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Accounting C P3.9A (LO 3, 4, 5) Pamper Me Salon Inc.'s general ledger at April 30, 2021, showed Cash $5,000; Supplies $500; Equipment $24,000; Accounts
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C P3.9A (LO 3, 4, 5) Pamper Me Salon Inc.'s general ledger at April 30, 2021, showed Cash $5,000; Supplies $500; Equipment $24,000; Accounts Payable $2,100; Deferred Revenue (from gift certificates) $1,000; Bank Loan Payable $10,000; Common Shares $5,000; and Retained Earnings $11,400. The following transactions occurred during May: May 1 Paid rent for the month of May, $1,000. 4 Paid $1,100 of the accounts payable outstanding at April 30. 7 Issued gift certificates for future services for $1,500 cash. 15 Received $2,000 from customers for services performed to date. 15 Paid $1,200 in salaries to employees. 17 Customers receiving services worth $700 used gift certificates in payment. 18 Paid the remaining accounts payable from April 30. 22 Purchased supplies for $700 on account. 24 Received a bill for advertising for $500. This bill is due on June 22. 25 Received and paid a utilities bill for $400.- 28 Received $2,100 from customers for services performed. 29 Customers receiving services worth $600 used gift certificates in payment. 30 Interest of $50 was paid on the bank loan. 31 Paid $1,200 in salaries to employees. 31 Paid income tax instalment for the month, $150.- Instructions 1. Journalize the May transactions. 2. Set up T accounts, enter the beginning balances in the general ledger at April 30, post the May journal entries to the general ledger, and determine the May 31 balances for each account 3. Prepare a trial balance at May 31. t eStep by Step Solution
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