Lights Out Theater Inc. was recently formed. All facilities were completed on March 31. On April 1, the ledger showed: Cash $6,000; Land $10,000; Buildings (concession stand, projection room, ticket booth, and screen) $8,000; Equipment $6,000; Accounts Payable $2,000; Mortgage Payable $8,000; and Common Stock $20,000. During April, the following events and transactions occurred:
Apr. 2 Paid film rental of $800 on first movie.
3 Ordered two additional films at $700 each.
9 Received $3,800 cash from admissions.
10 Made $2,000 payment on mortgage and $1,000 on accounts payable.
11 Hired R. Thoms to operate concession stand. Thoms agrees to pay Lights Out Theater 17% of gross receipts, payable monthly.
12 Paid advertising expenses, $300.
20 Received one of the films ordered on April 3 and was billed $500. The film will be shown in April.
25 Received $3,200 cash from admissions.
29 Paid salaries, $1,600.
30 Received statement from R. Thoms showing gross receipts of $1,000 and the balance due to Lights Out Theater of $170 for April. Thoms paid half of the balance due and will remit the remainder on May 5.
30 Prepaid $700 rental on special film to be run in May.
In addition to the accounts identified above, the chart of accounts shows: Accounts Receivable, Prepaid Rentals, Admission Revenue, Concession Revenue, Advertising Expense, Film Rental Expense, Salaries Expense.
Instructions

(a) Enter the beginning balances in the ledger T accounts as of April 1.

(b) Journalize the April transactions, including explanations.

(c) Post the April journal entries to the ledger T accounts.

(d) Prepare a trial balance on April 30, 2001.