Question

Entries into T Accounts and Trial Balance Connie Young, an architect, opened an office on October 1, 2019. During the month, she completed the following transactions connected with her professional practice: Transferred cash from a personal bank account to an account to be used for the business, $45,900. Paid October rent for office and workroom, $4,600. Purchased used automobile for $30,000, paying $6,900 cash and giving a note payable for the remainder. Purchased office and computer equipment on account, $9,200. Paid cash for supplies, $2,200. Paid cash for annual insurance policies $3,100. Received cash from client for plans delivered, $11,500. Paid cash for miscellaneous expenses, $1,230. Paid cash to creditors on account, $2,660. Paid $370 on note payable. Received invoice for blueprint service, due in November, $1,500. Recorded fees earned on plans delivered, payment to be received in November, $7,900. Paid salary of assistants, $2,400. Paid gas, oil, and repairs on automobile for October, $600. Required: 1. Record the above transactions (in chronological order) directly into the T accounts. To the left of the amount entered in the accounts, select the appropriate letter to identify the transaction. 2. Determine accounts balances of the T accounts. Accounts containing a single entry only (such as Prepaid Insurance) do not need a balance. Cash Bal. Accounts Receivable Supplies Prepaid Insurance Automobiles Equipment Accounts Payable Bal. Notes Payable Bal. Connie Young, Capital Professional Fees Bal. Salary Expense Blueprint Expense Rent Expense Automobile Expense Miscellaneous Expense 3. Prepare an unadjusted trial balance for Connie Young, Architect, as of October 31, 2019. For those boxes in which no entry is required, leave the box blank. Connie Young, Architect Unadjusted Trial Balance October 31, 2019 Debit Balances Credit Balances 4. Determine the net income or net loss for October. $

Answer 1

		Cash
	Ref	Description	Debit	Credit
	a	Connie young Capital	$45,900
	b	Rent		$4,600
	c	Automobile		$6,900
	e	Supplies		$2,200
	f	Prepaid Insurance		$3,100
	g	Professional Fees	$11,500
	h	Micelleneous expense		$1,230
	i	Accounts Payable		$2,660
	j	Notes Payable		$370
	m	Salaries expense		$2,400
	n	Automobile expense		$600
		BALANCE	$33,340
		Accounts Receivable
	Ref	Description	Debit	Credit
	l	Professional Fees	$7,900
		BALANCE	$7,900
		Supplies
	Ref	Description	Debit	Credit
	e	Cash	$2,200
		BALANCE	$2,200
		Prepaid Insurance
	Ref	Description	Debit	Credit
	f	Cash	$3,100
		BALANCE	$3,100
		Automobiles
	Ref	Description	Debit	Credit
	c	Purchase	$30,000
		BALANCE	$30,000
		Equipment
	Ref	Description	Debit	Credit
	d	Accounts payable	$9,200
		BALANCE	$9,200
		Accounts Payable
	Ref	Description	Debit	Credit
	d	Equipment		$9,200
	i	Cash	$2,660
	k	Blueprint expense		$1,500
		BALANCE		$8,040
		Notes Payable
	Ref	Description	Debit	Credit
	c	Automobile		$23,100
	j	Cash	$370
		BALANCE		$22,730
		Connie Young Capital
	Ref	Description	Debit	Credit
	a	Cash		$45,900
		BALANCE		$45,900
		Professional Fees
	Ref	Description	Debit	Credit
	g	Cash		$11,500
	l	Accounts receivable		$7,900
		BALANCE		$19,400
		Salaries expense
	Ref	Description	Debit	Credit
	m	Cash	$2,400
		BALANCE	$2,400
		Blueprint expense
	Ref	Description	Debit	Credit
	k	Accounts payable	$1,500
		BALANCE	$1,500
		Rent expense
	Ref	Description	Debit	Credit
	b	Cash	$4,600
		BALANCE	$4,600
		Automobile expense
	Ref	Description	Debit	Credit
	n	Cash	$600
		BALANCE	$600
		Miscelleneous expense
	Ref	Description	Debit	Credit
	h	Cash	$1,230
		BALANCE	$1,230
		UNADJUSTED TRIAL BALANCE
		ACCOUNT	DEBIT	CREDIT
		Cash	$33,340
		Accounts Receivable	$7,900
		Supplies	$2,200
		Prepaid Insurance	$3,100
		Automobiles	$30,000
		Equipment	$9,200
		Accounts Payable		$8,040
		Notes Payable		$22,730
		Connie Young Capital		$45,900
		Professional Fees		$19,400
		Salaries expense	$2,400
		Blueprint expense	$1,500
		Rent expense	$4,600
		Automobile expense	$600
		Miscelleneous expense	$1,230
		TOTAL	$96,070	$96,070
		INCOME STATEMENT
		Professional Fees		$19,400
		Expenses
		Salaries expense	$2,400
		Blueprint expense	$1,500
		Rent expense	$4,600
		Automobile expense	$600
		Miscelleneous expense	$1,230
		Total Expenses		$10,330
		NET INCOME		$9,070