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). 84 Chapter 2 The Recording Process Journalize and post transactions and prepare a trial balance. (SO 2, 4, 6, 7) Prepare a correct trial balance. (SO 7) 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: 1. Advertising costs, paid in cash, $1,000. 2. Additional repair parts inventory acquired on account $4,000. 3. Miscellaneous expenses, paid in cash, $2,000. 4. Cash collected from customers in payment of accounts receivable $14,000. 5. Cash paid to creditors for accounts payable due $15,000. 6. Repair parts used during January $4,000. (Hint: Debit this to Repair Parts Expense.) 7. Repair services performed during January: for cash $6,000; on account $9,000. 8. Wages for January, paid in cash, $3,000. 9. Jacks drawings during January were $3,000.