Question

Trial Balance Transactions Required: 5 Assets, 2 Liabilities, 2 Equity, 1 Revenue, and 5 Expense accounts Jan 1 Owner invested $10,000 and recorded ownership in the company 2 Company paid current month's rent $500 7 Purchased merchandise to sell to customers on account from vendor TicWick Products $3,000 8 Sold to customer Mary Jones merchandise on account $1,600; cost of merchandise was $1,000 10 Signed a contract with a new supplier 15 Paid advertising from checking $100 17 Purchased a new computer from checking $250 20 Mary Jones paid her account balance in full. Amount deposited to checking account. 22 Paid legal fees $200 23 Purchased store equipment on account from Ace Supply $1,000. 25 Paid utilities $140 28 Paid 3 months of insurance $300 for coverage beginning Feb 1. 31 Paid Ace Supply for amount owed

Answer 1

Date	Particular	DR. Amount	Cr. Amount
Jan-01	Cash/Bank A/c	$    10,000.00
	To Capital A/c		$   10,000.00
2	Rent Exp. A/c	$          500.00
	To Cash/Bank A/c		$         500.00
7	Purchase A/c	$       3,000.00
	To TicWic Product		$     3,000.00
8	Mary Jones A/c	$       1,600.00
	To Sales A/c		$     1,600.00
15	Advertising Exp. A/c	$          100.00
	To Cash/Bank A/c		$         100.00
17	Computer A/c	$          250.00
	To Cash/Bank A/c		$         250.00
20	Cash/Bank A/c	$       1,600.00
	To Mary Jones A/c		$     1,600.00
22	Legal Fee Exp. A/c	$          200.00
	To Cash/Bank A/c		$         200.00
23	Store Equipment A/c	$       1,000.00
	To Ace Supply A/c		$     1,000.00
25	Utility Bill Exp. A/c	$          140.00
	To Cash/Bank A/c		$         140.00
28	Insurance Exp. A/c	$          300.00
	To Cash/Bank A/c		$         300.00
31	Ace Supply A/c	$       1,000.00
	To Cash/Bank A/c		$     1,000.00

Dr	Cash/Bank A/C				Cr
Date	Particular	Amount	Date	Particular	Amount
Jan-01	To Capital	$   10,000.00	Jan-02	By Rent Exp.	$       500.00
Jan-20	To Mary Jones	$     1,600.00	Jan-15	By Advertising Exp.	$       100.00
			Jan-17	By Computer	$       250.00
			Jan-22	By Legal Fee Exp.	$       200.00
			Jan-25	By Utility Bill Exp.	$       140.00
			Jan-28	By Insurance Exp.	$       300.00
			Jan-31	By Ace Supply	$   1,000.00
			Jan-31	By Balance	$   9,110.00
	Total	$   11,600.00		Total	$ 11,600.00

Trial Balance
Particular	Dr	Cr.
Capital (Equity)		$    10,000.00
TicWick(Creditor)		$      3,000.00
Ace Supply(Creditor)		$                   -
Sales		$      1,600.00
Purchase	$          3,000.00
Cash/Bank	$          9,110.00
Computer	$              250.00
Store Equipment	$          1,000.00
Mary Jones (Debtors)	$                       -
Rent Exp.	$              500.00
Utility Bill Exp.	$              140.00
Advertising Exp.	$              100.00
Insurance Exp.	$              300.00
Legal Fee Exp.	$              200.00
Total	$        14,600.00	$    14,600.00