Credit Account Titles Cash Accounts Receivable Supplies Prepaid Rent Merchandise Inventory (24 @ $265, 1 @$260) Land Accounts Payable Unearned Revenue Salaries Payable Common Stock Retained Earnings Debit $74,210 13,500 200 3,200 6,620 4,000 $ 1,950 900 1,000 50,000 47,880 Totals $101.730 $101.730 During Year 6, Number One Security Firm experienced the following transactions: 1. Paid the salaries payable from Year 5 2. On March 1, Year 6, Number One established a $100 petty cash fund to handle small expenditures. 3. Paid $4,800 on March 1, Year 6 for a one-year lease on the company van in advance. 4. Paid $7,200 on May 2, Year 6, for one year's office rent in advance. 5. Purchased $400 of supplies on account. 6. Purchased 100 alarm systems for $28,000 cash during the year. 7. Sold 102 alarm systems for $57,120. All sales were on account. (Compute cost of goods sold using the FIFO cost flow method.) 8. Paid $2,100 on accounts payable during the year. 9. Replenished the petty cash fund on August 1. At this time, the petty cash fund had only $7 of currency left. It contained the following receipts: office supplies expense, $23; cutting grass, $55, and miscellaneous expense, $14. 10. Billed $52,000 of monitoring services for the year. 11. Paid installers and other employees a total of $25,000 cash for salaries. 12. Collected $89,300 of accounts receivable during the year. 13. Paid $3,600 of advertising expense during the year. 14. Paid $2,500 of utilities expense for the year. 15. Paid a dividend of $10,000 to the shareholders. Adjustments 16. There was $160 of supplies on hand at the end of the year. 17. Recognized the expired rent for both the van and the office building for the year. (The rent for both the van and the office remained the same for Year 5 and Year 6). 18. Recognized the balance of the revenue earned in Year 6 where cash had been collected in Year 5. 19. Accrued salaries at December 31, Year 6 were $1,400. Required a) Record the above transactions in general journal form. b) Post the transactions to the T-accounts Credit Account Titles Cash Accounts Receivable Supplies Prepaid Rent Merchandise Inventory (24 @ $265, 1 @$260) Land Accounts Payable Unearned Revenue Salaries Payable Common Stock Retained Earnings Debit $74,210 13,500 200 3,200 6,620 4,000 $ 1,950 900 1,000 50,000 47,880 Totals $101.730 $101.730 During Year 6, Number One Security Firm experienced the following transactions: 1. Paid the salaries payable from Year 5 2. On March 1, Year 6, Number One established a $100 petty cash fund to handle small expenditures. 3. Paid $4,800 on March 1, Year 6 for a one-year lease on the company van in advance. 4. Paid $7,200 on May 2, Year 6, for one year's office rent in advance. 5. Purchased $400 of supplies on account. 6. Purchased 100 alarm systems for $28,000 cash during the year. 7. Sold 102 alarm systems for $57,120. All sales were on account. (Compute cost of goods sold using the FIFO cost flow method.) 8. Paid $2,100 on accounts payable during the year. 9. Replenished the petty cash fund on August 1. At this time, the petty cash fund had only $7 of currency left. It contained the following receipts: office supplies expense, $23; cutting grass, $55, and miscellaneous expense, $14. 10. Billed $52,000 of monitoring services for the year. 11. Paid installers and other employees a total of $25,000 cash for salaries. 12. Collected $89,300 of accounts receivable during the year. 13. Paid $3,600 of advertising expense during the year. 14. Paid $2,500 of utilities expense for the year. 15. Paid a dividend of $10,000 to the shareholders. Adjustments 16. There was $160 of supplies on hand at the end of the year. 17. Recognized the expired rent for both the van and the office building for the year. (The rent for both the van and the office remained the same for Year 5 and Year 6). 18. Recognized the balance of the revenue earned in Year 6 where cash had been collected in Year 5. 19. Accrued salaries at December 31, Year 6 were $1,400. Required a) Record the above transactions in general journal form. b) Post the transactions to the T-accounts