CHAPTER 3 The Ledger (d) Post the journal entries to the ledger accounts as illustrated i (e) Prepare a trial balance, complete with an appropriate heading. PRACTICE EXERCISE 4 20- Oct. three 1, (a) Set up the following ledger accounts using the account numbers i cated. All accounts will require only one sheet, marked Sheet Bank, which will require two ledger sheets. ind , excep 120; Store Fixtures, 130; Delivery Equipment, 140; A/P A Bond Bank, 101; A/R S. Canto, 110; A/R Jooni's Dress Shoppe, 111; Ellen Nash, 112; A/R Ronaldo Auto Sales, 113; Cleaning Equipment Press, 203; Bank Loan Payable, 220; Capital, John Grady, 301; Service Equipment Suppliers, 201; A/P Bruce Auto Sales, 202; A/P Dail Revenue, 401; Advertising Expense, 501; Cleaning Supplies Expense 502; Rent Expense, 503; Salaries Expense, 504; Telephone Expense 505; Utilities Expense, 506. (b) Journalize the following transactions, complete with appropriate explanations, for Rainbow Rug & Furniture Cleaners. 1 John Grady started his business by investing the following assets and liabilities: Bank, $18,000; Cleaning Equipment, $8,000; Store Fixtures, $3,000; and Bank Loan, $5,000. (Calculate the Capital value needed to balance this transaction, then record the com- pound journal entry.) 2 Issued Cheque #1 to Deutsch Holdings for $925 to pay the October rent. 2 Bought truck for $16,900 from Bruce Auto Sales; paid $6,900 down; terms net 90 days. Purchase Invoice #773; Cheque #2. 4 Bought additional cleaning equipment, $3,000, and supplies, $800, from Bondi Equipment Suppliers. Payment due in 10 days. Purchase Invoice #663. 5 Received $175 from Tony Laicini for cleaning services provided to him today. 7 Sent an invoice to S. Canto for cleaning services provided; terms net 10 days; Sales Invoice #01; $225. 9 Placed newspaper advertisement in the Daily Press, to be paid in 10 days, $185. Purchase Invoice #113. 11 Sent an invoice to Ronaldo Auto Sales for $425 for cleaning car- pets in the showroom; 10-day credit terms; Sales Invoice #02. 12 Received $195 cash from Sally Ritchie for cleaning rugs and furni- ture in her home today. 4 Issued Cheque # 3 for $3,800 to pay balance owing to Bondi Equipment Suppliers. Received $225 from S. Canto on Sales Invoice #01. NEL NEL