Chapter 2 HW Assignments eBook Spreadsheet Elite Realty acts as an agent in buying, selling, renting, and managing real estate. The unadjusted trial balance on March 31, 2017, follows: Elite Realty Unadjusted Trial Balance March 31, 2017 Account Debit Credit No. Balances Balances Cash 11 11,700 Accounts Receivable Prepaid Insurance Office Supplies Land Accounts Payable Unearned Rent Notes Payable 12 27,270 13 1,330 14. 800 16 21 7,710 22 23 Lester Wagner, Capital 31 25,300 Lester Wagner, Drawing 32 930 Fees Earned 41 133,000 Salary and Commission Expense 51 98,710 Rent Expense 52 13,300 Advertising Expense 53 7,850 Rent Expense Advertising Expense Automobile Expense Miscellaneous Expense 52 13,300 53 7,850 54 2,390 59 1,730 166,010 166,010 The following business transactions were completed by Elite Realty during April 2017: Apr. 1. Paid rent on office for month, $4,470. 2. Purchased office supplies on account, $1,160. 5. Paid insurance premiums, $3,220. 10. Received cash from clients on account, $22,360. 15. Purchased land for a future building site for $80,500, paying $8,900 in cash and giving a note payable for the remainder. 17. Paid creditors on account, $4,020. 20. Returned a portion of the office supplies purchased on April 2, receiving full credit for their cost, $180. 23. Paid advertising expense, $1,790. 27. Discovered an error in computing a commission; received cash from the salesperson for the overpayment, $890. 28. Paid automobile expense (including rental charges for an automobile), $1,340. 29. Paid miscellaneous expenses, $400. Required: 28. Paid automobile expense (including rental charges for an automobile), $1,340. 29. Paid miscellaneous expenses, $400. 30. Recorded revenue earned and billed to clients during the month, $26,830. 30. Paid salaries and commissions for the month, $5,430. 30. Withdrew cash for personal use, $890. 30. Rented land purchased on April 15 to local merchants association for use as a parking lot in May and June, during a street rebuilding program; received advance payment of $2,680. Use the attached spreadsheet to complete parts 1 and 3. Click on the Spreadsheet icon to open and save the Excel file to your computer. Your input into the spreadsheet will not be included in your grade in CengageNOW on this problem. 1. Record the April 1, 2017, balance of each account in the appropriate balance column of a four-column account. The word Balance has been entered in the item section and a check mark (V) has been placed in the Posting Reference column. 2. Journalize and insert the posting reference for the transactions for April in a two-column journal beginning on Page 18. Journal entry explanations may be omitted. If an amount box does not require an entry, leave it blank. Date General Journal Description Post. Ref. Debit Page 18 Credit 20Y7 Apr. 1 Rent Expense Cash 52 4,470 11 4,470 Apr. 21 Office Supplies Accounts Payable 21 14 1,160 1,160 Apr. 5 Prepaid Insurance 13 3,220 Cash 11 3,220 11 22,360 Apr. 10 Cash Accounts Receivable 12 Apr. 15 Land Cash 22,360 16 200,000 X 11 V 30,000 X Apr. 15 Land Cash 16 11 V Notes Payable 23 200,000 X 30,000 X 170,000 X Apr. 17. Accounts Payable 21 V 5,430 X Cash 11 5,430 X Apr. 20 Accounts Payable 21 180 Office Supplies 14 180 Apr. 23 Advertising Expense 53 1,790 V Cash 11 1,790 Date General Journal Description Post. Ref. Debit Page 19 Credit 11 890 20Y7 Apr. 27 Cash Salary and Commission Expense 51 Apr. 28 Automobile Expense Cash 890 54 1,340 11 1,340 Apr. 29 Miscellaneous Expense 59 V 400 Cash 11 Apr. 30- Accounts Receivable: Rev. Fees Earned 400 11 X 5,430 X 41 5,430 X Salary Salary and Commission Expense 51 11,900 X Cash 11 11,900 X Tapi 29 Piscellaneous Expense Cash Apr. 30- Accounts Receivable Rev. Fees Earned 11 X 5,430 x 41 400 5,430 X Salary Salary and Commission Expense 51 11,900 X Cash 11 11,900 X Withdraw Lester Wagner, Capital 33 X 10,000 x Cash 11 V 10,000 X Rent Cash Unearned Rent 11 22 3. Post to the ledger, extending the account balance to the appropriate balance column after each posting. 4. Using the balances from the spreadsheet, prepare an unadjusted trial balance of the ledger as of April 30, 2017. If an amount box does not require an entry, leave it blank. Cash Accounts Receivable Prepaid Insurance Office Supplies Elite Realty Unadjusted Trial Balance April 30, 20Y7 Debit Balances Credit Balances 11,700 X 27,270 X 1,330 X 800 X 0 X Land Accounts Payable Unearned Rent 7,710 X 0 X Notes Payable 0 X Miscellaneous Expense X 25,300 V Fees Earned X 930 X Fees Earned 133,000 X Salary and Commission Expense 98,710 X Rent Expense 13,300 X Advertising Fynence 7953 V Umfice Supplies Land Accounts Payable Unearned Rent Notes Payable Miscellaneous Expense Fees Earned 800 0 X 7,710 x 0 X 0x 25,300 930 X Fees Earned 133,000 X Salary and Commission Expense 98,710 X Rent Expense 13,300 X- Advertising Expense 7,850 X Automobile Expense 2,390 X Miscellaneous Expense 1,730 X 166,010 X 166,010 X Sa. Assume that the April 30 transaction for salaries and commissions should have been $4,530. As a result, the unadjusted trial balance in (4) would still balance. 5b. Assume that the April 30 transaction for salaries and commissions should have been $4,530. Journalize the correcting entry. If an amount box does not require an entry, leave it blank blank. Date 20Y7 General Journal PAGE 19 Description Post. Ref. Debit Credit Apr. 30 Accounts Payable Fees Earned 15 X 15 2,680 X 2,680 X 5c. Assume that the April 30 transaction for salaries and commissions should have been $4,530. Is this error a transposition or slide? Transposition