Question

P2-30A Journalizing transactions, posting journal entries to T-accounts, and preparing a trial balance.

P2-30A Journalizing transactions, posting journal entries to T-accounts, and preparing a trial balance Learning Objectives 3,4 4 Toal Debits $50.050 Doris Sewart sarted her practice as a design consulant on September 1, 2015. During the first month of operations, the business completed the following transactions Sep. 1 Received $42,000 cash and gave capital to Stewart 4 Purchased office supplies, $700, and furniture, $1,900, on account 6 Performed services for a law firm and received $1,400 cash. 7 Paid $24,000 cash to acquire land to be used in operations 10 Performed services for a hotel and received its promise to pay the $1,000 within one week. 14 Paid for the furniture purchased on September 4 on account. 15 Paid assistant's semimonthly salary,$1,490 17 Received cash on account, $400 20 Prepared a design for a school on account, $700 25 Received $1,800 cash for design services to be performed in October. 28 Received $2,100 cash for consulting with Plummer&Gordon. Paid $1,200 cash for a 12-month insurance policy starting on October 1 29 30 Paid assistant's semimonthly salary. $1,490 30 Paid monthl rent expense, 5650 0 Received a bill for utbilities, $350. The bill will be paid next month 30 Stewart withdrew cash of $3,000 Requirements 1. Record each transaction in the journal using the following account titles: Cash; Accounts Receivable Office Supplies; Prepaid Insurance; Furniture; Land; Accounts Payable; Utilities Payable Unearned Revenue; Stewart, Capital; Stewart, Withdrawals; Service Revenue; Salaries Expense Rent Expense: Utilities Expense. Explanations are not required. 2. Open a T-account for each of the accounts. 3. Post the journal entries to the T-accounts, using transaction dates as posting references in the ledger accounts. Label the balance of each account Bal 4. Prepare the trial balance of Doris Stewart, Designer, as of September 30, 2015.

Answer 1

Date AccountsTitle Debit Credit Sep-01 Cash $ 42,000 Stewart's Capital $ 42,000 Office Supplies Se 700 $ 1,900 Furinture Accounts pavable Office Supplies 700 $1,900 Accounts pavable Furinture Cash Se 1.400 Service Revenue 1.400 S 24.000 Sep-07 Land Cash $ 24,000 $1,000 Sep-10 Accounts receivable Service Revenue $ 1.000 Sep-14 Account pavable -Furinture $ 1,900 $1,900 Cash $ 1.490 Sep-15|Salaries expenses $ 1.490 Cash 400 Sep-17 Cash 400 Accounts Receivable Sep-20 Accounts Receivable 700 Service Revenue 700

Sep-25 Cash $1.800 Unearned Revenue $1.800 Sep-28 Cash 2,100 Service Revenue 2,100 Sep-29 Prepaid Insurance $ 1.200 Cash $1.200 $ 1.490 Sep-30 Salaries Expenses $ 1.490 Cash Sep-30 Rent Ex 650 ses Cash 650 Sep-30 Utilities Expenses 350 Utilities Expenses pavable 350 Sep-30 Stewart's Drawing $3,000 S3,000 Cash

Cash Particulars Particulars Amount Amount Stewart's Capital $ 42,000 Accounts payable Furinture$1,900 S 1.400 Land Service Revenue $ 24,000 $ 1.490 Accounts receivable 400 Salaries expenses $ 1.490 Unearned Revenue 1.800 Salaries expenses $ 2,100 Prepaid Insurance Service Revenue $1.200 Rent Expenses 650 Stewart's Drawing S3.000 Closing Balance 13.970 47,700 47,700 Stewart's Capital Particulars Particulars Amount Amount Stewart's Drawing $ 3.000 Cash $ 42,000 Closing balance $ 39,000 $ 42,000 $ 42,000 Office Supplies Particulars Particulars Amount Amount Accounts payable - Office Supplies $ 700 Closing Balance 700 700 700 Furinture Particulars Particulars Amount Amount Accounts pavable Furinture $ 1,900 Closing Balance $ 1,900 $ 1,900 $ 1,900

Accounts pavable Office Supplies Particulars Particulars Amount Amount Closing balance $ 700 Office Supplies 700 700 700 Accounts payable Furinture Particulars Particulars Amount Amount Furinture $ 1,900 Cash $ 1,900 $ 1,900 $ 1,900 Service Revnue Particulars Particulars Amount Amount Income Statement$5,200 Cash 1.400 Accounts receivable1,000 Accounts receivable $ 700 Cash 2,100 S5.200 5.200 Land Particulars Particulars Amount Amount S 24.000 Cash $ 24,000 Closing Balance S 24.000 S 24.000

Accounts receivable Particulars Amount Particulars Amount Service Revnue $ 1,000 Cash 400 Service Revnue $700 Closing balance 1,300 $ 1,700 $ 1,700 Salaries Expenses Particulars Amount Particulars Amount Cash $ 1.490 Income Statement 2,980 Cash $1.490 $2,980 $2,980 Unearned Revenue Particulars Amount Particulars Amount Closing Balance $1,800 Cash $ 1,800 $ 1,800 $ 1,800 Prepaid Insurance Particulars Amount Particulars Amount Cash $ 1,200| Closing Balance$ 1,200 S 1,200 S 1,200

Rent Expenses Particulars Amount Particulars Amount Cash $650 Income Statement 650 $650 650 Utilities Expenses Particulars Amount Particulars Amount Utility Expenses payable350 Income Statement$350 $350 $350 Utility Expenses pavable Particulars Amount Particulars Amount Closing Balance $350 Utilities Expenses$350 $350 $350 Stewart'S drawing Particulars Amount Particulars Amount Cash $ 3,000| Stewart's Capital 3,000 $3.000 $3.000

Trail Balance Accounts title Debit Credit Cash 13.970 $ 39,000 Stewart's Capital Office Supplies 700 Furinture $ 1,900 Accounts pavable Office Supplies 700 Service Revnue 5.200 S 24.000 Land Accounts receivable $ 1.300 $2,980 Salaries Expenses Unearned Revenue $1,800 Prepaid Insurance $1.200 Utility Expenses pavable 350 Utilities Expenses 350 Rent Expenses 650 47,050$ 47,050