Journalizing transactions from T-accounts
5/21/2018 Bookshelf Online: Horngren’s Accounting
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E2-17 Posting journal entries to T-accounts
Learning Objective 3
3. Cash Balance $15,280
5/21/2018 Bookshelf Online: Horngren’s Accounting
https://online.vitalsource.com/#/books/9780133867411/cfi/6/64!/4/2/8/30/6@0:0 2/5
Requirements
1. Open the following T-accounts for London Engineering: Cash; Accounts Receivable; Office Supplies; Equipment; Accounts Payable; Notes Payable; London, Capital; London, Withdrawals; Service Revenue; Utilities Expense.
2. Post the journal entries to the T-accounts. Also transfer the dates to the T-accounts. 3. Compute the July 31 balance for each account.
Use the following information to answer Exercises E2-18 and E2-19.
The following transactions occurred for Wilson Technology Solutions:
May 1 The business received cash of $85,000 and gave capital to Zack Wilson.
2 Purchased office supplies on account, $550.
4 Paid $57,000 cash for building and land. The building had a fair market value of $48,000.
6 Performed services for customers and received cash, $3,600.
9 Paid $450 on accounts payable.
17 Performed services for customers on account, $3,400.
19 Paid rent expense for the month, $1,400.
20 Received $1,300 from customers for services to be performed next month.
21 Paid $300 for advertising in next month’s IT Technology magazine.
23 Received $2,600 cash on account from a customer.
31 Incurred and paid salaries, $1,200.
5/21/2018 Bookshelf Online: Horngren’s Accounting
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E2-18 Analyzing and journalizing transactions
Learning Objective 3
Journalize the transactions of Wilson Technology Solutions. Include an explanation with each journal entry. Use the following accounts: Cash; Accounts Receivable; Office Supplies; Prepaid Advertising; Building; Land; Accounts Payable; Unearned Revenue; Wilson, Capital; Service Revenue; Rent Expense; Salaries Expense.
E2-19 Posting journal entries to four-column accounts
Learning Objective 3
2. Cash Balance $32,150
Requirements
1. Open four-column accounts using the following account numbers: Cash, 110; Accounts Receivable, 120; Office Supplies, 130; Prepaid Advertising, 140; Building, 150; Land, 160; Accounts Payable, 210; Unearned Revenue, 220; Wilson, Capital, 310; Service Revenue, 410; Rent Expense, 510; Salaries Expense, 520.
2. Post the journal entries to the four-column accounts, and determine the balance in the account after each transaction. Assume that the journal entries were recorded on page 10 of the journal. Make sure to complete the Post. Ref. columns in the journal and ledger.
5/21/2018 Bookshelf Online: Horngren’s Accounting
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E2-20 Analyzing transactions from T-accounts
Learning Objective 3
The first nine transactions of North-West Airplane Repair have been posted to the T-accounts. Provide an explanation for each of the nine transactions.
E2-21 Journalizing transactions from T-accounts
Learning Objective 3
In December 2016, the first five transactions of Atkins’ Lawn Care Company have been posted to the T-accounts. Prepare the journal entries that served as the sources for the five transactions. Include an explanation for each entry.
5/21/2018 Bookshelf Online: Horngren’s Accounting
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E2-22 Preparing a trial balance
Learning Objective 4
Total Debits $211,500
The accounts of Aker Moving Company follow with their normal balances as of August 31, 2016. The accounts are listed in no particular order.
Prepare Aker’s trial balance as of August 31, 2016.
Aker, Capital $ 53,300 Trucks
Insurance Expense 600 Fuel Expense
Accounts Payable 4,200 Aker, Withdrawals
Service Revenue 92,000 Utilities Expense
Building 48,000 Accounts Receivable
Advertising Expense 200 Notes Payable
Salaries Expense 7,000 Office Supplies
Cash 5,000