Entries into T Accounts and Trial Balance Connie Young an ar

Entries into T Accounts and Trial Balance Connie Young, an architect, opened an office on October 1, 2019. During the month, she completed the following transactions connected with her professional practice: Transferred cash from a personal bank account to an account to be used for the business, $55,600. Paid October rent for office and workroom, $5,600. Purchased used automobile for $36,000, paying $8,300 cash and giving a note payable for the remainder. Purchased office and computer equipment on account, $11,100. Paid cash for supplies, $2,670. Paid cash for annual insurance policies $3,700. Received cash from client for plans delivered, $13,900. Paid cash for miscellaneous expenses, $1,500. Paid cash to creditors on account, $3,220. Paid $440 on note payable. Received invoice for blueprint service, due in November, $1,800. Recorded fees earned on plans delivered, payment to be received in November, $9,600. Paid salary of assistants, $2,900. Paid gas, oil, and repairs on automobile for October, $720. Required: 1. Record the above transactions (in chronological order) directly into the T accounts. To the left of the amount entered in the accounts, select the appropriate letter to identify the transaction. 2. Determine accounts balances of the T accounts. Accounts containing a single entry only (such as Prepaid Insurance) do not need a balance. Cash Bal. Accounts Receivable Supplies Prepaid Insurance Automobiles Equipment Accounts Payable Bal. Notes Payable Bal. Connie Young, Capital Professional Fees Bal. Salary Expense Blueprint Expense Rent Expense Automobile Expense Miscellaneous Expense 3. Prepare an unadjusted trial balance for Connie Young, Architect, as of October 31, 2019. For those boxes in which no entry is required, leave the box blank. Connie Young, Architect Unadjusted Trial Balance October 31, 2019 Debit Balances Credit Balances 4. Determine the net income or net loss for October. $

Solution

1 Cash 55600         Connie\'s capital 55600 2 Rent expense 5600            Cash 5600 3 Automobile 36000            Cash 8300            Notes payable 27700 4 Office and computer equipment 11100            Accounts payable 11100 5 Supplies 2670            Cash 2670 6 Prepaid insurance 3700            Cash 3700 7 Cash 13900             Professional fees 13900 8 Misc. Expense 1500             Cash 1500 9 Accounts payable 3220             Cash 3220 10 Notes payable 440             Cash 440 11 Blue print expense   1800             Accounts payable 1800 12 Accounts receivable 9600             Professional fees 9600 13 Salary expense 2900              Cash 2900 14 Automobile expense 720              Cash 720 Trial balance Cash 40450 Accounts receivable 9600 prepaid insurance 3700 Supplies 2670 Automobile 36000 Office and computer equipment 11100 Accounts payable 9680 Notes payable 27260 Connie young, Capital 55600 Professional fees 23500 Rent expense 5600 Blue print expense 1800 Salary expense 2900 Automobile expense 720 Misc. Expense 1500 Total 116040 116040 Income statement Professional fees 23500 Expense Rent expense 5600 Blue print expense 1800 Salary expense 2900 Automobile expense 720 Misc. Expense 1500 Total expense 12520 Net income 10980