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Ingres Designs: Journalize transactions, post to ledger, prepare a trial balance.

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On July 1, 2006 Leon Cruz established an interior design business, Ingres Designs. During the remainder of the month leon cruz completed the following transactionsrelated to the business.

JULY 1----leon transfered cash from a personal account to an account to be used for business---18,000

paid rent for period july 5--to end of month---1,500

purchased a truck for 15,000. paying 5,000 in cash and giving a note payable for the remainder.

purchased equipment on account---4,500.00

purchased supplies for cash----975.00

paid annual premiums on insurance----3,000

recieved cash for job completed----4,100.00

paid creditor a portion of the amount owed for equipment purchased on july 13---2,400.00

recorded jobs completed on account and sent invoices to customers---6,100.00

received an invoice for truck expenses to be paid in august 580.00

paid utility expense---950.00

paid miscellaneous expense---315.00

received cash from customer on account---3,420.00

paid wages for employees---2,500.00

withdrew cash for personal use----2,000.00

1. Journalize each transaction in a two column journal refering to the following:

CASH

ACCOUNTS RECEIVABLE

SUPPLIES

PREPAID INSURANCE

EQUIPMENT

TRUCK

NOTES PAYABLE

ACCOUNTS PAYABLE

LEON CRUZ, CAPITAL

LEON CRUZ DRAWING

FEES EARNED

WAGE EXPENSE

RENT EXPENSE

UTILITIES EXPENSE

TRUCK EXPENSE

MISCELLANEOUS EXPENSE

2. post journal to a ledger of for column accounts, inserting appropriate posting references as each item is posted. extend the balances to the appropriate balance columns after each transaction is posted.

Prepare a trial balance for Ingres Designs as of july 31, 2006

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