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Connie Young, an architect, opened an office on October 1, 2019. During the month, she completed the following transactions connected with her professional practice: Transferred
Connie Young, an architect, opened an office on October 1, 2019. During the month, she completed the following transactions connected with her professional practice:
- Transferred cash from a personal bank account to an account to be used for the business, $42,200.
- Paid October rent for office and workroom, $4,200.
- Purchased used automobile for $27,000, paying $6,300 cash and giving a note payable for the remainder.
- Purchased office and computer equipment on account, $8,400.
- Paid cash for supplies, $2,030.
- Paid cash for annual insurance policies, $2,800.
- Received cash from client for plans delivered, $10,600.
- Paid cash for miscellaneous expenses, $1,140.
- Paid cash to creditors on account, $2,450.
- Paid $340 on note payable.
- Received invoice for blueprint service, due in November, $1,400.
- Recorded fees earned on plans delivered, payment to be received in November, $7,300.
- Paid salary of assistants, $2,200.
- Paid gas, oil, and repairs on automobile for October, $550.
Required:
1. Record the above transactions (in chronological order) directly into the T accounts. To the left of the amount entered in the accounts, select the appropriate letter to identify the transaction.
2. Determine account balances of the T accounts. Accounts containing a single entry only (such as Prepaid Insurance) do not need a balance.
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