Accounts Receivable and Trial Balance

Topics: Accounts receivable, General ledger, Revenue Pages: 2 (363 words) Published: December 5, 2012
Problem 3-5A

Sunflower Architects incorporated as licensed architects on April 1, 2010. During the first month of the operation of the business, these events and transactions occurred:

Apr. 1Stockholders invested $15,000 cash in exchange for common stock of the corporation. 1Hired a secretary-receptionist at a salary of $375 per week, payable monthly. 2Paid office rent for the month $900.

3Purchased architectural supplies on account from Spring Green Company $1,000. 10 Completed blueprints on a carport and billed client $1,500 for services. 11Received $500 cash advance from J. Madison to design a new home. 20 Received $2,300 cash for services completed and delivered to M. Svetlana. 30 Paid secretary-receptionist for the month $1,500.

30 Paid $300 to Spring Green Company for accounts payable due.

The company uses these accounts: Cash, Accounts Receivable, Supplies, Accounts Payable, Unearned Revenue, Common Stock, Service Revenue, Salaries Expense, and Rent Expense.

(a) Journalize the transactions, including explanations. INES (b) Post to the ledger T accounts. INES
(c) Prepare a trial balance on April 30, 2010. GRISEL
Problem 3-6A

This is the trial balance of Slocombe Company on September 30.

Trial Balance
September 30, 2010
Debit Credit
Cash $ 8,300
Accounts Receivable 2,600
Supplies 2,100
Equipment 8,000
Accounts Payable $ 5,100
Unearned Revenue 900
Common Stock 15,000
$21,000 $21,000

The October transactions were as follows.

Oct. 5Received $1,300 in cash from customers for accounts receivable due. 10Billed customers for services performed $5,100.
15Paid employee salaries $1,400.
17 Performed $600 of services for customers who paid in advance in August. 20Paid $1,500 to creditors for accounts payable due.
29Paid a $300 cash dividend.
31Paid utilities $500.

(a) Prepare a general ledger using T...
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