Question

I am struggling towards the bottom specifically with closing the ledger.
Problem 3-01 Listed below are the transactions of Charles Wilson, D.D.S., for the month of September Sept. 1 Wilson begins practice as a dentist, invests $20,740 cash and issues 2,074 shares of $10 par stock. 2 Purchases dental equipment on account from Green Jacket Co. for $17,760. 4 Pays rent for office space, $700 for the month. 4 Employs a receptionist, Michael Bradley. 5 Purchases dental supplies for cash, $860. 8 Receives cash of $1,810 from patients for services performed. 10 Pays miscellaneous office expenses, $420. 14 Bills patients $5,850 for services performed. 18 Pays Green Jacket Co. on account, $3,800. 19 Pays a dividend of $2,880 cash. 20 Receives ,020 from patients on account. 25 Bills patients $2,020 for services performed. 30 Pays the following expenses in cash: Salaries and wages $1,890; miscellaneous office expenses $93. 30 Dental supplies used during September, $330. Record depreciation using a 5-year life on the equipment, the straight-line method, and no salvage value. Your answer is partially correct. Try again. Enter the transactions shown above in appropriate general ledger accounts (use T-accounts). (Post entries in the order displayed in the problem statement.) Cash Sept. 1 20400 Sept. 4 700 Sept. 8 1810 | Sept. 5 860

Answer 1

Charles Wilson, D.D.S. Journal entries Date Account 1-Sep Cash Common Stock Credit Calculation Debit $ 20,740 $ 20,740 $ 17,760 2-Sep Equipment Accounts Payable $ 17,760 $ 700 4-Sep Rent expense Cash $ 700 $ 4-Sep No entry - $ - $ 860 5-Sep Supplies Cash $ 860 $ 1,810 8-Sep Cash Service Revenue $ 1,810 $ 420 10-Sep Office expense Cash $ 420 $ 5,850 14-Sep Accounts Receivable Service Revenue $ 5,850 $ 3,800 18-Sep Accounts Payable Cash $ 3,800 $ 2,880 19-Sep Dividends Cash $ 2,880 $ 1,020 20-Sep Cash Accounts Receivable $ 1,020 $ 2,020 25-Sep Accounts Receivable Service Revenue $ 2,020 $ 1,890 $ 93 $ 1,983 30-Sep Salaries and Wages expense office expense Cash Adjusting entries 30-Sep Supplies expense Supplies $ 330 $ 330 $ 296 17760/5*1/12 $ 296 30-Sep Depreciation expense Accumulated Depreciation-Equipment Closing entries 30-Sep Service Revenue Income Summary $ 9,680 $ 9,680 $ 3,729 30-Sep Income Summary Rent expense Office expense Salaries and Wages expense Supplies expense Depreciation expense $ $ $ $ $ 700 513 1,890 330 296 $ 5,951 30-Sep Income Summary Retained Earnings $ 5,951 $ 2,880 30-Sep Retained Earnings Dividends $ 2,880

Credit Charles Wilson, D.D.S. T Accounts Date Debit Date Credit Cash 1-Sep $ 20,740 4-Sep $ 700 8-Sep $ 1,810 5-Sep $ 860 20-Sep $ 1,020 10-Sep $ 420 18-Sep $ 3,800 19-Sep $ 2,880 30-Sep $ 1,983 Date Debit Date Credit Accounts Receivable 14-Sep $ 5,850 20-Sep $ 1,020 25-Sep $ 2,020 Date Debit Date Credit Supplies 5-Sep $ 860 30-Sep $ 330 Date Debit Date Equipment 2-Sep $ 17,760 Bal. $ 530 Bal. $ 17,760 Bal. $ 12,927 Accumulated Depreciation-Equipment 30-Sep $ 296 Bal. $ 6,850 Accounts Payable 18-Sep $ 3,800 2-Sep $ 17,760 Bal. $ 296 Common Stock 1-Sep $ 20,740 Bal $ 13,960 Retained Earnings 30-Sep $ 5,951 30-Sep $ 2,880 Dividends 19-Sep $ 2,880 30-Sep $ 2,880 Income Summary 30-Sep $ 700 30-Sep $ 9,680 30-Sep $ 513 30-Sep $ 1,890 30-Sep $ 330 30-Sep $ 296 30-Sep $ 5,951 Bal. $ 3,071 Bal. $ 20,740 Service Revenue 8-Sep $ 1,810 14-Sep $ 5,850 30-Sep $ 9,680 25-Sep $ 2,020 Rent expense 4-Sep $ 700 Bal. $ office expenses 10-Sep $ 420 30-Sep $ 93 30-Sep $ Bal. $ Salaries and Wages expense 30-Sep $ 1,890 30-Sep $ 700 513 30-Sep $ 1,890 Bal. $ Bal. $ - Bal. $ Supplies expense 30-Sep $ 330 30-Sep $ Bal. S Depreciation expense 30-Sep $ 296 30-Sep $ 330 296 Bal. $ Bal. $

Adjusted TB Debit Credit 12,927 6,850 530 17,760 296 13,960 20,740 Charles Wilson, D.D.S. Account Names Cash Accounts Receivable Supplies Equipment Accumulated Depreciation Equipment Accounts Payable Common Stock Retained Earnings Dividends Service Revenue Rent expense Office expense Salaries and Wages expense Supplies expense Depreciation expense Totals Post Closing TB Debit Credit 12,927 6,850 530 17,760 296 13,960 20,740 3,071 2,880 9,680 700 513 1,890 330 296 44,676 44,676 38,067 38,067

9,680 Charles Wilson, D.D.S. Income Statement For the Month Ended September 30 Service Revenue Expenses Rent expense Office expense Salaries and Wages expense Supplies expense Depreciation expense Total Expenses Net Income 700 513 1,890 330 296 3,729 5,951 Statement of Retained Earnings For the Month Ended September 30 Retained Earnings, September 1 Add: Net Income Less: Dividends Retained Earnings, September 30 5,951 5,951 (2,880) 3,071

Charles Wilson, D.D.S. Balance Sheet As of September 30 Assets Cash Accounts Receivable Supplies Equipment Accumulated Depreciation Equipment Total Assets 12,927 6,850 530 17,760 (296) 37,771 Liabilities & Owners Equity Accounts Payable Common Stock Retained Earnings Total Liabilities & Owners Equity 13,960 20,740 3,071 37,771