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, $55,600. Paid October rent for office and workroom, $5,600. Purchased used automobile for $36,000, paying $8,300 cash and giving a note payable for the remainder. Purchased office and computer equipment on account, $11,100. Paid cash for supplies, $2,670. Paid cash for annual insurance policies $3,700. Received cash from client for plans delivered, $13,900. Paid cash for miscellaneous expenses, $1,500. Paid cash to creditors on account, $3,220. Paid $440 on note payable. Received invoice for blueprint service, due in November, $1,800. Recorded fees earned on plans delivered, payment to be received in November, $9,600. Paid salary of assistants, $2,900. Paid gas, oil, and repairs on automobile for October, $720. 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

1	Cash	55600
	Connie's capital		55600
2	Rent expense	5600
	Cash		5600
3	Automobile	36000
	Cash		8300
	Notes payable		27700
4	Office and computer equipment	11100
	Accounts payable		11100
5	Supplies	2670
	Cash		2670
6	Prepaid insurance	3700
	Cash		3700
7	Cash	13900
	Professional fees		13900
8	Misc. Expense	1500
	Cash		1500
9	Accounts payable	3220
	Cash		3220
10	Notes payable	440
	Cash		440
11	Blue print expense	1800
	Accounts payable		1800
12	Accounts receivable	9600
	Professional fees		9600
13	Salary expense	2900
	Cash		2900
14	Automobile expense	720
	Cash		720
	Trial balance
	Cash	40450
	Accounts receivable	9600
	prepaid insurance	3700
	Supplies	2670
	Automobile	36000
	Office and computer equipment	11100
	Accounts payable		9680
	Notes payable		27260
	Connie young, Capital		55600
	Professional fees		23500
	Rent expense	5600
	Blue print expense	1800
	Salary expense	2900
	Automobile expense	720
	Misc. Expense	1500
	Total	116040	116040
	Income statement
	Professional fees		23500
	Expense
	Rent expense	5600
	Blue print expense	1800
	Salary expense	2900
	Automobile expense	720
	Misc. Expense	1500
	Total expense		12520
	Net income		10980