Question

(The following information applies to the questions displayed below/ The general ledger of Zips Storage at January 1, 2018, includes the following account balances Accounts Cash Accounts Recelvable Prepald Insurance Land Accounts Payable Deferred Revenue Common Stock Retained Earnings Deblits Credits 25,600 16.400 14,000 158,000 $ 7700 6,800 153,000 46,500 Totals $214,000 $214.000 The following is a summary of the transactions for the year: a. January 9 Provide storage services for cash, $144,100, and on account, $57,200 b. February 12 Collect on accounts receivable, $52,500 c. April 25 Receive cash in advance from customers, $13,900 d. May 6 Purchase supplies on account, $11,200 e. July 15 Pay property taxes, $9,500 f September 10 Pay on accounts payable, $12,400 g. September 10 Pay salaries, $133,600. h. November 20 Issue shares of common stock in exchange for $37,000 cash. i. December 30 Pay $3,800 cash dividends to stockholders. j. Insurance expired during the year is $8,000. Supplies remaining on hand at the end of the year equal $3,900. Provide services of $12,800 related to cash paid in advance by customers.

Answer 1

	T-Accounts
	Cash A/c
Date	Particular	Amt (Dr)	Amt (Cr)	Balance
1-Jan	Balance			$             25,600.00
9-Jan	Service Revenue	$     1,44,100.00		$          1,69,700.00
12-Feb	Accounts Receivable	$         52,500.00		$          2,22,200.00
25-Apr	Deferred Revenue	$         13,900.00		$          2,36,100.00
15-Jul	Property Tax		$                  9,500.00	$          2,26,600.00
10-Sep	Accounts Payable		$               12,400.00	$          2,14,200.00
10-Sep	Salaries		$            1,33,600.00	$             80,600.00
20-Dec	Common Stock	$         37,000.00		$          1,17,600.00
30-Dec	Dividend paid		$                  3,800.00	$          1,13,800.00
	Accounts Receivable
Date	Particular	Amt (Dr)	Amt (Cr)	Balance
1-Jan	Balance			$             16,400.00
9-Jan	Service Revenue	$         57,200.00		$             73,600.00
12-Feb	Cash		$               52,500.00	$             21,100.00
	Deferred Revenue
Date	Particular	Amt (Dr)	Amt (Cr)	Balance
1-Jan	Balance			$                6,800.00
25-Apr	Cash		$               13,900.00	$             20,700.00
31-Dec	Service Revenue	$         12,800.00		$                7,900.00
	Accounts Payable
Date	Particular	Amt (Dr)	Amt (Cr)	Balance
1-Jan	Balance			$                7,700.00
6-May	Supplies		$               11,200.00	$             18,900.00
10-Sep	Cash	$         12,400.00		$                6,500.00
	Supplies
Date	Particular	Amt (Dr)	Amt (Cr)	Balance
6-May	Accounts Payable	$         11,200.00		11200
31-Dec	Supplies Expenses		$                  7,300.00	$                3,900.00
	Supplies Expenses
Date	Particular	Amt (Dr)	Amt (Cr)	Balance
31-Dec	Supplies	$           7,300.00		$                7,300.00
	Common Stock
Date	Particular	Amt (Dr)	Amt (Cr)	Balance
1-Jan	Balance			153000
20-Nov	Cash		$               37,000.00	$          1,90,000.00
	Property Tax
Date	Particular	Amt (Dr)	Amt (Cr)	Balance
15-Jul	Cash	$           9,500.00		$                9,500.00
	Salaries Expenses
Date	Particular	Amt (Dr)	Amt (Cr)	Balance
10-Sep	Cash	$     1,33,600.00		$          1,33,600.00
	Dividend Paid
Date	Particular	Amt (Dr)	Amt (Cr)	Balance
30-Dec	Cash	$           3,800.00		$                3,800.00
	Prepaid Insurance
Date	Particular	Amt (Dr)	Amt (Cr)	Balance
1-Jan				$             14,000.00
31-Dec	Insurance		$                  8,000.00	$                6,000.00
	Insurance
Date	Particular	Amt (Dr)	Amt (Cr)	Balance
31-Dec	Prepaid Insurance	$           8,000.00		$                8,000.00
	Service Revenue
Date	Particular	Amt (Dr)	Amt (Cr)	Balance
9-Jan	Cash		$            1,44,100.00	$          1,44,100.00
9-Jan	Accounts Receivable		$               57,200.00	$          2,01,300.00
31-Dec	Deferred Revenue		$               12,800.00	$          2,14,100.00
	Zips Storage
	Trial Balance
	Account Title	Amt (Dr)	Amt (Cr)
	Cash	$     1,13,800.00
	Accounts Receivable	$         21,100.00
	Prepaid Insurance	$           6,000.00
	Supplies	$           3,900.00
	Land	$     1,58,000.00
	Accounts Payable		$                  6,500.00
	Deferred Revenue		$                  7,900.00
	Common Stock		$            1,90,000.00
	Retained Earnings		$               46,500.00
	Service Revenue		$            2,14,100.00
	Salaries Expense	$     1,33,600.00
	Supplies Expense	$           7,300.00
	Property Tax	$           9,500.00
	Insurance	$           8,000.00
	Dividend Paid	$           3,800.00
	Total	$     4,65,000.00	$            4,65,000.00