Accounting Cycle

Rosenthal Decorating Inc. is a commercial painting and decorating contractor that began operations in January 2019. The following transactions occurred during the year:

1. On January 15, Rosenthal sold 500 shares of its common stock to William Hensley for $18,000.
2. On January 24, Rosenthal purchased $720 of painting supplies from Westwood Builders' Supply Company on account.
3. On February 20, Rosenthal paid $720 cash to Westwood Builders' Supply Company for the painting supplies purchased on January 24.
4. On April 25, Rosenthal billed Bultman Condominiums $15,300 for painting and decorating services performed in April.
5. On May 12, Rosenthal received $12,500 from Bultman Condominiums for the painting and decorating work billed in April.
6. On June 5, Rosenthal sent Arlington Builders a $9,500 bill for a painting job completed on that day.
7. On June 24, Rosenthal paid wages for work performed during the preceding week in the amount of $10,800.

Required:

1. Prepare a journal entry for each of the transactions listed above.

Jan. 15
	(Record issuance of stock)
Jan. 24
	(Record purchase of supplies on account)
Feb. 20
	(Record payment of account)
April 25
	(Record services performed on account)
May 12
	(Record receipt of payment)
June 5
	(Record services performed on account)
June 24
	(Record payment of wages)

2. Post the transactions to T-accounts. If a balance is zero, please enter zero ("0").

Cash
End. Bal.

Accounts Receivable
End. Bal.

Supplies
End. Bal.

Accounts Payable
		End. Bal.

Common Stock
		End. Bal.

Wages Expense
End. Bal.

Service Revenue
		End. Bal.

3. Prepare a trial balance at June 30, 2019. If an amount box does not require an entry, leave it blank.

Rosenthal Decorating Inc.
Trial Balance
June 30, 2019
Account	Debit	Credit
	$	$
	$	$