a. Record the above transactions for April using the financial statement effects template. b.ThefollowingaccountsinitsgeneralledgerareneededtorecordthetransactionsforApril: Cash;AccountsReceivable;Supplies;PrepaidVanLease;Equipment;AccountsPayable; NotesPayable;CommonStock;RetainedEarnings;CleaningFeesEarned;VanFuelExpense; AdvertisingExpense;andWagesExpense.RecordtheabovetransactionsforAprilinjournal entryform. c. Set up T-accounts for each of the ledger accounts and post the entries to them (key the num- bers in T-accounts by date)
Q: THE SMITH COMPANY Using the business transactions below, complete T-accounts for the Smith Company.…
A: Journal Entries - Journal Entries are the recording of transactions of the organization. It is…
Q: Toonie Tuesday Company began business on February 1, 2020 Record journal entries for each of the…
A: Golden rules of accounting works as base for preparing accounting entries for permanent accounts and…
Q: THE SMITH COMPANY Using the business transactions below, complete T-accounts for the Smith Company.…
A: answers CASH ACCOUNT HEADS DEBIT CREDIT BALANCE CAPITAL 120,000…
Q: THE SMITH COMPANY Using the business transactions below, complete T-accounts for the Smith Company.…
A: T Accounts 1. Cash Account Particular Debit Particular Credit To capital A/c…
Q: Apex Systems Co. For the fiscal year ended in December 31,2019, are as follows: Bart Nesbit,…
A: The shareholders equity statement is prepared to know the net increase or decrease in owner’s share…
Q: From the ledger balances given below, prepare a trial balance for the Marigold Corp. at June 30,…
A: Trial balance for Marigold corp. is as follows:
Q: Prepare a statement of owner's equity for the year ended August 31, 2019. Barb Schroeder, the owner,…
A:
Q: For the past several years, Steffy Lopez has operated a part-time consulting business from his home.…
A: Hi since you have asked a question with multiple subparts, we are solving the 1st 3 subparts for…
Q: Journal entries and trial balanceOn October 1, 2016, Jay Crowley established Affordable Realty,…
A: “Since you have asked multiple questions, we will solve the first question for you. If you want a…
Q: The trial balance of Harper Service Center on March 1, 2019, lists the entity’s assets, liabilities,…
A: Accounts Receivables-:Accounts receivable is the proportion of money due to a corporation for…
Q: The trial balance of Dunn Service Center, Inc., on March 1, 2018, lists the entity’s assets,…
A: Hello. Since your question has multiple sub-parts, we will solve first three sub-parts for you. If…
Q: On April 1, 2019, Maria Adams established Custom Realty. Maria completed the following transactions…
A: Accounting equation: Accounting equation is an accounting tool expressed in the form of equation, by…
Q: Nelson Daganta formed the Liceo Signages on Oct. 1, 2019. He deposited P250,000 in GE Money Bank…
A: According to accounting equation, assets equal to sum of liabilities and equity.
Q: Prepare general journal entries to record the following transactions for XYZ Group that occurred…
A: Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: ransactions; Financial Statements Bev’s Dry Cleaners is owned and operated by Beverly Zahn. A…
A: Capital is the total amount invested by the owners and shareholders of the company. Net income…
Q: Journal entries and trial balanceOn January 1, 2019, Sharon Matthews established Tri-City Realty,…
A: Journal entry is the process of recording the business transactions in the books of accounts for the…
Q: Transactions; Financial Statements On July 1, 2019, Pat Glenn established Half Moon Realty. Pat…
A: The accounting equation describes the total of all assets are equals to total liabilities and…
Q: THE SMITH COMPANY Using the business transactions below, complete T-accounts for the Smith Company.…
A: Journal Entries - Journal Entries are the recording of transactions of the organization. It is…
Q: THE SMITH COMPANY Using the business transactions below, complete T-accounts for the Smith Company.…
A: answers CASH ACCOUNT HEADS DEBIT CREDIT BALANCE CAPITAL 120,000 120,000…
Q: make - journal entries - T accounts - financial statement - worksheet
A: Financial statements are the final reports of a company, made at the end of a financial period. They…
Q: Recording Transactions in a Financial Transaction Worksheet Stephanie Calamba is the owner of the…
A: Accounting Equation in accounting means after every transaction, total of assets should be equal to…
Q: Read: From the Ledger balances below, listed in alphabetical order, Prepare a Trial Balance for…
A: Trial balance is the summary of all general ledger account balances in the business.
Q: THE SMITH COMPANY Using the business transactions below, complete T-accounts for the Smith Company.…
A:
Q: Transactions; Financial Statements On July 1, 2019, Pat Glenn established Half Moon Realty. Pat…
A: Accounting equation is to be considered as the origination of double entry system where all the…
Q: Analyse the following transactions as per the accounting equation and calculate the equity for the…
A: Accounting equations states that every transaction has two aspects, that is, debit and credit. It…
Q: THE SMITH COMPANY Using the business transactions below, complete T-accounts for the Smith Company.…
A: A t-account is a log or list of accounts that keep track of account transfers.
Q: On April 1, 2020, Nels Ferrer organized a business called Friendly Trucking. During April, company…
A: Journal entry: It is also called as book of original entry. It is used to record a financial…
Q: On October 1, 2018 Abdullah formed Accounting Consulting Co. to provide accounting services. The…
A: Balance sheet is a financial statement which is prepared to analyse financial position of business.…
Q: Journalize the following transactions for Mars Company for July 2020, the company's first month of…
A: Journal entries refer to the recording of transactions in an appropriate way. With the help of…
Q: Transactions; Financial Statements On July 1, 2019, Pat Glenn established Half Moon Realty. Pat…
A: Financial statement are prepared by financial managers and accountants to summarize the financial…
Q: Kelly Pitney began her consulting business, Kelly Consulting, on April 1, 2019. The accounting cycle…
A: Journal entries refer to the systematic documentation of all the financial transactions of a company…
Q: THE SMITH COMPANY Using the business transactions below, complete T-accounts for the Smith Company.…
A: T-account is used to maintain records using the double-entry system, debits are on the left side and…
Q: Domingo Company started its business on January 1, 2019. The following transactions occurredduring…
A: Journal entries recording is the first step of accounting process, under which atleast one account…
Q: On October 1, 2018 Abdullah formed Accounting Consulting Co. to provide accounting services. The…
A: Transactions are recorded in the form of journal entries. Then posted into ledger and afterword…
Q: On July 1, 2019, Tim Stein established his own accounting practice. Selected transactions for the…
A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…
Q: Transactions; Financial Statements Bev's Dry Cleaners is owned and operated by Beverly Zahn. A…
A: 1. Income Statement - Income Statement includes revenue earned and expense incurred by the…
Q: Kelly Pitney began her consulting business, Kelly Consulting, on April 1, 2019. The accounting cycle…
A: As Exhibit 9 is not provided in the question, we have used the general chart of accounts. As you…
Q: Recording Transactions in a Financial Transaction Worksheet On Mar. 1, 2020, Froilan Labausa…
A: The corporation uses the financial worksheet by analyzing the effects of each transaction on its…
Q: October 1, 2018. During the month of October, the following transactions occurred: October 1:…
A: “Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…
Q: Financial information related to Udder Products Company, a proprietorship, for the month ended April…
A: a. Prepare statement of owner's equity
Q: On May 1, 2020, Sadaf Oman Company reported accounts payable balance of RO 10,000. During May Sadaf…
A: Accounts receivable account is the money balance due to the money due to a firm for goods or service…
Q: The account balances of Sentinel Travel Service for the year ended August 31, 2019, are listed…
A: Given opening balance of capital = $380,000 Additional capital invested = $36,000 Withdrawals =…
Q: Transactions; finacial statements Bev's Dry Cleaners is owned and operated by Beverly Zahn.A…
A: Hi student Since there are multiple subparts, we will answer only first three subparts.
Q: Transactions; Financial Statements Bev's Dry Cleaners is owned and operated by Beverly Zahn. A…
A: Statement of owners equity shows total amount attributable to the owners of the business and Balance…
Q: Kelly Pitney began her consulting business, Kelly Consulting, on April 1, 2019. The accounting cycle…
A: As Exhibit 9 is not provided in the question, we have used the general chart of accounts. As you…
Q: On July 1, 2020, Academic Learning Services entered its second month of operations. On July 31,…
A: The income statement is a vital part of the financial statement. It is used for reporting the…
Q: THE SMITH COMPANY Using the business transactions below, complete T-accounts for the Smith Company.…
A: Journal entry: A journal entry is used to record day-to-day transactions of the business by debiting…
Q: Transactions; Financial Statements On July 1, 2019, Pat Glenn established Half Moon Realty. Pat…
A: 1.
Q: Directions: Do the task listed below using the transactions of Matapang Company for December 2019.…
A: Solution 1) Journal Entries Date Particulars Debit Credit 01-12-2019…
Q: Transactions; Financial Statements On July 1, 2019, Pat Glenn established Half Moon Realty. Pat…
A: The accounting equation records the transactions in equation for such as assets equal to sum of…
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
- The transactions completed by PS Music during June 2019 were described at the end of Chapter 1. The following transactions were completed during July, the second month of the businesss operations: July 1.Peyton Smith made an additional investment in PS Music by depositing 5,000 in PS Musics checking account. 1.Instead of continuing to share office space with a local real estate agency, Peyton decided to rent office space near a local music store. Paid rent for July, 1,750. 1.Paid a premium of 2,700 for a comprehensive insurance policy covering liability, theft, and fire. The policy covers a one-year period. 2.Received 1,000 cash from customers on account. 3.On behalf of PS Music, Peyton signed a contract with a local radio station, KXMD, to provide guest spots for the next three months. The contract requires PS Music to provide a guest disc jockey for 80 hours per month for a monthly fee of 3,600. Any additional hours beyond 80 will be billed to KXMD at 40 per hour. In accordance with the contract, Peyton received 7,200 from KXMD as an advance payment for the first two months. 3.Paid 250 to creditors on account. 4.Paid an attorney 900 for reviewing the July 3 contract with KXMD. (Record as Miscellaneous Expense.) 5.Purchased office equipment on account from Office Mart, 7,500. 8.Paid for a newspaper advertisement, 200. 11.Received 1,000 for serving as a disc jockey for a party. 13.Paid 700 to a local audio electronics store for rental of digital recording equipment. 14.Paid wages of 1,200 to receptionist and part-time assistant. Enter the following transactions on Page 2 of the two-column journal: 16.Received 2,000 for serving as a disc jockey for a wedding reception. 18.Purchased supplies on account, 850. July 21. Paid 620 to Upload Music for use of its current music demos in making various music sets. 22.Paid 800 to a local radio station to advertise the services of PS Music twice daily for the remainder of July. 23.Served as disc jockey for a party for 2,500. Received 750, with the remainder due August 4, 2019. 27.Paid electric bill, 915. 28.Paid wages of 1,200 to receptionist and part-time assistant. 29.Paid miscellaneous expenses, 540. 30.Served as a disc jockey for a charity ball for 1,500. Received 500, with the remainder due on August 9, 2019. 31.Received 3,000 for serving as a disc jockey for a party. 31.Paid 1,400 royalties (music expense) to National Music Clearing for use of various artists music during July. 31.Withdrew 1,250 cash from PS Music for personal use. PS Musics chart of accounts and the balance of accounts as of July 1, 2019 (all normal balances), are as follows: Instructions 1. Enter the July 1, 2019, account balances in the appropriate balance column of a four-column account. Write Balance in the Item column and place a check mark () in the Posting Reference column. (Hint: Verify the equality of the debit and credit balances in the ledger before proceeding with the next instruction.) 2. Analyze and journalize each transaction in a two-column journal beginning on Page 1, omitting journal entry explanations. 3. Post the journal to the ledger, extending the account balance to the appropriate balance column after each posting. 4. Prepare an unadjusted trial balance as of July 31, 2019.The transactions completed by PS Music during June 2019 were described at the end of Chapter 1. The following transactions were completed during July, the second month of the business's operations: July 1. Peyton Smith made an additional investment in PS Music by depositing 5,000 in PS Music's checking account. 1. Instead of continuing to share office space with a local real estate agency, Peyton decided to rent office space near a local music: store. Paid rent for July, 1,750. 1. Paid a premium of 2,700 for a comprehensive insurance policy covering liability, theft, and fire. The policy covers a one-year period. 2. Received 1,000 cash from customers on account. 3. On behalf of PS Music, Peyton signed a contract with a local radio station, KXMD, to provide guest spots for the next three months. The contract requires PS Music to provide a guest disc jockey for SO hours per month for a monthly fee of 3,600. Any additional hours beyond SO will be billed to KXMD at 40 per hour. In accordance with the contract, Peyton received 7,200 from KXMD as an advance payment for the first two months. 3. Paid 250 to creditors on account. 4. Paid an attorney 900 for reviewing the July 3 contract with KXMD. (Record as Miscellaneous Expense.) 5. Purchased office equipment on account from Office Mart, 7,500. 8. Paid for a newspaper advertisement, 200. 11. Received 1,000 for serving as a disc jockey for a party. 13. Paid 700 to a local audio electronics store for rental of digital recording equipment. 11. Paid wages of 1,200 to receptionist and part-time assistant. Enter the following transactions on Page 2 of the two-column journal: 16. Received 2,000 for serving as a disc jockey for a wedding reception. 18. Purchased supplies on account, 850. July 21. Paid 620 to Upload Music for use of its current music demos in making various music sets. 22. Paid 800 to a local radio station to advertise the services of PS Music twice daily for the remainder of July. 23. Served as disc jockey for a party for 2,500. Received 750, with the remainder due August 4, 2019. 27. Paid electric bill, 915. 28. Paid wages of 1,200 to receptionist and part-time assistant. 29. Paid miscellaneous expenses, 540. 30. Served as a disc jockey for a charity ball for 1,500. Received 500, with the remainder due on August 9, 2019. 31. Received 3,000 for serving as a disc jockey for a party. 31. Paid 1,400 royalties (music expense) to National Music Clearing for use of various artists' music during July. 31. Withdrew l,250 cash from PS Music for personal use. PS Music's chart of accounts and the balance of accounts as of July 1, 2019 (all normal balances), are as follows: 11 Cash 3,920 12 Accounts receivable 1,000 14 Supplies 170 15 Prepaid insurance 17 Office Equipment 21 Accounts payable 250 23 Unearned Revenue 31 Peyton smith, Drawing 4,000 32 Fees Earned 500 41 Wages Expense 6,200 50 Office Rent Expense 400 51 Equipment Rent Expense 800 52 Utilities Expense 675 53 Supplies Expense 300 54 music Expense 1,590 55 Advertising Expense 500 56 Supplies Expense 180 59 Miscellaneous Expense 415 Instructions 1.Enter the July 1, 2019, account balances in the appropriate balance column of a four-column account. Write Balance in the Item column and place a check mark () in the Posting Reference column. (Hint: Verify the equality of the debit and credit balances in the ledger before proceeding with the next instruction.) 2.Analyze and journalize each transaction in a two-column journal beginning on Page 1, omitting journal entry explanations. 3.Post the journal to the ledger, extending the account balance to the appropriate balance column after each posting. 4.Prepare an unadjusted trial balance as of July 31, 2019.On October 1, 2019, Jay Pryor established an interior decorating business, Pioneer Designs. During the month, Jay completed the following transactions related to the business: Oct. 1. Jay transferred cash from a personal bank account to an account to be used for the business, 18,000. 4.Paid rent for period of October 4 to end of month, 3,000. 10.Purchased a used truck for 23,750, paying 3,750 cash and giving a note payable for the remainder. 13.Purchased equipment on account, 10,500. 14.Purchased supplies for cash, 2,100. 15.Paid annual premiums on property and casualty insurance, 3,600. 15.Received cash for job completed, 8,950. Enter the following transactions on Page 2 of the two-column journal: 21.Paid creditor a portion of the amount owed for equipment purchased on October 13, 2,000. 24.Recorded jobs completed on account and sent invoices to customers, 14,150. 26.Received an invoice for truck expenses, to be paid in November, 700. 27.Paid utilities expense, 2,240. 27.Paid miscellaneous expenses, 1,100. Oct. 29. Received cash from customers on account, 7,600. 30.Paid wages of employees, 4,800. 31.Withdrew cash for personal use, 3,500. Instructions 1. Journalize each transaction in a two-column journal beginning on Page 1, referring to the following chart of accounts in selecting the accounts to be debited and credited. (Do not insert the account numbers in the journal at this time.) Journal entry explanations may be omitted. 2. Post the journal to a ledger of four-column accounts, inserting appropriate posting references as each item is posted. Extend the balances to the appropriate balance columns after each transaction is posted. 3. Prepare an unadjusted trial balance for Pioneer Designs as of October 31, 2019. 4. Determine the excess of revenues over expenses for October. 5. Can you think of any reason why the amount determined in (4) might not be the net income for October?
- The following selected accounts and their current balances appear in the ledger of Clairemont Co. for the fiscal year ended May 31, 2019: Instructions 1. Prepare a multiple-step income statement. 2. Prepare a statement of owners equity. 3. Prepare a balance sheet, assuming that the current portion of the note payable is 50,000. 4. Briefly explain how multiple-step and single-step income statements differ.Domingo Company started its business on January 1, 2019. The following transactions occurred during the month of May. Prepare the journal entries in the journal on Page 1. A. The owners invested $10,000 from their personal account to the business account. B. Paid rent $500 with check #101. C. Initiated a petty cash fund $500 with check #102. D. Received $1,000 cash for services rendered. E. Purchased office supplies for $158 with check #103. F. Purchased computer equipment $2,500, paid $1,350 with check #104, and will pay the remainder in 30 days. G. Received $800 cash for services rendered. H. Paid wages $600, check #105. I. Petty cash reimbursement: office supplies $256, maintenance expense $108, postage expense $77, miscellaneous expense $55. Cash on hand $11. Check #106. J. Increased petty cash by $30, check #107.Lavender Company started its business on April 1, 2019. The following are the transactions that happened during the month of April. Prepare the journal entries in the journal on Page 1. A. The owners invested $7,500 from their personal account to the business account. B. Paid rent $600 with check #101. C. Initiated a petty cash fund $250 check #102. D. Received $350 cash for services rendered. E. Purchased office supplies for $125 with check #103. F. Purchased computer equipment $1,500, paid $500 with check #104, and will pay the remainder in 30 days. G. Received $750 cash for services rendered. H. Paid wages $375, check #105. I. Petty cash reimbursement Office Supplies $50, Maintenance Expense $80, Miscellaneous Expense $60. Cash on hand $8. Check #106. J. Increased Petty Cash by $70, check #107.
- Journal entries and trial balance On August 1, 20Y7, Rafael Masey established Planet Realty, which completed the following transactions during the month: a. Rafael Masey transferred cash from a personal bank account to an account to be used for the business in exchange for common stock, 17,500. b. Purchased supplies on account, 2,300. c. Earned sales commissions, receiving cash, 13,300. d. Paid rent on office and equipment for the month, 3,000. e. Paid creditor on account, 1,150. f. Paid dividends, 1,800. g. Paid automobile expenses (including rental charge) for month, 1,500, and miscellaneous expenses, 400. h. Paid office salaries, 2,800. i. Determined that the cost of supplies used was 1,050. Instructions 1. Journalize entries for transactions (a) through (i), using the following account titles: Cash, Supplies, Accounts Payable, Common Stock, Dividends, Sales Commissions, Rent Expense, Office Salaries Expense, Automobile Expense, Supplies Expense, Miscellaneous Expense. Journal entry explanations may be omitted. 2. Prepare T accounts, using the account titles in (1). Post the journal entries to these accounts, placing the appropriate letter to the left of each amount to identify the transactions. Determine the account balances, after all posting is complete. Accounts containing only a single entry do not need a balance. 3. Prepare an unadjusted trial balance as of August 31, 20Y7. 4. Determine the following: a. Amount of total revenue recorded in the ledger. b. Amount of total expenses recorded in the ledger. c. Amount of net income for August. 5. Determine the increase or decrease in retained earnings for August.Inner Resources Company started its business on April 1, 2019. The following transactions occurred during the month of April. Prepare the journal entries in the journal on Page 1. A. The owners invested $8,500 from their personal account to the business account. B. Paid rent $650 with check #101. C. Initiated a petty cash fund $550 check #102. D. Received $750 cash for services rendered. E. Purchased office supplies for $180 with check #103. F. Purchased computer equipment $8,500, paid $1,600 with check #104 and will pay the remainder in 30 days. G. Received $1,200 cash for services rendered. H. Paid wages $560, check #105. I. Petty cash reimbursement office supplies $200, Maintenance Expense $140, Miscellaneous Expense $65. Cash on Hand $93. Check #106. J. Increased Petty Cash by $100, check #107.Kelly Pitney began her consulting business, Kelly Consulting, on April 1, 2019. The accounting cycle for Kelly Consulting for April, including financial statements, was illustrated in this chapter. During May, Kelly Consulting entered into the following transactions: May 3. Received cash from clients as an advance payment for services to be provided and recorded it as unearned fees, 4,500. 5. Received cash from clients on account, 2,450. 9. Paid cash for a newspaper advertisement, 225. 13. Paid Office Station Co. for part of the debt incurred on April 5, 640. 15. Provided services on account for the period May 115, 9,180. 16. Paid part-time receptionist for two weeks' salary including the amount owed on April 30, 750. 17. Received cash from cash clients for fees earned during the period May 116, 8,360. Record the following transactions on Page 6 of the journal: 20. Purchased supplies on account, 735. 21. Provided services on account for the period May 1620, 4,820. 25. Received cash from cash clients for fees earned for the period May 1723, 7,900. 27. Received cash from clients on account, 9,520. 28. Paid part-time receptionist for two weeks' salary, 750. 30. Paid telephone bill for May, 260. 31. Paid electricity bill for May, 810. 31. Received cash from cash clients for fees earned for the period May 2631, 3,300. 31. Provided services on account for the remainder of May, 2,650. 31. Kelly withdrew 10,500 for personal use. Instructions 1.The chart of accounts for Kelly Consulting is shown in Exhibit 9, and the post-closing trial balance as of April 30, 2019, is shown in Exhibit 17. For each account in the post-closing trial balance, enter the balance in the appropriate Balance column of a four-column account. Date the balances May 1, 2019, and place a check mark () in the Posting Reference column Journalize each of the May transactions in a two column Journal starting on Page 5 of the journal and using Kelly Consulting's chart of accounts. (Do not insert the account numbers in the journal at this time.) 2.Post the journal to a ledger of four-column accounts. 3Prepare an unadjusted trial balance. 4.At the end of May, the following adjustment data were assembled. Analyze and use these data to complete parts (5) and (6). a.Insurance expired during May is 275. b.Supplies on hand on May 3 1 are 715. c.Depreciation of office equipment for May is 330. d.Accrued receptionist salary on May 31 is 325. e.Rent expired during May is 1,600. f.Unearned fees on May 31 are 3,210. 5.(Optional) Enter the unadjusted trial balance on an end-of-period spreadsheet and complete the spreadsheet. 6.Journalize and post the adjusting entries. Record the adjusting entries on Page 7 of the journal. 7.Prepare an adjusted trial balance. 8.Prepare an income statement, a statement of owner's equity, and a balance sheet. 9.Prepare and post the closing entries. Record the closing entries on Page 8 of the journal. Indicate closed accounts by inserting a line in both Balance columns opposite the closing entry. 10.Prepare a post-closing trial balance.
- Hajun Company started its business on May 1, 2019. The following transactions occurred during the month of May. Prepare the journal entries in the journal on Page 1. A. The owners invested $5,000 from their personal account to the business account. B. Paid rent $400 with check #101. C. Initiated a petty cash fund $200 check #102. D. Received $400 cash for services rendered E. Purchased office supplies for $90 with check #103. F. Purchased computer equipment $1,000, paid $350 with check #104 and will pay the remainder in 30 days. G. Received $500 cash for services rendered. H. Paid wages $250, check #105. I. Petty cash reimbursement office supplies $25, Maintenance Expense $125, Miscellaneous Expense $35. Cash on hand $18. Check #106. J. Increased Petty Cash by $50, check #107.Using the income statement for Adventure Travel Service shown in Practice Exercise 1-4A, prepare a statement of owners equity for the year ended April 30, 2019. Jerome Foley, the owner, invested an additional 60,000 in the business during the year and withdrew cash of 40,000 for personal use. Jerome Foley, capital as of May 1, 2018, was 1,020,000.The transactions completed by PS Music during June 2018 were described at the end of Chapter 1. The following transactions were completed during July, the second month of the businesss operations: July 1. Peyton Smith made an additional investment in PS Musk in exchange for common stock by depositing 5,000 in PS Music s checking account. 1. Instead of continuing to share office space with a local real estate agency, Peyton decided to rent office space near a local music store. Paid rent for July, 1,750. 1. Paid a premium of 2,700 for a comprehensive insurance policy covering liability, theft, and fire. The policy covers a one-year period. 2. Received 1,000 on account. 3. On behalf of PS Music, Peyton signed a contract with a local radio station, KXMD, to provide guest spots for the next three months. The contract requires PS Music to provide a guest disc jockey for 80 hours per month for a monthly fee of 3,600. Any additional hours beyond 80 will be billed to KXMD at 40 per hour. In accordance with the contract, Peyton received 7,200 from KXMD as an advance payment for the first two months. 3. Paid 250 on account. 4. Paid an attorney 900 for reviewing the July 3 contract with KXMD. (Record as Miscellaneous Expense.) 5. Purchased office equipment on account from Office Mart, 7,500. 8. Paid for a newspaper advertisement, 200. 11. Received 1,000 for serving as a disc jockey for a party. 13. Paid 700 to a local audio electronics store for rental of digital recording equipment. 14. Paid wages of 1,200 to receptionist and part-time assistant. Enter the following transactions on lage 2 of the two-column journal: 16. Received 2,000 for serving as a disc jockey for a wedding reception. 18. Purchased supplies on account, 850. 21. Paid 620 to Upload Music for use of its current music demos in making various music sets. 22. Paid 800 to a local radio station to advertise the services of PS Music twice daily for the remainder of July. 23. Served as disc jockey for a party for 2,500. Received 750, with the remainder due August 4, 2018. 27. Paid electric bill, 915. 28. Paid wages of 1,200 to receptionist and part-time assistant. 29. Paid miscellaneous expenses, 540. 30. Served as a disc jockey for a charity ball for 1,500. Received 500, with the remainder due on August 9, 2018. 31. Received 3,000 for serving as a disc jockey for a party. July 31. Paid 1,400 royalties (music expense) to National Music Clearing for use of various artists music during July. 31. Paid dividends, 1,250. PS Musics chart of accounts and the balance of accounts as of July 1, 2018 (all normal balances), are as follows: 11 Cash 3,920 41 Fees Earned 6,200 12 Accounts Receivable 1,000 50 Wages Expense 400 14 Supplies 170 51 Office Rent Expense 800 15 Prepaid Insurance 52 Equipment Rent Expense 675 17 Office Equipment 53 Utilities Expense 300 21 Accounts Payable 250 54 Music Expense 1,590 23 Unearned Revenue 55 Advertising Expense 500 31 Common Stock 4,000 56 Supplies Expense 180 33 Dividends 500 59 Miscellaneous Expense 415 Instructions 1. Enter the July 1, 2018, account balances in the appropriate balance column of a four-column account. Write Balance in the Item column, and place a check mark () in the Posting Reference column. {Hint: Verify the equality of the debit and credit balances in the ledger before proceeding with the next instruction.) 2. Analyze and journalize each transaction in a two-column journal beginning on Page 1, omitting journal entry explanations. 3. Post the journal to the ledger, extending the account balance to the appropriate balance column after each posting. 4. Prepare an unadjusted trial balance as of July 31, 2018.