(a) Jack Herta, the owner of Red River Moving Storage, started his business on February 1, 20 Before recording these transactions in the journal, open the following ledger accounts, using the account numbers shown All ledger accounts will be marked Sheet 1 (The Bank account will require two ledger sheets ) Bank, 101 A R Edward Smith, 105 A R Jack Swain, 106 Moving Van, 112 Office Equipment, 113 A P Peckoff Equipment Co , 201 Bank Loan Payable, 220 Capital, J Herta, 301 Moving Service Revenue, 401 Storage Fees Revenue, 402 Interest Revenue, 405 Gasoline Expense, 501 Maintenance Expense, 502 Rent Expense, 503 Utilities Expense, 504 (b) Here is a statement of the assets and liabilities that Herta invested in the business on February 1 Record a compound entry in the General Journal for this investment Be sure to include a suitable explanation Type caption for image (optional (c) Continue the journal entries by recording the following transactions for the month of February Each transaction requires a suitable explanation 20 Feb 2 Bought office equipment from Peckoff Equipment Co on 30 day credit terms, $1,390 Purchase Invoice 2071 3 A customer, Edward Smith, stored his furniture for one month The storage fee is $180 Today Smith paid a $50 deposit Balance will be paid in 20 days Sales Invoice 1 3 Paid National Agency for February rent, $2,000 Cheque 1 5 Received $2,380 from William Butler for moving services 10 Charged Jack Swain $1,975 for moving services, to be paid on March 2 Sales Invoice 2 15 Paid Shell Canada for gasoline for our moving vans, $400 Cheque 2 23 Received cheque from Edward Smith to cover balance of his account 25 Received $3,250 from Philip Webster for moving services provided today 26 Issued Cheque 3 for $150 to Frodos Garage for maintenance work on the van 28 The bank deposited $200 into our account for interest earned on a short term investment 28 Issued Cheque 4 for the electricity bill, $150 (d) Post the journal entries to the ledger accounts as illustrated in this chapter (e) Prepare a trial balance, complete with an appropriate three line heading

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(a) Jack Herta, the owner of Red River Moving & Storage, started his business on February 1, 20. Before recording these transactions in the journal,

(a) Jack Herta, the owner of Red River Moving & Storage, started his business on February 1, 20. Before recording these transactions in the journal, open the following ledger accounts, using the account numbers shown. All ledger accounts will be marked Sheet 1. (The Bank account will require two ledger sheets.) Bank, 101; A/R Edward Smith, 105; A/R Jack Swain, 106; Moving Van, 112; Office Equipment, 113; A/P Peckoff Equipment Co., 201; Bank Loan Payable, 220; Capital, J. Herta, 301; Moving Service Revenue, 401; Storage Fees Revenue, 402; Interest Revenue, 405; Gasoline Expense, 501; Maintenance Expense, 502; Rent Expense, 503; Utilities Expense, 504.
(b) Here is a statement of the assets and liabilities that Herta invested in the business on February 1. Record a compound entry in the General Journal for this investment. Be sure to include a suitable explanation.

Type caption for image (optional

(c) Continue the journal entries by recording the following transactions for the month of February. Each transaction requires a suitable explanation.

20 Feb. 2 Bought office equipment from Peckoff Equipment Co. on 30-day credit terms, $1,390. Purchase Invoice #2071. 3 A customer, Edward Smith, stored his furniture for one month. The storage fee is $180. Today Smith paid a $50 deposit. Balance will be paid in 20 days. Sales Invoice #1. 3 Paid National Agency for February rent, $2,000. Cheque #1. 5 Received $2,380 from William Butler for moving services. 10 Charged Jack Swain $1,975 for moving services, to be paid on March 2. Sales Invoice #2. 15 Paid Shell Canada for gasoline for our moving vans, $400. Cheque #2. 23 Received cheque from Edward Smith to cover balance of his account. 25 Received $3,250 from Philip Webster for moving services provided today. 26 Issued Cheque #3 for $150 to Frodos Garage for maintenance work on the van. 28The bank deposited $200 into our account for interest earned on a short-term investment. 28 Issued Cheque #4 for the electricity bill, $150.

(d) Post the journal entries to the ledger accounts as illustrated in this chapter.
(e) Prepare a trial balance, complete with an appropriate three-line heading.