Question

Comprehensive Accounting Cycle Review 5-2 (Part Level Submission)

On November 1, 2017, Teal Mountain Inc. had the following account balances. The company uses the perpetual inventory method.

		Debit				Credit
Cash		$10,440		Accumulated Depreciation—Equipment		$1,160
Accounts Receivable		2,598		Accounts Payable		3,944
Supplies		998		Unearned Service Revenue		4,640
Equipment		29,000		Salaries and Wages Payable		1,972
		$43,036		Common Stock		23,200
				Retained Earnings		8,120
						$43,036

During November, the following summary transactions were completed.

Nov.	8		Paid $4,118 for salaries due employees, of which $2,146 is for November and $1,972 is for October.
	10		Received $2,204 cash from customers in payment of account.
	11		Purchased merchandise on account from Dimas Discount Supply for $9,280, terms 2/10, n/30.
	12		Sold merchandise on account for $6,380, terms 2/10, n/30. The cost of the merchandise sold was $4,640.
	15		Received credit from Dimas Discount Supply for merchandise returned $348.
	19		Received collections in full, less discounts, from customers billed on sales of $6,380 on November 12.
	20		Paid Dimas Discount Supply in full, less discount.
	22		Received $2,668 cash for services performed in November.
	25		Purchased equipment on account $5,800.
	27		Purchased supplies on account $1,972.
	28		Paid creditors $3,480 of accounts payable due.
	29		Paid November rent $435.
	29		Paid salaries $1,508.
	29		Performed services on account and billed customers $812 for those services.
	29		Received $783 from customers for services to be performed in the future.

(c)

Post to the ledger accounts. (Post entries in the order of journal entries presented in the previous part.)

Cash

Answer 1