Elite Realty acts as an agent in buying, selling, renting, and managing real estate. The unadjusted trial balance on March 31, 2043, follows: CREDIT Elite Realty UNADJUSTED TRIAL BALANCE March 31, 2073 ACCOUNT TITLE DEBIT 1 Cash 25200.00 2 Accounts Receivable 62.500.00 3 Prepaid Insurance 2,500.00 4 Office Supplies 1,600.00 5 Accounts Payable 6 Common Stock 7 Retained Eamings 8 Dividends 2,100.00 9 Fees Eamed 10 Salary and Commission Expense 145,500.00 11 Rent Expense 27,000.00 12 Advertising Expense 16,600.00 13 Automobile Expense 5,900.00 14 Miscellaneous Expense 3,900.00 15 Totals 292,800.00 12,100.00 10,000.00 3760000 233,100.00 292,800.00 The following business transactions were completed by Elite Realty during April 20Y3. Enter the transactions through the 23rd on Page 18 of the two-column journal: Apr. 1 Paid rent on office for month, $5,000. 2 Purchased office supplies on account, $2,000. 5 Paid insurance premiums, $8,200. 10 Received cash from clients on account, $52,400. 15 Purchased land for a future building site for $234,000, paying $21,000 in cash and giving a note payable for the remainder. 17 Paid creditors on account, $8,500 20 Returned a portion of the office supplies purchased on April 2, receiving full credit for their cost, $380. 23 Paid advertising expense, $4,100. Enter the following transactions on Page 19 of the two-column journal: Apr. 27 Discovered an error in computing a commission; received cash from the salesperson for the overpayment, $2,700. 28 Paid automobile expense (including rental charges for an automobile). $1,300. 29 Paid miscellaneous expenses, $1,400 30 Recorded revenue earned and billed to clients during the month, $55,000. 30 Paid salaries and commissions for the month, $13,500. 30 Paid dividends, $4,000. 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 $9.400. Required: 1. Record the April 1, 2043, balance of each account in the appropriate balance column of a four column account, type Balance in the item section, and select a check mark in the Posting Reference column 2. Jounalize the transactions for Apnil in a two-column journal beginning on Page 18. Refer to the Chart of Accounts for exact wording of account titles. Insert the appropriate posting references in both the journal and the ledger as each item is posted 3. Post to the ledger, extending the account balance to the appropriate balance column after each posting, Post in chronological order. For transactions occurring on the same day, post in the order presented in the instructions. Insert the appropriate posting references in both the journal and the ledger as each item is posted 4. Prepare an unaciusted trial balance of the ledger as of April 30, 20Y3 5. Assume that the April 30 transaction for salaries and commissions should have been $15,300. (a) Why did the unadjusted trial balance in (4) balance? (b) Journalize the correcting entry on April 30. Use page 20. (Note: You will not be required to post this entry to the ledger at this time.) (e) Is this error a transposition or slide? Chart of Accounts CHART OF ACCOUNTS Elite Realty General Ledger REVENUE 41 Fees Earned ASSETS 11 Cash 12 Accounts Receivable 13 Prepaid Insurance 14 Office Supplies 16 Land EXPENSES 51 Salary and Commission Expense 52 Rent Expense 53 Advertising Expense 54 Automobile Expense 59 Miscellaneous Expense LIABILITIES 21 Accounts Payable 22 Unearned Rent 23 Notes Payable EQUITY 31 Common Stock 32 Retained Earnings 33 Dividends Ledger 1. Record the April 1, 2043, balance of each account in the appropriate balance column of a four-column account, type Balance in the item section, and select a check mark in the Posting Reference column. 3. Post to the ledger, extending the account balance to the appropriate balance column after each posting. Post in chronological order. For transactions occurring on the same day, post in the order presented in the instructions. Insert the appropriate posting references in both the journal and the ledger as each item is posted. LEDGER Account: Cash Account: Accounts Receivable Account: Prepaid Insurance Account: Office Supplies Account: Land Account: Accounts Payable Account: Ungarned Rent Account: Notes Payable Account: Common Stock Account: Retained Earnings Account: Dividends Account: Fees Earned Account: Salary and Commission Expense Account: Rent Expense Account: Advertising Expense Account: Automobile Expense Account: Miscellaneous Expense Account No. 11 Account No. 12 Account No. 13 Account No. 14 Account No. 16 Account No. 21 Account No. 22 Account No. 23 Account No. 31 Account No. 32 Account No. 33 Account No. 41 Account No. 51 Account No. 52 Account No. 53 Account No. 54 Account No. 59 Unadjusted Trial Balance 4. Prepare an unadjusted trial balance of the ledger as of April 30, 2013. CREDIT Elite Realty UNADJUSTED TRIAL BALANCE April 30, 20Y3 ACCOUNT TITLE DEBIT 1 Cash 2 Accounts Receivable 3 Prepaid Insurance 4 Office Supplies 5 Land 6 Accounts Payable 7 Unearned Rent 8 Notes Payable 9 Common Stock 10 Retained Eamings 11 Dividends 12 Fees Earned 13 Salary and Commission Expense 14 Rent Expense 15 Advertising Expense 16 Automobile Expense 17 Miscellaneous Expense 18 Totals Final Questions 5. Assume that the April 30 transaction for salaries and commissions should have been $15,300. (a) Why did the unadjusted trial balance in (4) balance? (b) Journalize the correcting entry on April 30. Use page 20. (Note: You will not be required to post this entry to the ledger at this time.) Refer to the Chart of Accounts for exact wording of account titles. JOURNAL PAGE 20 ACCOUNTING EQUATION ASSETS LIABILITIESQUITY DATE DESCRIPTION DEBIT CREDIT (c) Is this error a transposition or side? Journal 2. Joumalize the transactions for April in a two-column journal beginning on Page 18. Refer to the Chart of Accounts for exact wording of account titles. Insert the appropriate posting references in both the journal and the ledger as each item is posted. JOURNAL DESCRIPTION PAGE 18 PAGE 19 ACCOUNTING EQUATION ASSETS LIABILITIESQUITY DATE PRET DEBIT CREDIT