Exercise 2-20A Record transactions, post to T-accounts, and prepare a trial balance (LO2-4, 2-5, 2-6) (GL) Boilermaker House Painting Company incurs the following transactions for September. 1. September Paint houses in the current month for $20,000 on account. 2. September 8 Purchase painting equipment for $21,000 cash. 3. September 12 Purchase office supplies on account for $3,500. 4. September 15 Pay employee salaries of $4,200 for the current month. 5. September 19 Purchase advertising to appear in the current month for $1,000 cash. 6. September 22 Pay office rent of $5,400 for the current month. 7. September 26 Receive $15,000 from customers in (1) above. 8. September 30 Receive cash of $6,000 in advance from a customer who plans to have his house painted in the following month. Requirement General Journal General Ledger Trial Balance Prepare the journal entries for transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet Prev 18 of 23 Next > 4 Journal entry worksheet 1 2 3 5 7 8 > Paint houses in the current month for $20,000 on account. Note: Enter debits before credits. Date: September 03 Account Title Debit Credit Record entry Clear entry View general journal Problem 2-7A Complete the steps in the measurement of external transactions (LO2-4, 2-5, 2-6) (GL) Below are the transactions for Ute Sewing Shop for March, the first month of operations. March 1 Issue common stock in exchange for cash of $2,300. March 3 Purchase sewing equipment by signing a note with the local bank, $2,000. March 5 Pay rent of $530 for March. Check my March 7 Martha, a customer, places an order for alterations to several dresses. Ute estimates that the alterations will cost Martha $730, Martha is not required to pay for the alterations until the work is complete. March 12 Purchase sewing supplies for $123 on account. This material will be used to provide services to customers. March 15 Ute delivers altered dresses to Martha and receives $730, March 19 Ute agrees to alter 10 business suits for Bob, who has lost a significant amount of weight recently. Ute receives $630 from Bob and promises the suits to be completed by Harch 25. Harch 25 Ute delivers 10 altered business suits to Bob. March 30 Pay utilities of $88 for the current period. March 31 Pay dividends of $115 to stockholders. Requirement General Journal General Ledger Trial Balance Record each of the transactions listed above in the 'General Journal' tab (these are shown as items 1-10). Review the General Ledger and the Trial Balance' tabs to see the effect of the transactions on the account balances. General Journal > View transaction list Journal entry worksheet < Ook nt ences 2 3 4 5 6 7 8 9 10 Issue common stock in exchange for cash of $2,300. Note: Enter debits before credits. Date March 01 Account Title Debit Credit Record entry Clear entry View general journal Below is a list of activities for Purple Cow Incorporated. Required: For each activity, indicate the impact on the accounting equation. After doing so for all transactions, ensure that the accounting equation remains in balance. The first item is provided as an example. (Decreases to account classifications should be entered as a negative.) Transaction 1. Provide services to customers on account, $1,600 2 Pay $400 for current month's rent 3. Hire a new employee, who will be paid $500 at the end of each month 4 Pay $100 for advertising aired in the current period 5. Purchase office supplies for $400 cash 6. Receive cash of $1,000 from customers in (1) above. 7 Obtain a loan from the bank for $7,000. 8. Receive a bill of $200 for utility costs in the current period 9 Issue common stock for $10,000 cash. 10 Pay $500 to employee in (3) above. Totals Stockholders' Assots Liabilities Equity $ 1,600 S 0 $ 1,600