Journal Entries and Tral Balance On October 1, 2016, Jay Pryor established an interior decorating business, Pioneer Designs. During the month, Jay completed the following transactions related to the business Oct 1 Jay transferred cash from a personal bank account to an account to be used for the business, 532,300 4. Paid rent for period of October 4 to end of month, $3,130. 10. Purchased a used truck for $27,000, paving $3,000 cash and giving a note payable for the remainder 1 Purchased equipment on account, $12,000 14 Purchased supplies for cash $2,160 15Paid annual premiums on property and casualty insurance, 54,850 15. Received cash for job completed, 513,570 Enter the following transactions on Page 2 of the two columyjournal 21. Paid creditor a portion of the amount owed for equipment purchased on October 13, 14,400 24 Recorded jobs completed on account and rent involces to customers, 15.40 -20 Rocrved an invoice for truck expenses to be paid in November, 51/420. 22 Paldies expense. $1,620 27 Paid miscellaneous expenses 5580 29 Received cath from customers on account: $6,460 30 Paid wages of employees $4.300 31. Withdrew cash for personalise, 33.590 Required: 1. Joumalize each transaction in a two-column Journal beginning on Page 1, referring to the following chart of accounts in selecting the accounts to be debited and credited. (Do not insert tha account numbers in the journal at this time. Journal entry explanations may be omitted. If an amount box tout not require an entry, Inave it blank 11 Cash 31 Jay Pryor, Capital 32 Jay Pryor, Drawing 12 Accounts Receivable 13 Supplies 14 Prepaid Irvurance 16 Equipment 41 Sees Earned 51 Wages Expense 5) Rent Expense 54 til Expense 1 Trud 35 Truck Expense 21 Notes Payable 22 Accounts Payable 59 Miscellaneous tende General Journal Page 1 Date Description Post. Ref. Debit Credit 2016 Oct. 1 Oct. 4 Oct. 10 Oct. 13 II ll Oct. 14 Oct. 15 Oct. 15 General Journal Page 2 Date Description Post. Ref. Debit Credit 2016 Oct. 21 Oct. 24 Oct. 26 Oct. 27 Oct. 27 I II II Oct. 29 II ll llll Oct. 30 Oct. 31 .. > Post in chronological order) the journal to a leder of four column accounts, Inserting appropriate posting references in the sournal as each item is posted. Extend the balances to the appropriate balance Columns after each transaction is posted. If an amount box does not require an entry, Wave it black General Ledger Account Cash ACCOUNT NO. 11 Balance Date Item Post. Rer. Debit Credit Debit Credit 2046 od. Oct od 10 Oct 1 Oct 3 loc. is Od 2 OCT 23 Oct 2 Oct 29 Oct. 29 Oct. 30 Oct. 31 Account Accounts Receivable ACCOUNT NO. 12 Balance Date Item Post. Ref. Debit Credit Debit Credit 2046 Oct 24 Oct 29 Account Supplies ACCOUNT NO. 13 Balance Date Item Post Rel Debit Credit Debit Credit 2016 Oct 14 Account Prepaid Insurance ACCOUNT NO. 14 Balance Date Item Post. Ref. Debit Credit Debit Credit 2046 Oct 15 Account Equipment ACCOUNT NO. 16 Balance Date Item Post. Rel. Debit Credit Debit Credit 2016 Oct. 13 Account Truck ACCOUNT NO. 18 Balance Date Item Post. Ref. Debit Credit Debit Credit 2016 Oct. 10 Account Notes Payable ACCOUNT NO. 21 Balance Date Item Post. Ref. Debit Credit Debit Credit 2016 Oct 10 Account Accounts Payable ACCOUNT NO. 22 Balance Date Item Post. Rel. Debit Credit Debit Credit 2046 Oct. 13 Oct. 21 Oct. 26 Account Jay Pryor, Capital ACCOUNT NO 31 Balance Date Item Post. Rel. Debit Credit Debit Credit 2016 Oct. 1 Account Jay Pryor, Drawing ACCOUNT NO. 32 Balance Date Item Post. Ref. Debit Credit Debit Credit 2016 Oct. 31 Account Fees Earned ACCOUNT NO. 41 Balance Date Item Post. Ref. Debit Credit Debit Credit 2016 Oct. 15 Oct 24 51 ACCOUNT NO. Account Wages Expense Balance Debit Date Item Debit Credit Credit Post. Ref. 2046 Oct. 30 ACCOUNT NO. 53 Account Rent Expense Balance Credit Date Item Post. Ref. Debit Debit Credit 2016 Oct 4 54 ACCOUNT NO. Account Utilities Expense Balance Date Item Credit Post. Ref. Debit Credit Debit 2016 Oct. 27 Account 55 Truck Expense ACCOUNT NO Balance Credit Date Item Debit Debit Post. Rel. Credit 2016 Oct. 26 Account Miscellaneous Expense ACCOUNT NO. 59 Balance Date Item Post. Ref. Debit Credit Debit Credit 2016 Oct. 27 1. Prepare an unactedral bance for Pioneer Designs of October 31 2070. For those boxes in which no entry is required, leave the box blank The first two accountitles are filed in as a ample Pioneer Designs Unadjusted Trial Balance October 31, 2016 Debit balances Credit Balances canh Accounts Receivable 4. Determine the excess of revenues over expenses for October. 5. Can you think of any reason why the amount determined in (4) might not be the net income for October? 1. Fees earned includes some fees earned in the month of October that have not been received. 2. Utilities expense includes expenses incurred for the month of October than have not yet been paid 3. Some supplies may have been used during October, but no supplies expense has been recorded. 4. Additions to capital has been wrongly recorded as drawings