Question

Required information [The following information applies to the questions displayed below.] In January, Tongo, Inc., a branding consultant, had the following transactions. a. Received $14,600 cash for consulting services rendered in January. b. Issued common stock to investors for $9,000 cash. c. Purchased $16,400 of equipment, paying 25 percent in cash and owing the rest on a note due in 2 years. d. Received $11,500 cash for consulting services to be performed in February. e. Bought $1,360 of supplies on account. f. Received utility bill for January for $1,910, due February 15. 9. Consulted for customers in January for fees totaling $22,900, due in February h. Received $12,200 cash for consulting services rendered in December 1. Paid $680 toward supplies purchased in (e). Account Title Debit Credit Cash $15,000 Accounts Receivable 11,500 Supplies 880 Equipment 8,700 Accounts Payable $ 7,350 Unearned Revenue 2,650 Note Payable 0 Common Stock 11,000 Retained Earnings 15,080 Service Revenue 0 Utilities Expense 0 Enter the beginning account balances and post the effects to the appropriate T-accounts and determine ending account balances, Cash Account Receivable

Answer 1

Cash
Description	Debit	Description	Credit
Opening Balance	15000	Equipment	4100
Consulting Services Revenue	14600	Accounts Payable	680
Common Stock	9000
Unearned Revenue	11500
Accounts Receivable	12200	Closing Balance	57520
	62300		62300

Consulting Services Revenue
Description	Debit	Description	Credit
		Opening Balance	0
		Cash	14600
Closing Balance	37500	Accounts Receivable	22900
	37500		37500

Common Stock
Description	Debit	Description	Credit
		Opening Balance	11000
Closing Balance	20000	Cash	9000
	20000		20000

Equipment
Description	Debit	Description	Credit
Opening Balance	8700
Cash	4100
Notes Payable	12300	Closing Balance	25100
	25100		25100

Notes Payable
Description	Debit	Description	Credit
		Opening Balance	0
Closing Balance	12300	Equipment	12300
	12300		12300

Unearned Revenue
Description	Debit	Description	Credit
		Opening Balance	2650
Closing Balance	14150	Cash	11500
	14150		14150

Supplies
Description	Debit	Description	Credit
Opening Balance	880
Accounts Payable	1360	Closing Balance	2240
	2240		2240

Accounts Payable
Description	Debit	Description	Credit
Cash	680	Opening Balance	7350
Closing Balance	8030	Supplies	1360
	8710		8710

Utilities Expenses
Description	Debit	Description	Credit
Opening Balance	0
Utilities Payable	1910	Closing Balance	1910
	1910		1910

Utilities Payable
Description	Debit	Description	Credit
		Opening Balance	0
Closing Balance	1910	Utilities Expenses	1910
	1910		1910

Accounts Receivable
Description	Debit	Description	Credit
Opening Balance	11500	Cash	12200
Consulting Services Revenue	22900	Closing Balance	22200
	34400		34400

All T-accounts have been prepared and closing balance are shown in it.

Account Titles	Debit	Credit
Cash	57520
Accounts Receivable	22200
Supplies	2240
Equipment	25100
Accounts Payable		8030
Unearned Revenue		14150
Notes Payable		12300
Utilities Payable		1910
Common Stock		20000
Retained Earnings		15080
Service Revenue		37500
Utilities Expenses	1910
Total	108970	108970

Please provide feedback if it was helpful. Feel free to comment if you have any doubts.