Question

trial balance of pioneer corp. on July 1, 2010 is:

account -------------------debit ---------------credit

cash............................ $26,000   

accounts receivable...... $4,500

accounts payable........................................$2,000

common stock.............................................$10,000

retained earnings.........................................$18,500

total...............................$30,500 .................$30,500

transactions during august 2010

a.loan of $45,000 from chasebank in note form

b.bought land for $40,000 cash

c. received $5,000 for services performed for customer

d. bought $300 supplies on credit

e. paid $1000 on account

f. paid salary expenses of $3000

g.received $3000 on account

h. declared dividend of $1,800

i. paid the $1,800 dividend declared in ( h. )

Post to the general ledger (a - i)

please do the following T-accounts, calculate the total only if its a permanent account.

cash, accounts receivable, supplies, land, accounts payable, notes payable, dividends payable, retained earnings, dividends, revenue, salary expense, common stock.

Answer 1

Note: Since Revenue, Salary Expense are not permanent account, these accounts are not closed.

Cash Account
	Dr		Cr
Opening Balance	26,000	Land	40,000
Notes Payable	45,000	Accounts Payable	1,000
Revenue	5,000	Salary expense	3,000
Accounts Receivable	3,000	Dividend	1,800
		Closing Balance	33,200
Total	79,000	Total	79,000
Accounts Receivable
	Dr		Cr
Opening Balance	4,500	Cash	3,000
		Closing Balance	1,500
Total	4,500	Total	4,500
Supplies
	Dr		Cr
Accounts Payable	300	Closing Balance	300
Total	300		300
Land
	Dr		Cr
Cash	40,000	Closing Balance	40,000
Total	40,000	Total	40,000
Accounts Payable
	Dr		Cr
Cash	1,000	Opening Balance	2,000
Closing Balance	1,300	Supplies	300
	2,300	Total	2,300
Notes Payable
	Dr		Cr
Closing Balance	45,000	Cash	45,000
Total	45,000	Total	45,000
Dividend Payable
	Dr		Cr
Cash	1,800	Dividend	1,800
Total	1,800	Total	1,800
Retained Earning
	Dr		Cr
Dividend	1,800	Opening Balance	18,500
Closing balance	16,700
Total	1,800	Total	18,500
Dividends
	Dr		Cr
Dividend Payable	1,800	Retained Earning	1,800
Total	1,800	Total	1,800
Revenue
	Dr		Cr
Cash	5,000
Salary Expense
	Dr		Cr
Cash	3,000
Common Stock
	Dr		Cr
Closing balance	10,000	Opening Balance	10,000
Total	10,000	Total	10,000