For the past several years, Jolene Upton has operated a part-time consulting business from her home. As of July 1, 2019, Jolene decided to move to rented quarters and to operate the business, which was to be known as Gourmet Consulting, on a full-time basis. Gourmet Consulting entered into the following transactions during July:Jul.1The following assets were received from Jolene Upton: cash, $19,000; accounts receivable, $22,300; supplies, $3,800; and office equipment, $8,900. There were no liabilities received. 1Paid three months’ rent on a lease rental contract, $6,000. 2Paid the premiums on property and casualty insurance policies, $4,500. 4Received cash from clients as an advance payment for services to be provided and recorded it as unearned fees, $8,000. 5Purchased additional office equipment on account from Office Necessities Co., $5,100. 6Received cash from clients on account, $12,750. 10Paid cash for a newspaper advertisement, $500. 12Paid Office Necessities Co. for part of the debt incurred on July 5, $3,000. 12Provided services on account for the period July 1–12, $14,200. 14Paid receptionist for two weeks’ salary, $1,500. Record the following transactions on Page 2 of the journal:Jul.17Received cash from cash clients for fees earned during the period July 1–17, $10,400. 18Paid cash for supplies, $1,000. 20Provided services on account for the period July 13–20, $9,000. 24Received cash from cash clients for fees earned for the period July 17–24, $8,500. 26Received cash from clients on account, $12,000. 27Paid receptionist for two weeks’ salary, $1,500. 29Paid telephone bill for July, $325. 31Paid electricity bill for July, $675. 31Received cash from cash clients for fees earned for the period July 25–31, $7,100. 31Provided services on account for the remainder of July, $5,500. 31Jolene withdrew $20,000 for personal use.  Required:1.Journalize each transaction in a two-column journal starting on Page 1, referring to the chart of accounts in selecting the accounts to be debited and credited. (Do not insert the account numbers in the journal at this time.)2.Post the July transactions.A.Download the spreadsheet in the Ledger panel and save the Excel file to your computer. Use the spreadsheet to post the July transactions from the journal to a ledger of four-column accounts. Be sure to save your work in Excel as it will be used to complete the following steps in Part 1 of this problem as well as steps in Part 2 of this problem. Your input into the spreadsheet will not be included in your grade in CengageNOW on this problem.B.Add the appropriate posting reference to the journal in CengageNOW.3. Prepare an unadjusted trial balance.4.At the end of July, the following adjustment data were assembled. Analyze and use these data to complete requirements (5) and (6).•Insurance expired during July is $375.•Supplies on hand on July 31 are $2,850.•Depreciation of office equipment for July is $400.•Accrued receptionist salary on July 31 is $140.•Rent expired during July is $2,000.•Unearned fees on July 31 are $3,000.5.(Optional) On your own paper or spreadsheet, enter the unadjusted trial balance on an end-of-period work sheet and complete the spreadsheet. Find a blank end-of-period work sheet in the Excel spreadsheet you previously downloaded.6.A.Journalize the adjusting entries on page 3 of the journal. Adjusting entries are recorded on July 31.B.Use the attached spreadsheet in the Ledger panel to post the adjusting entries to the ledger of four-column accounts, inserting balances is the accounts affected. Add the appropriate posting reference to the adjusting entries in the journal in CengageNOW.7.Prepare an adjusted trial balance.8. If you completed the end-of-period work sheet in Part 1, use the adjusted trial balance figures to prepare an income statement, a statement of owner’s equity, and a balance sheet for the month ended July 31, 2019. If you didn’t complete the end-of-period work sheet in Part 1, use the ledger (the Excel spreadsheet) to prepare an income statement, a statement of owner’s equity, and a balance sheet for the month ended July 31, 2019. *If the account balance is zero (0), enter a zero (0). *Be sure to read the instructions for each financial statement carefully.9.A.Journalize the closing entries on page 4 of the journal. Closing entries are recorded on July 31.B.Use the spreadsheet to post the closing entries to the ledger of four-column accounts, inserting balances in the accounts affected. Add the appropriate posting reference to the closing entries in the journal in CengageNOW.10. Prepare a post-closing trial balance.

Question
Asked Oct 9, 2019
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For the past several years, Jolene Upton has operated a part-time consulting business from her home. As of July 1, 2019, Jolene decided to move to rented quarters and to operate the business, which was to be known as Gourmet Consulting, on a full-time basis. Gourmet Consulting entered into the following transactions during July:
Jul. 1 The following assets were received from Jolene Upton: cash, $19,000; accounts receivable, $22,300; supplies, $3,800; and office equipment, $8,900. There were no liabilities received.
  1 Paid three months’ rent on a lease rental contract, $6,000.
  2 Paid the premiums on property and casualty insurance policies, $4,500.
  4 Received cash from clients as an advance payment for services to be provided and recorded it as unearned fees, $8,000.
  5 Purchased additional office equipment on account from Office Necessities Co., $5,100.
  6 Received cash from clients on account, $12,750.
  10 Paid cash for a newspaper advertisement, $500.
  12 Paid Office Necessities Co. for part of the debt incurred on July 5, $3,000.
  12 Provided services on account for the period July 1–12, $14,200.
  14 Paid receptionist for two weeks’ salary, $1,500.
 
Record the following transactions on Page 2 of the journal:
Jul. 17 Received cash from cash clients for fees earned during the period July 1–17, $10,400.
  18 Paid cash for supplies, $1,000.
  20 Provided services on account for the period July 13–20, $9,000.
  24 Received cash from cash clients for fees earned for the period July 17–24, $8,500.
  26 Received cash from clients on account, $12,000.
  27 Paid receptionist for two weeks’ salary, $1,500.
  29 Paid telephone bill for July, $325.
  31 Paid electricity bill for July, $675.
  31 Received cash from cash clients for fees earned for the period July 25–31, $7,100.
  31 Provided services on account for the remainder of July, $5,500.
  31 Jolene withdrew $20,000 for personal use.
 
  Required:
1. Journalize each transaction in a two-column journal starting on Page 1, referring to the chart of accounts in selecting the accounts to be debited and credited. (Do not insert the account numbers in the journal at this time.)
2. Post the July transactions.
A. Download the spreadsheet in the Ledger panel and save the Excel file to your computer. Use the spreadsheet to post the July transactions from the journal to a ledger of four-column accounts. Be sure to save your work in Excel as it will be used to complete the following steps in Part 1 of this problem as well as steps in Part 2 of this problem. Your input into the spreadsheet will not be included in your grade in CengageNOW on this problem.
B. Add the appropriate posting reference to the journal in CengageNOW.
3.  Prepare an unadjusted trial balance.
4. At the end of July, the following adjustment data were assembled. Analyze and use these data to complete requirements (5) and (6).
Insurance expired during July is $375.
Supplies on hand on July 31 are $2,850.
Depreciation of office equipment for July is $400.
Accrued receptionist salary on July 31 is $140.
Rent expired during July is $2,000.
Unearned fees on July 31 are $3,000.
5. (Optional) On your own paper or spreadsheet, enter the unadjusted trial balance on an end-of-period work sheet and complete the spreadsheet. Find a blank end-of-period work sheet in the Excel spreadsheet you previously downloaded.
6.
A. Journalize the adjusting entries on page 3 of the journal. Adjusting entries are recorded on July 31.
B. Use the attached spreadsheet in the Ledger panel to post the adjusting entries to the ledger of four-column accounts, inserting balances is the accounts affected. Add the appropriate posting reference to the adjusting entries in the journal in CengageNOW.
7. Prepare an adjusted trial balance.

8. If you completed the end-of-period work sheet in Part 1, use the adjusted trial balance figures to prepare an income statement, a statement of owner’s equity, and a balance sheet for the month ended July 31, 2019. If you didn’t complete the end-of-period work sheet in Part 1, use the ledger (the Excel spreadsheet) to prepare an income statement, a statement of owner’s equity, and a balance sheet for the month ended July 31, 2019. *If the account balance is zero (0), enter a zero (0).

  *Be sure to read the instructions for each financial statement carefully.

9.

A. Journalize the closing entries on page 4 of the journal. Closing entries are recorded on July 31.
B. Use the spreadsheet to post the closing entries to the ledger of four-column accounts, inserting balances in the accounts affected. Add the appropriate posting reference to the closing entries in the journal in CengageNOW.

10. Prepare a post-closing trial balance.

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Step 2

The journal entries to record the transactions are as follows

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Accounts & Explanation 12-Jul Accounts Payable Date 3000 Debit Credit $ 27-Jul Salary expenses 1500 Cash 3000 Cash 1500 Payment made to Accounts Payable 1-Jul Cash 19000 (Paid salary to receptionist Accounts Receivable 22300 3800 Supplies Office Equipment Jolene Upton Capital (Assets brought into business) 12-Jul Accounts Receivable 14200 29-Jul Utility expenses 325 8900 Revenue from services 14200 Cash 325 Revenue from services accounted 54000 (Paid telephone expenses 14-Jul Salary expenses 1500 31-Jul Utility expenses 675 6,000 1-Jul Prepaid Rent Cash 1500 Cash 675 (Paid salary to receptionist Cash 6,000 (Paid electricity expenses (Prepaid Rent expenses paid) 17-Jul Cash 10400 31-Jul Cash 7100 2-Jul Prepaid Insurance Revenue from services 4500 10400 Accounts Receivable 7100 (To record revenue from services Cash 4500 (Torecord cashreceipt from accounts receivable (Insuurance expenses paid 18-Jul Supplies 1000 31-Jul Accounts Receivable 5500 4-Jul Cash 8000 1000 Cash Bevenue from services 5500 (Paid cash for supplies Unearned Fees 8000 Revenue from services accounted Received cash against unearned fees) 20-Jul Accounts Receivable 9000 31-Jul Jolene Uptone Drawings 20000 5-Jul Office Equipment Accounts Payable (Office Equipment purchased on credit 9000 5100 Revenue from services Cash 20000 Revenue from services accounted 5100 (To record cash withdrawn by Jolene Uptone 24-Jul Cash 8500 6-Jul Cash 8500 12750 Revenue from services Accounts Receivable Received cash from accounts receivable (Torecord revenue from services 12750 26-Jul Cash 12000 10-Jul Advertisement expenses 12000 (Torecord cash receipt from accounts receivable 500 Accounts Receivable Cash 500 (Advertisement expenses paid

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Step 3

The ledger posting a...

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Dr Cash Dr Accounts Receivable Date Date Accounts 1-Jul Jolene Capital 4-Jul Unearned Fees Accounts Date Accounts Date Account: $ 6-Jul Cash 12750 1-Jul Jolene Capital 19000 1-Jul Prepaid Rent 2-Jul Prepaid Insurance 10-Jul Advertisement expen: 6,000 4500 22300 8000 12-Jul Revenue from servi 14200 26-Jul Cash 12,000 20-Jul Revenue from servi 31-Jul Revenue from servi 9000 31-Jul Cash 6-Jul Accounts Receivat 17-Jul Revenue from servi 24-Jul Revenue from servi 12750 500 7100 12-Jul Accounts Payable 14-Jul Salary expenses 18-Jul Supplies 27-Jul Salary expenses 29-Jul Utility expenses 31-Jul Utility eMpenses 31-Jul Jonele's Upton's Capi 31-Jul Balance old 19150 10400 3000 5500 31-Jul Balance 8500 1500 26-Jul Accounts Receivat 12000 1000 31-Jul Accounts Receivat 7100 1500 325 675 20000 38,750 77750 77750 51000 51000 Office Equipment Date С С Dr Supplies Date Dr Date 1-Jul Jolene Capital 18-Jul Cash Accounts Accounts $ Date Accounts Account: $ 1-Jul Jolene Capital 5-Jul Accounts Payable 3800 31-Jul Balance cld 4,800 8900 31-Jul Balance 14000 1000 5100 4800 14000 4800 14000 Jolene upton's capital Date С Dr prepaid rent Со Dr Date Accounts Date Accounts Date Accounts Account: $ 31-Jul Cash 20000 1-Jul Cash 6,000 31-Jul Balance cld 6,000 1-Jul Cash 19000 34000 31-Jul Balance 1-Jul Account: 22300 1-Jul Supplies 1-Jul Office Eq 3800 8900

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