On January 1, 2019, Sharon Matthews established Tri-City Realty, which completed the following transactions during the month: Sharon Matthews transferred cash from a personal bank account to an account to be used for the business, $20,000. Paid rent on office and equipment for the month, $3,700. Purchased supplies on account, $1,090. Paid creditor on account, $400. Earned fees, receiving cash, $16,800. Paid automobile expenses (including rental charge) for month, $1,020, and miscellaneous expenses, $690. Paid office salaries, $2,150. Determined that the cost of supplies used was $600. Withdrew cash for personal use, $990. 2.  Prepare T accounts, using the account titles in (1). Post the journal entries to these T accounts, selecting the appropriate letter to the left of each amount to identify the transactions. Determine the account balances (when required), after all posting is complete, for all accounts having two or more debits or credits. 3.  Prepare an unadjusted trial balance as of January 31, 2019. For those boxes in which no entry is required, leave the box blank. 4.  As a result of the January transactions (a-i), determine the following: a.  Amount of total revenue recorded in the ledger. $fill in the blank f68ea0084fef030_1 b.  Amount of total expenses recorded in the ledger. $fill in the blank f68ea0084fef030_2 c.  Amount of net income for January. $fill in the blank f68ea0084fef030_3 5.  Determine the total increase or decrease in owner's equity for January. $fill in the blank f68ea0084fef030_4

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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On January 1, 2019, Sharon Matthews established Tri-City Realty, which completed the following transactions during the month:

  1. Sharon Matthews transferred cash from a personal bank account to an account to be used for the business, $20,000.
  2. Paid rent on office and equipment for the month, $3,700.
  3. Purchased supplies on account, $1,090.
  4. Paid creditor on account, $400.
  5. Earned fees, receiving cash, $16,800.
  6. Paid automobile expenses (including rental charge) for month, $1,020, and miscellaneous expenses, $690.
  7. Paid office salaries, $2,150.
  8. Determined that the cost of supplies used was $600.
  9. Withdrew cash for personal use, $990.

2.  Prepare T accounts, using the account titles in (1). Post the journal entries to these T accounts, selecting the appropriate letter to the left of each amount to identify the transactions. Determine the account balances (when required), after all posting is complete, for all accounts having two or more debits or credits.

3.  Prepare an unadjusted trial balance as of January 31, 2019. For those boxes in which no entry is required, leave the box blank.

  1. 4.  As a result of the January transactions (a-i), determine the following:

    a.  Amount of total revenue recorded in the ledger.
    $fill in the blank f68ea0084fef030_1

    b.  Amount of total expenses recorded in the ledger.
    $fill in the blank f68ea0084fef030_2

    c.  Amount of net income for January.
    $fill in the blank f68ea0084fef030_3

    5.  Determine the total increase or decrease in owner's equity for January.
    $fill in the blank f68ea0084fef030_4   

     
     
     
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