Journalizing and posting transactions.On October 1, 2016, Satillo Richey opened an adverti...

Journalizing and posting transactions.

On October 1, 2016, Satillo Richey opened an advertising agency. He plans to use the chart of accounts listed below.

INSTRUCTIONS

1. Journalize the transactions. Number the journal page 1, write the year at the top of the Date column, and include a description for each entry.

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2. Post to the ledger accounts. Before you start the posting process, open accounts by entering account names and numbers in the headings. Follow the order of the accounts in the chart of accounts.

ASSETS

101 Cash

111 Accounts Receivable

121 Supplies

141 Office Equipment

151 Art Equipment

LIABILITIES

202 Accounts Payable

OWNER’S EQUITY

301 Satillo Richey, Capital

302 Satillo Richey, Drawing

REVENUE

401 Fees Income

EXPENSES

511 Office Cleaning Expense

514 Rent Expense

517 Salaries Expense

520 Telephone Expense

523 Utilities Expense

Analyze: What is the balance of account 202 in the general ledger?