Question

Required information E3-18 and E3-19 Posting to T-Accounts and Creating an Unadjusted Trial Balance [LO 3-3, LO 3-4) [The following information applies to the questions displayed below.) In January, Tongo, Inc., a branding consultant, had the following transactions. a. Received $9,500 cash for consulting services rendered in January b. Issued common stock to investors for $10,000 cash. c. Purchased $12,000 of equipment paying 25 percent in cash and owing the rest on a note due in 2 years. d. Received $7,500 cash for consulting services to be performed in February e. Bought and received $1,000 of supplies on account. f. Received utility bill for January for $1,250, due February 15. g. Consulted for customers in January for fees totaling $15,900, due in February h. Received $12,000 cash for consulting services rendered in December. i. Paid $500 toward supplies purchased in (e). E3-18 Posting to T-Accounts [LO 3-3] Post the effects to the appropriate T-accounts.

Answer 1

Cash $9,500 Equipment $10,000 Accounts Payable $7,500 $12,000 Service Revenue Common Stock Unearned Revenue Accounts Receivable $3,000 $500 Accounts Receivable $15,900 Cash Service Revenue $12,000 Cash Notes Payable Equipment $3,000 $9,000 Accounts Payable Supplies $1,000 Notes Payable Equipment $9,000 Accounts Payable 500 Supplies Cash $1,000 Unearned Revenue Cash $7,500 Unitlities Expense Payable Utilities Expense $1,250 Common Stock Cash $10,000 Service Revenue Cash Accounts Receivable $9,500 $15,900 Unitlities Expense $1,250 Unitlities Expense Payable

Note: Accounts are not closed since opening balance was not given

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