Question

Following are the transactions of a new company called Pose-for-Pics. Aug. 1 Madison Harris, the owner, invested $6,500 cash and $33,500 of photography equipment in the company in exchange for common stock. 2 The company paid $2,100 cash for an insurance policy covering the next 24 months. 5 The company purchased office supplies for $880 cash. 20 The company received $3,331 cash in photography fees earned. 31 The company paid $675 cash for August utilities. Required: 1. Post the transactions to the T-accounts. 2. Use the amounts from the T-accounts in Requirement (1) to prepare an August 31 trial balance for Pose-for-Pics. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Post the transactions to the T-accounts. Cash Office Supplies Aug. 1 Balance Balance Prepaid Insurance Photography Equipment Balance Balance

Answer 1

dil Date Particulars 01-Aug To Common Stock 20-Aug To Photography Fee Earned Debit $ 6,500 3,331 3,331 Date Particulars 02-Aug By Prepaid Insurance 05-Aug By Office Supplies 31-Aug By Utilities expense 31-Aug By Ending balance of 05-Aug Credits 2,100 800 675 6,256 9,831 9,831 Office Supplies Date Particulars 05-Aug To Cash Debit $ 800 800 Date Particulars 31-Aug By Ending balance of Credit $ 800 800 Prepaid Insurance Date Particulars 02-Aug To Cash Debit $ 2,100 2,100 Date 31-Aug Particulars By Ending balance c/f Credits 2,100 2,100 Photography Equipment Date Particulars 01-Aug To Common Stock Debit $ 33,500 Date Particulars 31-Aug By Ending balance of Credits 33,500 33,500 33,500 Common Stock Date Particulars 31-Aug To Ending balance of Debit $ 40,000 Date Particulars 01-Aug By Cash 01-Aug By Photography Equipment Credits 6,500 33,500 40,000 40,000 Photography Fee Earned Date Particulars 31-Aug To Ending balance of Debit S 3,331 3,331 Date Particulars 20-Aug By Cash Credits 3,331 3,331 Utilities Expenses Date Particulars 31-Aug To Cash Debit $ 675 675 Date Particulars 31-Aug By Ending balance of Credits 675 675

Credit $ Trial balance as on 31st August Particulars Cash Office Supplies Prepaid Insurance Photography Equipment Common stock Photography fee earned Utilities expense Totals Debit $ 6,256 800 2,100 33,500 40,000 3,331 675 43,331 43,331