Comprehensive Problem 1 Part 1:

The following is a comprehensive problem which encompasses all of the elements learned in previous chapters. You can refer to the objectives for each chapter covered as a review of the concepts.

Kelly Pitney began her consulting business, Kelly Consulting, on April 1, 20Y8. The chart of accounts for Kelly Consulting is shown below:

11	Cash	32	Retained Earnings
12	Accounts Receivable	33	Dividends
14	Supplies	41	Fees Earned
15	Prepaid Rent	51	Salary Expense
16	Prepaid Insurance	52	Rent Expense
18	Office Equipment	53	Supplies Expense
19	Accumulated Depreciation	54	Depreciation Expense
21	Accounts Payable	55	Insurance Expense
22	Salaries Payable	59	Miscellaneous Expense
23	Unearned Fees
31	Common Stock

The post-closing trial balance as of April 30, 20Y8, is shown below:

Kelly Consulting Post-Closing Trial Balance April 30, 20Y8
	Account No.	Debit	Credit
Cash	11	22,100
Accounts Receivable	12	3,400
Supplies	14	1,350
Prepaid Rent	15	3,200
Prepaid Insurance	16	1,500
Office Equipment	18	14,500
Accumulated Depreciation	19		330
Accounts Payable	21		800
Salaries Payable	22		120
Unearned Fees	23		2,500
Common Stock	31		30,000
Retained Earnings	32		12,300
		46,050	46,050

Required:

Journalize each of the May transactions using Kelly Consulting's chart of accounts. (Do not insert the account numbers in the Post. Ref. column of the journal at this time.) If an amount box does not require an entry, leave it blank.

May 3: Received cash from clients as an advance payment for services to be provided and recorded it as unearned fees, $4,500.

Description	Post. Ref.	Debit	Credit
Accounts ReceivableCashFees EarnedPrepaid RentUnearned FeesCash		fill in the blank 2	fill in the blank 3
Accounts ReceivableCashFees EarnedPrepaid RentUnearned FeesUnearned Fees		fill in the blank 5	fill in the blank 6

May 5: Received cash from clients on account, $2,450.

Description	Post. Ref.	Debit	Credit
Accounts PayableAccounts ReceivableCashFees EarnedUnearned FeesCash		fill in the blank 8	fill in the blank 9
Accounts PayableAccounts ReceivableCashFees EarnedUnearned FeesAccounts Receivable		fill in the blank 11	fill in the blank 12

May 9: Paid cash for a newspaper advertisement, $225.

Description	Post. Ref.	Debit	Credit
Accounts PayableAccounts ReceivableCashMiscellaneous ExpenseRent ExpenseMiscellaneous Expense		fill in the blank 14	fill in the blank 15
Accounts PayableAccounts ReceivableCashMiscellaneous ExpenseSupplies ExpenseCash		fill in the blank 17	fill in the blank 18

May 13: Paid Office Station Co. for part of the debt incurred on April 5, $640.

Description	Post. Ref.	Debit	Credit
Accounts PayableAccounts ReceivableCashOffice EquipmentSupplies ExpenseAccounts Payable		fill in the blank 20	fill in the blank 21
Accounts PayableAccounts ReceivableCashOffice EquipmentSupplies ExpenseCash		fill in the blank 23	fill in the blank 24

May 15: Recorded services provided on account for the period May 115, $9,180.

Description	Post. Ref.	Debit	Credit
Accounts PayableAccounts ReceivableCashFees EarnedUnearned FeesAccounts Receivable		fill in the blank 26	fill in the blank 27
Accounts PayableAccounts ReceivableCashFees EarnedUnearned FeesFees Earned		fill in the blank 29	fill in the blank 30

May 16: Paid part-time receptionist for two weeks' salary including the amount owed on April 30, $750.

Description	Post. Ref.	Debit	Credit
Accounts PayableAccounts ReceivableCashFees EarnedSalary ExpenseSalary Expense		fill in the blank 32	fill in the blank 33
Accounts ReceivableCashFees EarnedSalaries PayableUnearned FeesSalaries Payable		fill in the blank 35	fill in the blank 36
Accounts PayableCashFees EarnedSalaries PayableSalary ExpenseCash		fill in the blank 38	fill in the blank 39

May 17: Recorded cash from cash clients for fees earned during the period May 116, $8,360.

Description	Post. Ref.	Debit	Credit
Accounts ReceivableCashFees EarnedSalary ExpenseUnearned FeesCash		fill in the blank 41	fill in the blank 42
Accounts PayableCashFees EarnedSalaries PayableUnearned FeesFees Earned		fill in the blank 44	fill in the blank 45

May 20: Purchased supplies on account, $735.

Description	Post. Ref.	Debit	Credit
Accounts PayableAccounts ReceivableCashOffice EquipmentSuppliesSupplies		fill in the blank 47	fill in the blank 48
Accounts PayableAccounts ReceivableCashSuppliesSupplies ExpenseAccounts Payable		fill in the blank 50	fill in the blank 51

May 21: Recorded services provided on account for the period May 1620, $4,820.

Description	Post. Ref.	Debit	Credit
Accounts PayableAccounts ReceivableCashFees EarnedUnearned FeesAccounts Receivable		fill in the blank 53	fill in the blank 54
Accounts PayableAccounts ReceivableCashFees EarnedUnearned FeesFees Earned		fill in the blank 56	fill in the blank 57

May 25: Recorded cash from cash clients for fees earned for the period May 1723, $7,900.

Description	Post. Ref.	Debit	Credit
Accounts PayableAccounts ReceivableCashFees EarnedUnearned FeesCash		fill in the blank 59	fill in the blank 60
Accounts PayableAccounts ReceivableCashFees EarnedUnearned FeesFees Earned		fill in the blank 62	fill in the blank 63

May 27: Received cash from clients on account, $9,520.

Description	Post. Ref.	Debit	Credit
Accounts PayableAccounts ReceivableCashFees EarnedUnearned FeesCash		fill in the blank 65	fill in the blank 66
Accounts PayableAccounts ReceivableCashFees EarnedUnearned FeesAccounts Receivable		fill in the blank 68	fill in the blank 69

May 28: Paid part-time receptionist for two weeks' salary, $750.

Description	Post. Ref.	Debit	Credit
Accounts PayableCashMiscellaneous ExpenseSalaries PayableSalary ExpenseSalary Expense		fill in the blank 71	fill in the blank 72
Accounts PayableCashSalaries PayableSalary ExpenseUnearned FeesCash		fill in the blank 74	fill in the blank 75

May 30: Paid telephone bill for May, $260.

Description	Post. Ref.	Debit	Credit
Accounts PayableAccounts ReceivableCashMiscellaneous ExpenseSupplies ExpenseMiscellaneous Expense		fill in the blank 77	fill in the blank 78
Accounts PayableAccounts ReceivableCashMiscellaneous ExpenseSuppliesCash		fill in the blank 80	fill in the blank 81

May 31: Paid electricity bill for May, $810.

Description	Post. Ref.	Debit	Credit
Accounts PayableAccounts ReceivableCashMiscellaneous ExpenseOffice EquipmentMiscellaneous Expense		fill in the blank 83	fill in the blank 84
Accounts PayableAccounts ReceivableCashMiscellaneous ExpenseSuppliesCash		fill in the blank 86	fill in the blank 87

May 31: Recorded cash from cash clients for fees earned for the period May 2631, $3,300.

Description	Post. Ref.	Debit	Credit
Accounts PayableAccounts ReceivableCashFees EarnedUnearned FeesCash		fill in the blank 89	fill in the blank 90
Accounts PayableAccounts ReceivableCashFees EarnedUnearned FeesFees Earned		fill in the blank 92	fill in the blank 93

May 31: Recorded services provided on account for the remainder of May, $2,650.

Description	Post. Ref.	Debit	Credit
Accounts PayableAccounts ReceivableCashFees EarnedUnearned FeesAccounts Receivable		fill in the blank 95	fill in the blank 96
Accounts PayableAccounts ReceivableCashFees EarnedUnearned FeesFees Earned		fill in the blank 98	fill in the blank 99

May 31: Paid dividends, $10,500.

Description	Post. Ref.	Debit	Credit
Accounts PayableCashDividendsMiscellaneous ExpenseRetained EarningsDividends		fill in the blank 101	fill in the blank 102
Accounts PayableCashDividendsMiscellaneous ExpenseRetained EarningsCash		fill in the blank 104	fill in the blank 105