Selected transactions from the journal of Teresa Gonzalez, investment broker, are presented below.
|
Date |
Account Titles and Explanation |
Ref. |
Debit |
Credit |
|
Aug. 1 |
Cash |
5,000 |
||
|
Common Stock |
5,000 |
|||
|
(Investment of cash for stock) |
||||
|
10 |
Cash |
2,400 |
||
|
Service Revenue |
2,400 |
|||
|
(Received cash for services provided) |
||||
|
Office Equipment |
5,000 |
|||
|
12 |
Cash |
1000 |
||
|
Notes Payable |
4000 |
|||
|
(Purchased office equipment for cash |
||||
|
and notes payable) |
||||
|
25 |
Account Receivable |
1,600 |
||
|
Service Revenue |
1,600 |
|||
|
(Billed clients for services provided) |
||||
|
31 |
Cash |
900 |
||
|
Accounts Receivable |
900 |
|||
|
(Receipt of cash on account) |
Instructions
(a) Post the transactions to T accounts.
(b) Prepare a trial balance at August 31, 2011.