Record each transaction in the journal Be sure to record the

Record each transaction in the journal. Be sure to record the date in each entry. Explanations are not required.

2.

Post the transactions to the T-accounts, using transaction dates as posting references. Label the ending balance of each account Bal.

3.

Wortham ServicesWortham Services,

OctoberOctober

4.

MarkMark

WorthamWortham,

OctoberOctober

OctOct 2

Wortham ServicesWortham Services

$ 64 comma 000$64,000

3

$ 600$600,

$ 11 comma 900$11,900,

4

$ 5 comma 700$5,700.

7

$ 34 comma 000$34,000.

11

$ 3 comma 500$3,500.

WorthamWortham

16

OctoberOctober

17

$ 560$560.

18

$ 1 comma 400$1,400.

22

$ 390$390.

29

$ 2 comma 300$2,300

31

$ 2 comma 800$2,800.

31

$ 2 comma 700$2,700.

Journal Entry

Date

Accounts

Debit

Credit

Oct

Record each transaction in the journal. Be sure to record the date in each entry. Explanations are not required.

2.

Post the transactions to the T-accounts, using transaction dates as posting references. Label the ending balance of each account Bal.

3.

Prepare the trial balance of

Wortham ServicesWortham Services,

Inc., at

OctoberOctober

31 of the current year.

4.

MarkMark

WorthamWortham,

the manager, asks you how much in total resources the business has to work with, how much it owes, and whether

OctoberOctober

was profitable (and by how much)

Solution

Journal entry :

Date accounts & explanation debit credit
Oct 2 Cash a/c 64000
common stock 64000
Oct 3 Supplies 600
Equipment 11900
Account payable 12500
Oct 4 Cash 5700
Service revenue 5700
Oct 7 Land 34000
Cash 34000
Oct 11 Account receivable 3500
Service revenue 3500
Oct 16 Account payable 11900
Cash 11900
Oct 17 Advertising exp 560
   Cash 560
Oct 18 Cash 1400
Account receivable 1400
Oct 22 Water and electricity exp 390
Cash 390
Oct 29 Cash 2300
Unearned service revenue 2300
Oct 31 Salaries exp 2800
Cash 2800
Oct 31 Dividend a/c 2700
Cash 2700
Record each transaction in the journal. Be sure to record the date in each entry. Explanations are not required. 2. Post the transactions to the T-accounts, usi
Record each transaction in the journal. Be sure to record the date in each entry. Explanations are not required. 2. Post the transactions to the T-accounts, usi
Record each transaction in the journal. Be sure to record the date in each entry. Explanations are not required. 2. Post the transactions to the T-accounts, usi

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