ABC Company opened for business on January 25, 2015. The company engaged in thefollowing business activity in January.Jan 20Issued 5000 shares of capital stock for Rs.50, 000.Jan 20Paid Rs. 400 Office rent for the remainder of January.Jan 21Purchased office supplies for Rs. 200.The supplies will last for several months andpayment is not due until February 15.Jan 22 Purchased office equipment for Rs .15, 000 cash.Jan 26Performed consulting services and billed clients Rs. 2000.The entire amount willnot be collected until February.Jan 31Recorded Rs.100 utilities expense. Payment is not due until February 20.Part a:Record each of these transactions in the journal.Part b:Post each entry to the appropriate ledger accountPart c:Prepare a trial balance dated January 31, 2015

ABC Company opened for business on January 25, 2015. The company engaged in the following business activity in January. Jan 20 Issued 5000 shares of capital stock for Rs.50, 000. Jan 20 Paid Rs. 400 Office rent for the remainder of January. Jan 21 Purchased office supplies for Rs. 200.The supplies will last for several months and payment is not due until February 15. Purchased office equipment for Rs .15, 000 cash. Performed consulting services and billed clients Rs. 2000.The entire amount will not be collected until February. Jan 22 Jan 26 Jan 31 Recorded Rs.100 utilities expense. Payment is not due until February 20. Part a: Record each of these transactions in the journal. Part b: Post each entry to the appropriate ledger account Part c: Prepare a trial balance dated January 31, 2015

ABC Company opened for business on January 25, 2015. The company engaged in the following business activity in January. Jan 20 Issued 5000 shares of capital stock for Rs.50, 000. Jan 20 Paid Rs. 400 Office rent for the remainder of January. Jan 21 Purchased office supplies for Rs. 200.The supplies will last for several months and payment is not due until February 15. Purchased office equipment for Rs .15, 000 cash. Performed consulting services and billed clients Rs. 2000.The entire amount will not be collected until February. Jan 22 Jan 26 Jan 31 Recorded Rs.100 utilities expense. Payment is not due until February 20. Part a: Record each of these transactions in the journal. Part b: Post each entry to the appropriate ledger account Part c: Prepare a trial balance dated January 31, 2015

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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In the first month of operations for Sheffield Industries, the total of the debit entries to the cash account amounted to $ 35800 ($ 15600 investment by the owner and revenues of $ 20200). The total of the credit entries to the cash account amounted to $ 22000 (purchase of equipment $ 9000 and payment of expenses $ 13000). At the end of the month, the cash account has a(n) O $6400 debit balance. O $ 13800 credit balance. O $ 6400 credit balance. O $ 13800 debit balance.