Bob Sample and other student investors opened Campus Carpet Cleaning, Inc. on September 1, 2017. During the fi rst month of operations, the following transactions occurred. LO9 Sept. 1 Stockholders invested $20,000 cash in the business.

2 Paid $1,000 cash for store rent for the month of September.

3 Purchased industrial carpet-cleaning equipment for $25,000, paying $10,000 in cash and signing a $15,000 6-month, 12% note payable.

4 Paid $1,200 for 1-year accident insurance policy.

10 Received bill from the Daily News for advertising the opening of the cleaning service, $200.

15 Performed services on account for $6,200.

20 Paid a $700 cash dividend to stockholders.

30 Received $5,000 from customers billed on September 15.

The chart of accounts for the company is the same as for Sierra Corporation except for the following additional account: Advertising Expense.

INSTRUCTIONS

(a) Journalize the September transactions.

(b) Open ledger accounts and post the September transactions.

(c) Prepare a trial balance at September 30, 2017.