Question

Could some one please do the General Ledger and Trial Balance? Im having the hardest time doing it and geting the trial balance equal. If you need any more info let me know. Thank You.

Trans Date Description Borrow $115,000 from the local bank and signed a six-year installment note with payments of $1,905 at the end of each month. The annual interest rate is 6%. Current portion of Note at year end after December payment 16,500 Purchased a building for $56,000. Paid $2,000 in attorney fees, $4,000 in remodeling costs to get the building ready for use. The building has a 25- year useful life with residual value of $2,000 Dec. 1 Dec. 1 Sold $4,350 worth of gift cards in opening celebration for services to be provided in December. The gift cards expire at the end of the month. Sell 16,000 shares of no-par value common stock for $6 per share to obtain the funds necessary to start your business. Purchase $14,400 of inventory on account with terms 3/10 net 30 3 Dec. 1 Dec. 1 4 5 Dec. 1 Purchase a vehicle necessary for business operations for $21,000 cash. The vehicle has a five year life with a residual value of $3,000. Pay $6,000 for one year of insurance in advance. Sell $15,000 of inventory to a customer who signs a 6-month promissory note at 6% with interest and principal due at maturity. perpetual method 2 entries Purchase Supplies on account, $3,200. 6 Dec. 1 7 Dec. 1 8 Dec. 3 9 Dec. 3 Provide $3,480 of services to customers who pay with gift cards (calculate using your hourly service rate) no terms specified 10 Dec. 6 Company pays invoice for inventory purchased on December 1" within discount terms. 11 Dec. 8 Purchase an additional $8,640 of inventory for cash. 12 Dec. 10 Sell $7,500 of inventory to a customer on account with a sales discount of | 2/10, n/30. (Perpetual method= 2 entries) The customer who purchased product on December 12th pays the amount due (within discount period). Sell $13,500 of inventory on account. (Perpetual method 2 entries) Record the of $1,90s installment payment on the $115,000 installment note borrowed on December 1. The annual interest rate is 6%. Pay employee salaries, $4,000. Pay cash dividends to shareholders of $0.10 per share. Dec. 12 13 14 Dec. 20 15 Dec. 23 16 Dec. 31 17 Dec. 31 Dec. 3 18 Vehicle did not meet expectations sold to another company for $23,000. (Record depreciation at date of sale and then record sale) 19 Dec. 31 en

Answer 1

All entries correct except 11th & 17th transaction. Entries for 11th & 17th transactions are as follows,

	Date	Account title and explanation	Debit	Credit
11	Dec.8	Accounts payable	14400
		Cash		13968
		Inventory                                                     [Purchase discount]		432
		[To record payment for accounts payment after purchase discount]
17	Dec.31	Salaries expense	4000
		Cash		4000
		[To record payment of salaries]

Ledgers:

Inventory
12/1	14400	12/3	7200
12/10	8640	12/11	432
		12/12	3600
		12/23	6480
12/31 Bal.	5328

Sales discount
12/20	150

Adjusted Trial Balance:

Adjusted Trial Balance
December 31st, 2019
	Debit	Credit
Cash	126,587
Accounts receivable	13,500
Allowance for Uncollectible account		405
Interest receivable	75
Supplies	1,800
Prepaid insurance	5,500
Inventory	5,328
Notes receivable	15,000
Building	62,000
Gain		2,300
Accumulated depreciation		200
Accounts payable		3,200
Deferred revenue	0
Salaries payable		1,200
Income taxes payable		3,700
Warranty liability		450
Notes payable		113,670
Common stock		96,000
Dividends	1,600
Service revenue		3,480
Sales revenue		36,870
Sales discount	150
Interest revenue		75
Bad debt expense	405
Cost of goods sold	17,280
Depreciation expense	500
Income tax expense	3,700
Insurance expense	500
Interest expense	575
Salaries expense	5,200
Supplies expense	1,400
Warranty Expense	450
Total	261,550	261,550