1. Record transactions in the General Journal SE5 - Transaction Analysis Shawn Michael started a computer programming business, Michael's Programming Service. For each transaction that follows, indicate which account is debited and which account is credited. May 2 Shawn Michael invested $10,000. 5 Purchased a computer for $5,000 in cash. 7 Purchased supplies on credit for $600. 19 Received cash for programming services performed, $1,000. 22 Received cash for programming services to be performed, $1,200. 25 Paid the rent for May, $1,300. 31 Billed a customer for programming services performed, $500. 2. Recording transactions E 5A - Transaction Analysis The accounts that follow are applicable to Harold's Car Service, a company that repairs cars. 1. Cash 5. Accounts Payable 2. Accounts Receivable 6. Repair Services Revenuel 3. Supplies 7. Wages Expense 4. Equipment 8. Rent Expense Harold's completed the following transactions: Debit Credit 5 1 a. Paid for supplies purchased on credit last month. b. Received cash from customers billed last month. c. Madc a payment on accounts payable. d. Purchased supplies on credit c. Billed a clicnt for repair services. f. Made a rent payment for the current month. g. Reccived cash from customers for repair services not yet billed. h. Paid employce wages. i Ordered cquipment. i Received and paid for the cquipment ordered in i. Analyze each transaction and show the accounts affected by entering the corresponding numbers in the appropriate debit or credit columns as shown in transaction a. Indicate no entry, if appropriate 3. Post to general ledger Using the general journal information shown below, post only the cash, office equipment and revenue transactions from the general journal to the appropriate general ledger accounts. E14A. Recording Transactions in the General Journal and Posting to the Ledger Accounts General Journal Page 10 Date Post. Ref. Debit Credit Dec. 12,000 146 111 212 4,000 8,000 Description 14 Office Equipment Cash Accounts Payable Purchased equipment; pald one-third in cash 28 Accounts Payable Cash Paid for part of equipment purchased on credit 6,000 212 111 6,000 4. The following ledger balances have been extracted from the general ledger of Patriots Inc. on December 31, 2016. You are required to write up a trial balance as on that date in proper order. (The amount of Cash account balance must be computed) Accounts Payable Accounts Receivable Cash Equipment Capital Withdrawals Prepaid Advertising Revenue Earned Wages Expense Loan Payable $5000 2000 ? 7000 1500 300 200 4000 700 500 E 9A Adjusting Entries LO 3 Prepare year-end adjusting entries for each of the following: 1. Office Supplies has a balance of $168 on January 1. Purchases debited to Office Supplies during the year amount to $830. A year-end inventory reveals supplies of $570 on hand. 2. Depreciation of office equipment is estimated to be $4,260 for the year. 3. Property taxes for six months, estimated at $1,750, have accrued but have not been recorded. 4. Unrecorded interest income on U.S. government bonds is $1,700, 5. Unearned Revenue has a balance of $1,800. Services for $600 received in advance have now been performed. 6. Services totaling $400 have been performed; the customer has not yet been billed. E7A- Preparation of Closing Entries The items that follow are from the Income Statement columns of Winter's Repair Shop's work sheet for the year ended December 31, 2014. Prepare journal entries to close the revenue, expense, Income Summary, and Withdrawals accounts. The owner, A. Winter, withdrew $2,500 during the year Account Name Repair Revenue Wages Expense Rent Expense Supplies Expense Insurance Expense Depreciation Expense-Repair Equipment Income Statement Debit Credit 12,810 4,055 600 2,130 458 672 7,915 12,810 4,895 12,810 12,810 Net Income Completion of a Work Sheet EGA A highly simplified alphabetical list of trial balance accounts and their normal bal. aces for the month ended March 31, 2014, follows. 8 2 8 Accounts Payable Accounts Receivable Accumulated Depreciation Office Equipment Cash K. Pollard, Capital K. Pollard, Withdrawals Office Equipment Prepald Insurance Service Revenue Supplies Unearned Revenues Utilities Expense Wages Expense 24 12 16 46 8 6 4 20 1. Prepare a work sheet, entering the trial balance accounts in the order in which they would normally appear and entering the balances in the correct debit or credit column. 2. Complete the work sheet using the following information: expired insurance, $2; estimated depreciation on office equipment, $2; accrued wages, $2; and unused supplies on hand, $2. In addition, $4 of the unearned revenues balance had been carned by the end of the month