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Instructions Chart of Accounts Journal Ledger Unadjusted Trial Balance Final Question 1 Instructions On November 1, 2019, Lexo Martin established an interior decorating business, Heritage

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Instructions Chart of Accounts Journal Ledger Unadjusted Trial Balance Final Question 1 Instructions On November 1, 2019, Lexo Martin established an interior decorating business, Heritage Designs. During the month, Lewd completed the following transactions related to the business Nov + Lex transferred cash from a personal bank account to an account to be used for the business in exchange for common stock 550.000 Paid rent for period of November 1 to end of month, 54,000 Purchased office equipment on account. 515,000 Purchased a truck for 538 500 paying 55.000 cash and giving a noto pay able for the remainder Purchased supplies for cash 51.750 Received cash for job completed 511 500 Pad annual premium on property and casually insurance, 2.400 23 Recorded jobs completed on account and sent invoices to customers, 522 300 Received an invoice for truck expenses lo be pad in November 51 250 6 . 10 12 15 Enter the following ansactions on Page 2 of the two-column journal Nov 20 Paid utilities expense $4.500 Paid miscellaneous expenses 51000 29 Enter the following transactions on Page 2 of the two-column journal Nov 29 30 29 Paid utilities expense, 54,500 Paid miscellaneous expenses, 51,000 Received cash from customers on account. $9,000 Paid wages of employees, S6 800 Paid creditor a portion of the amount owed for equipment purchased on November 6, 53,000 Paid dividends, $2,500 30 30 30 Required: 1 Journalize each transaction in a two-column joumal beginning on Page 1, referring to the chart of accounts in selecting the accou debted and credited. (Do not insert the post reference numbers until you have posted the entry to the general ledger in part 2) Re Chart of Accounts for exact wording of account titles 2. Post (in chronological order) the joumal to a ledger of four-column accounts, inserting appropriate posting references in both the jo ledger as each item is posted. Extend the balances to the appropriate balance columns after each transaction is posted 3. Prepare an unaojusted trai balance for Heritage Designs as of November 30, 2019 4 Determine the excess of revenues over expenses for November 5 Can you think of any reason why the amount determined in (4) might not be the net income for November? CHART OF ACCOUNTS Heritage Designs General Ledger ASSETS REVENUE 11 Cash 41 Fees Earned 12 Accounts Receivable 13 Supplies EXPENSES 14 Prepaid Insurance 51 Wages Expense 16 Equipment 53 Rent Expense 18 Truck 54 Utilities Expense 55 Truck Expense actions Chart of Accounts 18 Truck 54 Utilities Expense 55 Truck Expense LIABILITIES 59 Miscellaneous Expense 21 Notes Payable 22 Accounts Payable EQUITY 31 Common Stock 32 Retained Earnings 33 Dividends Final Question 4. Determine the excess of revenues over expenses for November $ 5. Can you think of any reason why the amount determined in (4) might not be the net income for Novem Because the cash balance is incorrect. Because the closing inventory balance is missing. Because necessary adjustment to expenses like depreciation has not been made Because the dividends are declared but not paid

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