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Jay Cutler owns and manages a computer repair service, which had the following trial balance on December 31, 2011 (the end of its fiscal year).
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MEGA REPAIR SERVICE
Trial Balance
December 31, 2011
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Debit
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Credit
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Cash
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$8,892
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Accounts Receivable
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15,458
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Supplies
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13,632
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Prepaid Rent
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1,843
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Equipment
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20,582
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Accounts Payable
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$18,834
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Owner’s Capital
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41,573
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$60,407
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$60,407
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Summarized transactions for January 2012 were as follows.
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1.
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Advertising costs, paid in cash, $1,175.
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2.
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Additional supplies acquired on account $4,456.
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3.
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Miscellaneous expenses, paid in cash, $2,044.
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4.
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Cash collected from customers in payment of accounts receivable $12,754.
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5.
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Cash paid to creditors for accounts payable due $12,989.
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6.
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Supplies used during January $3,836.
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7.
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Repair services performed during January: for cash $6,845; on account $9,816.
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8.
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Wages for January, paid in cash, $2,028.
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9.
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Jay’s drawings during January were $2,537.
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