Sentinel Security Services was established on March 15, 2012, to provide security services. The services provided during the remainder of the month are listed below.
Mar. 18. Issued Invoice No. 1 to Murphy Co. for $410 on account.
20. Issued Invoice No. 2 to Qwik Mart Co. for $290 on account.
24. Issued Invoice No. 3 to Goforth Co. for $625 on account.
27. Issued Invoice No. 4 to Carson Co. for $510 on account.
28. Issued Invoice No. 5 to Amber Waves Co. for $100 on account.
28. Provided security services, $90, to Qwik Mart Co. in exchange for supplies.
30. Issued Invoice No. 6 to Qwik Mart Co. for $140 on account.
31. Issued Invoice No. 7 to Goforth Co. for $245 on account.
Instructions
1. Journalize the transactions for March, using a single column revenue journal and a two column general journal. Post to the following customer accounts in the accounts receivable ledger, and insert the balance immediately after recording each entry: Amber Waves Co.; Carson Co.; Goforth Co.; Murphy Co.; Qwik Mart Co.
2. Post the revenue journal to the following accounts in the general ledger, inserting the account balances only after the last postings:
12 Accounts Receivable
14 Supplies
41 Fees Earned
3. a. What is the sum of the balances of the accounts in the subsidiary ledger at March 31?
b. What is the balance of the controlling account at March 31?
4. Assume Sentinel Security Services began using a computerized accounting system to record the sales transactions on April 1. What are some of the benefits of the computerized system over the manual system?