Reference no: EM132473591
The consulting firm of Martin and Associates uses the accounts listed below. Record the opening balances as of December 1, 2019 on the normal balance side of the following T-Accounts.
List of accounts with their opening balances:
Cash $5,600 Fees Income-0
Accounts Receivable 8,600 Rent Expense-0
Office Equipment 8,100 Utilities Expense-0-
Accounts Payable 6,400 Salaries Expense-0-
Joan Martin, Capital 15,900 Joan Martin, Drawing -0-
- The firm has the following transactions during the month of December 2019. Record the effects of these transactions in the T accounts.
Point 1: Paid $1,600 for one month's rent.
Point 2: Collected $5,400 in cash from credit customers.
Point 3: Performed services for $7,600 in cash.
Point 4: Paid $4,600 for salaries.
Point 5: Issued a check for $3,600 to a creditor.
Point 6: Performed services for $10,600 on credit.
Point 7: Purchased office equipment for $1,600 on credit.
Point 8: The owner withdrew $3,600 in cash for personal expenses.
Point 9: Issued a check for $660 to pay the monthly utility bill.
Question 1: Post the above transactions into the appropriate T accounts.
Question 2: Using the information shown, how do you prepare a trial balance for Martin and Associates at December 31, 2019.