Journal entries and trial balance
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On march 1 2006, Tim Cochran established star realty, which completed the following transactions during the month:
a. Tim Cochran transferred cash from a personal bank accound to an account to be used for the business, 12,000
b- purchased supplies on account, 850
c earned sales commissions, receiving cash, 12,600
d paid rent on office and equipmnt for the month, 2,000
e paid creditor on account, 450
f withdrew cash for personal use 1,500
g paid automobile expenses( including rental charge) for month, 1,700 and miscellaneous expenses, 375.00
h paid office salaries 3,000
i determined that the cost of supplies used was 605
using a blank form, journalize entries for transactions (a) through (i), using the following account titles: cash, supplies, accounts payable, Tim Cochran Capital, Tim Cochran drawing, sales commisions, rent expense, office salaries expense, auto expense, supplies expense, misc expense, journal entry explanations may be omitted
Using t accounts, post the journal entries to these accounts, placing the appropriate letter to the left of each amount to identify the transaction.
Prepare a trial balance as of March 31, 2006
determine the following
a- amoutn of total revenue recorded in the ledger
b-amount of total expenses recored in the ledger
c amunt of net income for march
please do not attach file, for some reason my comp is unable to read them. Thanks again!
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This is pretty difficult to show without using an attachment but I will try my best.
Ledger:
a) Cash Dr. 12000
Tim Cochran, Capital Cr. 12000
b) Supplies Dr. 850
Accounts Payable Cr. 850
c) Cash Dr. 12600
Sales Commissions Cr. 12600
d) Rent Expense Dr. 2000
Cash Cr. 2000
e) Accounts Payable Dr. 450
Cash Cr. 450
f) Tim Cochran, Drawing Dr. 1500
Cash Cr. 1500
g) Automobile Expense Dr. 1700
Misc. Exp. Dr. 375
Cash Cr. 2075
h) Office Salaries Expense Dr. 3000
Cash Cr. 3000
i) Supplies Expense Dr. 605
Supplies Cr. 605
Here are the T-accounts ...
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