Journalize the July transactions (Solution in Excel)
$15.00
| P4-8A Dana La Fontsee opened Pro Window Washing Inc. on July 1, 2012. During July the following transactions were completed. | |||||||||
| July | |||||||||
| 1 | Issued 12,000 shares of common stock for $12,000 cash. | ||||||||
| 1 | Purchased used truck for $8,000, paying $2,000 cash and the balance on account. | ||||||||
| 3 | Purchased cleaning supplies for $900 on account. | ||||||||
| 5 | Paid $1,800 cash on 1-year insurance policy effective July 1. | ||||||||
| 12 | Billed customers $3,700 for cleaning services. | ||||||||
| 18 | Paid $1,000 cash on amount owed on truck and $500 on amount owed on cleaning supplies. | ||||||||
| 20 | Paid $2,000 cash for employee salaries. | ||||||||
| 21 | Collected $1,600 cash from customers billed on July 12. | ||||||||
| 25 | Billed customers $2,500 for cleaning services. | ||||||||
| 31 | Paid $290 for maintenance of the truck during month. | ||||||||
| 31 | Declared and paid $600 cash dividend. | ||||||||
| The chart of accounts for Pro Window Washing contains the following accounts: Cash, | |||||||||
| Accounts Receivable, Supplies, Prepaid Insurance, Equipment, Accumulated Depreciation— | |||||||||
| Equipment, Accounts Payable, Salaries and Wages Payable, Common Stock, Retained | |||||||||
| Earnings, Dividends, Income Summary, Service Revenue, Maintenance and Repairs Expense, | |||||||||
| Supplies Expense, Depreciation Expense, Insurance Expense, Salaries and Wages | |||||||||
| Expense. | |||||||||
| Instructions | ||||||||
| (a) Journalize the July transactions. | ||||||||
| (b) Post to the ledger accounts. (Use T accounts.) | ||||||||
| (c) Prepare a trial balance at July 31. | ||||||||
| (d) Journalize the following adjustments. | ||||||||
| (1) Services provided but unbilled and uncollected at July 31 were $1,700. | ||||||||
| (2) Depreciation on equipment for the month was $180. | ||||||||
| (3) One-twelfth of the insurance expired. | 1,800 /12 | 150 | ||||||
| (4) An inventory count shows $320 of cleaning supplies on hand at July 31. | ||||||||
| (5) Accrued but unpaid employee salaries were $400. | 179 | |||||||
| (e) Post adjusting entries to the T accounts. | ||||||||
| (f ) Prepare an adjusted trial balance. | (f) Cash $5,410 | |||||||
| (g) Prepare the income statement and a retained earnings statement for July and a classified | ||||||||
| balance sheet at July 31. | (g) Tot. assets $21,500 | |||||||
| (h) Journalize and post closing entries and complete the closing process. | ||||||||
| (i) Prepare a post-closing trial balance at July 31. | ||||||||
| f) Cash $5,410 | ||||||||
| (g) Tot. assets $21,500 | ||||||||