Question

Requirea information [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 $21,100 of services on account, and (2) he purchased $3,600 of supplies on account. There were $750 of supplies on hand as of December 31, Year 1. 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 "a1, a2, or b" 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.) Accounts Recelvable Supplies Beg. Bat. Beg Bal End. Bal. 0 End. Bal. 0 Accounts Payable Retained Earnings Beg. Bal. Bog. Bal End. Bal. End, Bal 0 Service Revenue Supplies Expense Bog. Bal Bog. Bal End. Bal 0 End. Bal. 0

Answer 1

Accounts receivable					Supplies
Beg Bal	0				Beg bal	0
a1)	21,100				a2)	3,600	2,850	b
End bal	21100				end bal	750
Accounts payable					Retained earnings
Beg bal		0			Beg bal		0
		3,600	a2)		cl	2,850	21,100	cl
end bal		3600			end bal		18,250
Service revenue					supplies expense
Beg bal		0			Beg bal	0
cl	21,100	21,100	a1)		b.	2,850	2,850	cl
Date	General journal			Debit	credit
31-Dec	Service revenue			21,100
	Retained earnings				21,100
31-Dec	Retained earnings			2,850
	supplies expense				2,850
Post closing trail balance
Account titles				Debit	Credit
Accounts receivable				21100
Supplies				750
Accounts payable					3600
Retained earnings					18,250
Totals				21850	21850