

Retained Earnings
		11/1 Bal.	20300

Service Revenue
		11/22	6670
		11/29	2030
		Adj.	1885
Depreciation Expense
Adj.	725
Supplies Expense
Adj.	4640
Salaries and Wages Expense
11/8	5365
11/29	3770
Adj.	1450
Rent Expense
11/29	1087
Sales Revenue
		11/22	15950
Cost of Goods Sold
11/12	11600
Sales Discounts
11/19	319