Reference no: EM132833547
Question - Below is the trial balance of Douglas McMoney, financial advisor. They have the following information for the month:
Accounts Dr. Cr.
Cash 122,000
Supplies 31,700
Building 119,000
Accounts Payable 33,000
Capital 250,000
Revenue 16,450
Salaries Expense 25,500
Utility Expense 715
Supplies Expense 535
Date Transaction
Jan 3 He paid $60,000 cash on the purchase of equipment costing $80,000. The remaining amount was recognized as a one year note payable.
Jan 4 Purchased office supplies costing $17,600 on account.
Jan 13 Provided services to its customers and received $78,500 in cash.
Jan 13 He paid the accounts payable on the office supplies purchased on Jan 4.
Jan 14 Paid salaries to its employees for the first two weeks of January, aggregating $19,100.
Jan 26 Purchased office supplies costing $5,200 on account.
Jan 28 He paid salaries to its employees for the third and fourth week of January: $19,100.
Jan 31 An electricity bill has been received, due next month, $2,470.
The company uses the following accounts: Cash, equipment, supplies, building, notes payable, accounts payable, utilities payable, capital, revenue, salaries expense, utility expense, and supplies expense.
A) Please post the previous balances and transactions to Ledger (T accounts).
B) Prepare the new trial balance, income statement, retained earnings statement, and balance sheet.