J & M Accounting Services and Office Supplies, LLC

Trial Balance

February 1, 2023

Title	Debit	Credit
Cash	9,200
Accounts Receivable	2,400
Merchandise Inventory	2,100*
Supplies	860
Equipment	23,000
Accumulated Depreciation		1,500
Accounts Payable		3,300
Unearned Service Revenue		3,600
Salaries and Wages Payable		1,420
Common Stock		20,000
Retained Earnings		7,740
Totals	$37,560	$37,560

*(3,000 units at $0.70)

Instructions:

Enter the February 1, balances in ledger accounts.

Journalize the February transactions.

Post to the ledger accounts. HINT: You will need to add some accounts to the beginning ones available.

Prepare a Trial Balance for February 28, 2023.

During the month of February, the following summary transactions were completed.

Feb. 1 Paid Februarys rent $350.

1 Purchased merchandise on account from dds Discount Supply terms 2/10, n/30. (4,000 units @ $0.75)

3 Sold 4,400 units of inventory for Cash at $0.96 each. (3,000 @ $0.70 and 1,400 @ $0.75)

3 Paid $3,550 for salaries due employees, of which $1,420 is for January and $2,130 is for February.

7 Gave a February 3^rd customer $192 for 200 units returned costing $150. (Units were returned to inventory.)

8 Received $2,000 cash from customers in payment of account. (No Discounts)

9 Paid $2,800 on account. (No Discounts)

10 Paid $3,550 for salaries due employees.

10 Paid dds Discount Supply in full, less discount. (Round to Whole Dollars)

13 Purchased 5,000 units for inventory on account from Office Headquarters at $0.80 each. Terms 2/10, n30.

15 Sold 4,000 units of inventory to customers on account at $0.99 per unit. Terms 2/10, n30. (Sold 2,800 units @ $0.75 and 1,200 units @ $0.80)

17 Paid Salaries $3,550.

20 Received $5,850 Cash for services performed in February.

21 Purchased supplies on account $1,500.

23 Received $4,500 from customers for services paid in advance.

24 Received collections in full, less discount, from customers billed for sales on February 15^th.

24 Paid Salaries $3,550.

28 Performed services on account and billed customers $3,150.

28 Paid Office Headquarters in full. (No discount).