Answered: Journal entries and trial balance On August 1, 20Y7, Rafael Masey established Planet Realty, which completed the following transactions during the month:…

FINANCIAL ACCOUNTING

10th Edition

ISBN: 9781259964947

Author: Libby

Publisher: MCG

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Journal entries and trial balance

On August 1, 20Y7, Rafael Masey established Planet Realty, which completed the following transactions during the month:

Rafael Masey transferred cash from a personal bank account to an account to be used for the business in exchange for Common Stock, $32,000.

Purchased supplies on account, $1,730.

Earned sales commissions, receiving cash, $26,560.

Paid rent on office and equipment for the month, $5,840.

Paid creditor on account, $640.

Paid dividends, $1,570.

Paid automobile expenses (including rental charge) for month, $1,620, and miscellaneous expenses, $1090.

Paid office salaries, $3,400.

Determined that the cost of supplies used was $960.

Required:

Question Content Area

1. Journalize entries for transactions (a) through (i), using the following account titles: Cash, Supplies, Accounts Payable, Common Stock, Dividends, Sales Commissions, Rent Expense, Office Salaries Expense, Automobile Expense, Supplies Expense, Miscellaneous Expense. If an amount box does not require an entry, leave it blank.

Transaction	Debit	Credit
a.	a.	a.
	- Select -	- Select -
b.	b.	b.
	- Select -	- Select -
c.	c.	c.
	- Select -	- Select -
d.	d.	d.
	- Select -	- Select -
e.	e.	e.
	- Select -	- Select -
f.	f.	f.
	- Select -	- Select -
g.	g.	g.
	- Select -	- Select -
	- Select -	- Select -
h.	h.	h.
	- Select -	- Select -
i.	i.	i.
	- Select -	- Select -

Question Content Area

2. Prepare T accounts, using the account titles in (1). Post (in chronological order) the journal entries to these accounts, selecting the appropriate letter to the left of each amount to identify the transactions. Determine the account balances, after all posting is complete. Accounts containing only a single entry do not need a balance.

Cash

Transaction	Debit amount	Transaction	Credit amount





Bal.

Supplies

Transaction	Debit amount	Transaction	Credit amount
fill in the blank 16 of 41 a.b.c.d.e.f.g.h.i.	fill in the blank 17 of 41	fill in the blank 18 of 41 a.b.c.d.e.f.g.h.i.	fill in the blank 19 of 41
Bal.	fill in the blank 20 of 41

Accounts Payable

Transaction	Debit amount	Transaction	Credit amount
		Bal.

Common Stock

Transaction	Debit amount	Transaction	Credit amount

Dividends

Transaction	Debit amount	Transaction	Credit amount

Sales Commissions

Transaction	Debit amount	Transaction	Credit amount

Rent Expense

Transaction	Debit amount	Transaction	Credit amount

Office Salaries Expense

Transaction	Debit amount	Transaction	Credit amount

Automobile Expense

Transaction	Debit amount	Transaction	Credit amount

Supplies Expense

Transaction	Debit amount	Transaction	Credit amount

Miscellaneous Expense

Transaction	Debit amount	Transaction	Credit amount

Question Content Area

3. Prepare an unadjusted trial balance as of August 31, 20Y7. List all accounts in the order of Assets, Liabilities, Stockholders’ equity, Revenues, and Expenses. If an amount box does not require an entry, leave it blank.

Planet RealtyUnadjusted Trial BalanceAugust 31, 20Y7