Economy Laundry Company had the following transactions in August 1999:

Required

a. Prepare journal entries for these transactions.

b. Post the journal entries to T-accounts. Enter the account number in the Posting Reference column of the journal as you post each amount. Use the following account numbers:

c. Prepare a trial balance as of August 31, 1999.

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Aug. Issued capital stock for cash, $1,50,000. 3 4 Borrowed $40,000 from the bank on a note. Purchased cleaning equipment for $25,000 cash. 6 Performed services for customers who promised to pay later, $16,000. 7 Paid this month's rent on a building, $2,800. 10 Collections were made for the services performed on August 6, $3,200. 14 Supplies were purchased on account for use this month, $3,000. 17 A bill for $400 was received for utilities for this month. 25 Laundry services were performed for customers who paid immediately, $22,000. 31 Paid employee salaries, $6,000. 31 Paid cash dividend, $2,000.