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Jack Shellenkamp owns and manages a computer repair service, which had the following trial balance on December 31, 2009 (the end of its fiscal year).
Jack Shellenkamp owns and manages a computer repair service, which had the following trial balance on December 31, 2009 (the end of its fiscal year). BYTE REPAIR SERVICE Trial Balance December 31, 2009 Cash $8,000 Accounts Receivable 15,000 Parts Inventory 13,000 Prepaid Rent 3,000 Shop Equipment 21,000 Accounts Payable $19,000 Jack Shellenkamp, Capital 41,000 $60,000 $60,000 Summarized transactions for January 2010 were as follows: Advertising costs, paid in cash, $1,000. Additional Repair Parts Inventory acquired on account $4,000. Miscellaneous expenses, paid in cash, $2,000. Cash collected from customers in payment of accounts receivable $14,000. Cash paid to creditors for accounts payable due $15,000. Repair parts used during January $4,000. (Hint: Debit this to Repair Parts Expense.) Repair services performed during January: for cash $6,000; on account $9,000. Wages for January, paid in cash, $3,000. Jack's drawings during January were $3,000
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