On November 1, 201X, Barbie Riley opened Barbie’s Art Studio. The following transactions occurred in November.
201X
Nov. 1 Barbie Riley invested $8,000 in the art studio.
1 Paid ten months’ rent in advance, $2,800.
3 Purchased $1,200 of equipment from Omni Co. on account.
5 Purchased $900 cash for art-training workshop for teachers.
8 Purchased $450 of art supplies for cash.
9 Billed Howie Co. $2,500 for group art lessons for its employees.
10 Paid salaries of assistants, $1,300.
15 Barbie withdrew $100 from the business for personal use.
28 Paid electrical bill, $110.
29 Paid telephone bill for November, $140.
Your tasks are to do the following:
a. Set up a ledger.
b. Journalize (all page 1) and post the November transactions.
c. Prepare a trial balance as of November 30, 201X.
The chart of accounts includes Cash, 111; Accounts Receivable, 112; Prepaid Rent, 114; Art Supplies, 121; Equipment, 131; Accounts Payable, 211; Barbie Riley, Capital, 311; Barbie Riley, Withdrawals, 312; Art Fees Earned, 411; Electrical Expense, 511; Salaries Expense, 521; and Telephone Expense, 531.