1 answer

Exercise 2-20A Record transactions, post to T-accounts, and prepare a trial balance (LO2-4, 2-5, 2-6) [The...

Question:

Exercise 2-20A Record transactions, post to T-accounts, and prepare a trial balance (LO2-4, 2-5, 2-6)

[The following information applies to the questions displayed below.]
  

Boilermaker House Painting Company incurs the following transactions for September.

1. September 3 Paint houses in the current month for $16,000 on account.
2. September 8 Purchase painting equipment for $17,000 cash.
3. September 12 Purchase office supplies on account for $2,700.
4. September 15 Pay employee salaries of $3,400 for the current month.
5. September 19 Purchase advertising to appear in the current month for $1,100 cash.
6. September 22 Pay office rent of $4,600 for the current month.
7. September 26 Receive $11,000 from customers in (1) above.
8. September 30 Receive cash of $5,200 in advance from a customer who plans to have his house painted in the following month.
BOILERMAKER HOUSE PAINTING COMPANY
Trial Balance
Accounts Debit Credit
Cash $11,300selected answer incorrect not attempted
Accounts Receivable 6,200selected answer incorrect not attempted
Supplies 2,900selected answer incorrect not attempted
Equipment 22,400selected answer incorrect not attempted
Accounts Payable not attempted 3,600selected answer incorrect
Deferred Revenue not attempted 5,000selected answer incorrect
Common Stock not attempted 20,000selected answer incorrect
Retained Earnings not attempted 8,000selected answer incorrect
Service Revenue not attempted 15,000selected answer incorrect
Salaries Expense 3,200selected answer incorrect not attempted
Advertising Expense 1,200selected answer incorrect not attempted
Rent Expense 4,400selected answer incorrect not attempted
Totals $51,600 $51,600

Answers

Date Account Titles Debit Credit
Sep-03 Accounts Receivable $         16,000
     Service Revenue     $         16,000
Sep-08 Equipment $         17,000
       Cash $         17,000
Sep-12 Supplies $            2,700
     Accounts Payable $         23,960
Sep-15 Salaries Expense $            3,400
      Cash $            3,400
Sep-19 Advertising Expense $            1,100
      Cash $            1,100
Sep-22 Rent Expense $            4,600
      Cash $            4,600
Sep-26 Cash $         11,000
      Accounts Receivable $         11,000
Sep-30 Cash $            5,200
      Deferred Revenue $            5,200
Account Titles Debit Credit
Cash $            1,400
Accounts Receivable $         11,200
Supplies $            5,600
Equipment $         39,400
Accounts Payable $            6,300
Deferred Revenue $         10,200
Common Stock $         20,000
Retained Earnings $            8,000
Service Revenue $         31,000
Salaries Expense $            6,600
Advertising Expense $            2,300
Rent Expense $            9,000
Total $         75,500 $         75,500
.

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