Question

Required information Exercise 3-10A Recording supplies and identifying their effect on financial statements LO 3-1,3-3,3-4 [The following information applies to the questions displayed below.) Sye Chase started and operated a small family architectural firm in Year 1. The firm was affected by two events: (1) Chase provided $21,300 of services on account, and (2) he purchased $6,200 of supplies on account. There were $900 of supplies on hand as of December 31, Year 1 Exercise 3-10A Part a, b, and e Required a. b. & e. Record the two transactions in the accounts. Record the required year-end adjusting entry to reflect the use of supplies and the required closing entries. Post the entries in the T-accounts and prepare a post closing trial balance. (Select "61, 62, or be for the transactions in the order they take place. Select "el" for closing entries. If no entry is required for a transaction/event, select "No journal entry required in the first account field.) Supplies Accounts Receivable Beg Bal Beg Bal End Bal 0 0 End. Bal Retained Earnings Accounts Payable Beg Bal Beg Bal. 0 End Bal Supplies Expense Service Revenue 9 8 of it !! Next > lotte a SD 9

Answer 1

Accounts receivable Supplies Beg. Bal. al Beg. Bal. a2 $21,300 $6,200 $5,3006 End. Bal. $21,300 End. Bal. $900 Accounts payable Retained earnings Beg. Bal. Beg. Bal. cl. $6,200 a2 $5,300 $21,300 cl. End. Bal. $6,200 End. Bal. $16,000 Service revenue Supplies expense Beg. Bal. Beg. Bal. $21,300 $21,300 a1 $5,300 $5,300 cl. End. Bal. End. Bal.

Credit Debit 21,300 Date General Journal Dec. 31 Service revenue Retained earnings (To close revenue account) 21.300 5,300 Dec. 31 Retained earnings Supplies expense (To close expense account) CHASE ARCHITECTURAL SERVICES Post-Closing Trial Balance December 31, Year 1 Account Titles Debit Credit Accounts receivable 21,300 Supplies 900 Accounts payable 6,200 Retained earnings 16,000 Totals 22,200 22,200