Nile Company had the following trial balance at June 30, 2014 (its year end):

During the month of July, the following selected transactions took place:
July 2 Paid $750 cash for rent for July, August, and September.
10 Purchased $200 of supplies for cash.
14 Collected the full balance of accounts receivable.
20 Received $700 cash from a customer for services to be provided in August.
25 Provided $1,300 of services for a customer and immediately collected cash.
Additional information:
1. At July 31, the company had provided $800 of services for a client that it had not billed or recorded.
2. Supplies on hand at July 31 were $800.
3. The equipment has a six-year useful life.
4. As at July 31, the company had earned $900 of revenue that had been paid in advance.
Instructions
(a) Record the July transactions.
(b) Prepare monthly adjusting entries at July 31.

Transcribed Image Text:

Debit Credit Cash Accounts receivable Supplies Equipment Accumulated depreciation-equipment Unearned service revenue R. Nile, capital avial $ 5,840 850 1,100 9,360 $3,900 1,500 11,750 $17,150 $17,150