Question

The following occurred during June at Brown Financial Planning.

Post the following transactions into the appropriate T accounts.

Transactions:

1. Purchased office supplies for $12,000 in cash.
2. Delivered monthly statements; collected fee income of $65,700.
3. Paid the current month’s office rent of $9,500.
4. Completed professional financial planning; billed client for $16,000.
5. Client paid fee of $4,000 for weekly counseling, previously billed.
6. Paid office salaries of $18,400.
7. Paid telephone bill of $1,080.
8. Billed client for $12,000 fee for preparing a comprehensive financial plan.
9. Purchased office supplies of $4,400 on account.
10. Paid office salaries of $18,400.
11. Collected $12,000 from client who was billed.
12. Clients paid a total of $36,400 cash in fees.

Analyze:
How much cash did the business spend during the month?

Complete this question by entering your answers in the tabs below.

• Transactions
• Analyze

Post the following transactions into the appropriate T accounts. (Select the Debit account first, then the Credit account.)

1. Purchased office supplies for $12,000 in cash. 2. Delivered monthly statements; collected fee income of $65,700. 3. Paid the current month’s office rent of $9,500. 4. Completed professional financial planning; billed client for $16,000. 5. Client paid fee of $4,000 for weekly counseling, previously billed. 6. Paid office salaries of $18,400. 7. Paid telephone bill of $1,080. 8. Billed client for $12,000 fee for preparing a comprehensive financial plan. 9. Purchased office supplies of $4,400 on account. 10. Paid office salaries of $18,400. 11. Collected $12,000 from client who was billed. 12. Clients paid a total of $36,400 cash in fees.

Complete this question by entering your answers in the tabs below.

• Transactions
• Analyze

How much cash did the business spend during the month?

	Cash spent

Answer 1

Total cash spent 63780

DR	Office supplies a/c	CR
	Amount		Amount
To cash	12000	By balance b/d	16400
To cash	4400
	16400		16400
DR	Cash a/c	CR
	Amount		Amount
		By office supplies	12000
To fee income	65700	By rent	9500
To client	4000	By salary	18400
		By telephone bill	1080
		By Office supplies	4400
		By cash	18400
		by balance b/d	5920
	69700		69700
	Fee income a/c
To balance b/d	65700	By cash	65700
	65700		65700
	Rent a/c
To cash	9500	by balance b/d	9500
	9500		9500
	Client a/c
To professinal	16000
charges		By cash	4000
To professinal	12000	By cash	12000
charges		By cash	12000
	28000		28000
	Professinal charges a/c
To balance b/d	16000	By client	16000
	16000		16000
	Salary a/c
To cash	18400	By balance b/d	36800
To cash	18400
	36800		36800
	Telephone bill a/c
To cash	1080	By balance b/d	1080
	1080		1080