Question

Valley Realty acts as an agent in buying, selling, renting, and managing real estate. The unadjusted trial balance on July 31, 2019, follows: Valley Realty Unadjusted Trial Balance July 31, 2019 Account Credit Debit Balances No. Balances Cash 52.500 12 100,100 Accounts Receivable Prepaid Insurance 13 12,600 Office Supplies 2,800 16 Land 21 Accounts Payable 21,000 22 Uneared Rent 23 Notes Payable 31 87,500 Cindy Getman, Capital Cindy Getman, Drawing 32 44,800 Fees Eamed 591,500

Answer 1

	GENERAL JOURNAL
Date		Descriptions	Post Ref.	Debit	Credit
2019
Aug	1	Office supplies	14	3,150
		Accounts payable	21		3,150
Aug	2	Rent expense	52	7,200
		Cash	11		7,200
Aug	3	Cash	11	83,900
		Accounts Receivable	12		83,900
Aug	5	Prepaid insurance	13	12,000
		Cash	11		12,000
Aug	9	Accounts payable	21	400
		Office supplies	14		400
Aug	17	Advertising expense	53	8,000
		Cash	11		8,000
Aug	23	Accounts payable	21	13,750
		Cash	11		13,750
Aug	29	Miscellaneous Expense	59	1,700
		Cash	11		1,700
Aug	30	Automobile Expense	54	2,500
		Cash	11		2,500
Aug	31	Cash	11	2,000
		salary and commision expense	51		2,000
Aug	31	salary and commision expense	51	53,000
		Cash	11		53,000
Aug	31	Accounts receivable	12	1,83,500
		Fees earned	41		1,83,500
Aug	31	Land	16	75,000
		Cash	11		7,500
		Notes payable	23		67,500
Aug	31	Cindy Getman Drawing	32	1,000
		Cash	11		1,000
Aug	31	Cash	11	5,000
		Unearned Rent	22		5,000

National park Tours Co.
Unadjusted Trial Balance
May 31,2019
	Debit	Credit
	Balances	Balances
Cash	$ 36,750
Accounts receivable	$ 199,700
Prepaid insurance	$ 24,600
Office supplies	$ 5,550
Land	$ 75,000
Accounts payable		$ 10,000
Unearned rent		$ 5,000
Notes payable		$ 67,500
Cindy Getman Capital		$ 87,500
Cindy Getman Drawing	$ 45,800
Fees Earned		$ 775,000
Salary and commission Expense	$ 436,000
Rent expense	$ 56,200
Advertising expense	$ 40,200
Automobile expense	$ 18,250
Miscellaneous expense	$ 6,950
	$ 945,000	$ 945,000
b)) Determine net income or net loss :
Particulars	Amount	Amount
Revenue :
Fees Earned		$ 775,000
Expenses :
Salary and commission Expense	$ 436,000
Rent expense	$ 56,200
Advertising expense	$ 40,200
Automobile expense	$ 18,250
Miscellaneous expense	$ 6,950
Total Expenses		($557,600)
Net income		$ 217,400