Question

visible until you sign in agai G Google Image Res... eBook Calculator Print Item Entries into accounts and Trial Balance Marjorie Knaus, an architect, organized Knaus Architects on January 1, 20Y4. During the month, Knaus Architects completed the following transactions: a. Issued common stock to Marjorie Knaus in exchange for $30,000. b. Paid January rent for office and workroom, $2,500. c. Purchased used automobile for $28,500, paying $6,000 cash and giving a note payable for the remainder. d. Purchased office and computer equipment on account, $8,000. e Paid cash for supplies, $2,100. f. Paid cash for annual Insurance policies, $3,600. 9. Received cash from client for plans delivered, $9,000. h. Pald cash for miscellaneous expenses, $2,600. i. Pald cash to creditors on account, $4,000. J. Pald installment due on note payable, $1,875. k. Received Invoice for blueprint service, due in February, $5,500. 1. Recorded fees earned on plans delivered, payment to be received in February, $31,400. m. Pald salary of assistants, $6,000. n. Pald gas, oil, and repairs on automobile for January, $1,300. Required: 1. Record the above transactions (in chronological order) directly in the following Taccounts, without journalizing: Cash, Accounts Receivable, Supplies, Prepala Insurance, Automobiles, Equipment, Notes Payable, Accounts Payable, Common Stock, Professional Fees, Salary Expense, Blueprint Expense, Rent Expense, Aut Expense, Miscellaneous Expense. To the left of each amount entered in the accounts, select the appropriate letter to identify the transaction 2. Determine account balances of the T accounts. Accounts containing a single entry only (such as Prepaid Insurance) do not need a balance. Cash Check My Work Previous Nes

Answer 1

Solution :

A.

Common stock A/c				Cash A/c
		Cash A/c	$30,000	Common stockA/c	$30,000
		(stock issued to Majorie)
B.
rent A/c				Cash A/c
cash A/c	$2,500					rent A/c	$2,500
C.
Automobile A/c				Cash A/c				Note payable A/c
cash A/c	$6,000					Automobile A/c	$6,000			Automobile A/c	$22,500
Note Payable A/c	$22,500

D.
Equipment A/c				Accounts Payable A/c
Accounts payabler A/c	$8,000					Equipment A/c	$8,000
E.
Cash A/c				Supplies A/c
		Supplies A/c	$2,100	cash A/c	$2,100
F.
Prepaid insuranceA/c				Cash A/c
cash A/c	$3,600					prepaid insurance A/c	$3,600
G.
Accounts Receivable A/c				Cash A/c
		Cash A/c	$9,000	Accounts receivable A/c	$9,000

H.
cash A/c				Miscellaneous expense A/c
		Miscellaneous expense A/c	$2,600	Cash A/c	$2,600
I
cash A/c				Accounts payable A/c
		Accounts payable A/c	$4,000	cash A/c	$4,000
J
cash A/c				Note payable A/c
		Note payable A/c	$1,875	cash A/c	$1,875
K
Blueprint expense A/c				Accounts payable A/c
Accounts payable A/c	$5,500					Blueprint expense A/c	$5,500
L.
Supplies A/c				Accounts Receivable A/c
		Accounts Receivable A/c	$31,400	Supplies A/c	$31,400

M.
Salary A/c				Cash A/c
Cash A/c	$6,000					Salary A/c	$6,000
N.
Miscellaneous Expense A/c				Cash A/c
Cash A/c	$1,300					Miscellaneous Expense A/c	$1,300

2.

Cash A/c
Common stockA/c	$30,000	rent A/c	$2,500
Accounts receivable A/c	$9,000	Automobile A/c	$6,000
		Supplies A/c	$2,100
		prepaid insurance A/c	$3,600
		Miscellaneous expense A/c	$2,600
		Accounts payable A/c	$4,000
		Note payable A/c	$1,875
		Salary A/c	$6,000
		Miscellaneous Expense A/c	$1,300
		bal b/f	$9,025
total	$39,000	total	$39,000

Accounts payable A/c
cash A/c	$4,000	Equipment A/c	$8,000
bal b/f	$9,500	Blueprint expense A/c	$5,500
	$13,500		$13,500