Journal Entries and Trial 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. 4. Jay transferred cash from a personal bank account to an account to be used for the business, $18,000. Paid rent for period of October 4 to end of month, $1,750. 10. Purchased a used truck for $15,000, paying $1,000 cash and giving a note payable for the remainder 13 Purchased equipment on account, $7,020. 14. Purchased supplies for cash, $1,210. 15. Paid annual premiums on property and casualty insurance, $2,700. 15. Received cash for job completed, $7,560. Enter the following transactions on Page 2 of the two-column journal: 21. Paid creditor a portion of the amount owed for equipment purchased on October 13, $2,500. 24. Recorded jobs completed on account and sent invoices to customers, $8,600.) 26. Received an invoice for truck expenses, to be paid in November, $790. 27. Paid utilities expense, $900. 27 Paid miscellaneous expenses, $320 29. Received cash from customers on account, $3,600. 30. Paid wages of employees, $2,390) 31. Withdrew cash for personal use, $2,000. Required: 1. Journal each transaction in a two-column journal beginning on Page 1, referring to the following chart of accounts in selecting the sccunts to be debited and credited. (Do not insert the account numbers in the Journal at this time) Journal entry explanations may be omitted. If an amount box does not require an entry, leave it blank 11 Cash 12 Accounts Receivable 13 Supple 14 Prepaid Insurance 16 Equipment 18 Truck 21 Notes Payable 22 Accounts Payable 31 Jay Fry, Capital 32 Jay Pryor, Drawing 41 Fees Came 51 Wages Expense 53 Rent Expense 54 Ublibes Expense 55 Truck Expense 59 Miscellaneous Expense Date Description 20Y6 Oct. 1 Oct. 4 Oct. 10 Oct. 13 Oct. 14 General Journa Post. Ref. Debit Credit 11 11 111 11 | 10 10 000 11 LL 11 11 111 11 Date Description Post. Ref. Debit Credit 20Y6 Oct. 21 Oct. 24 Oct. 26 Oct. 27 Oct. 27 Oct. 29 11 11 11 11 11 11 11 11 11 11 11 11 2. Post (chranological order) the journal to a ledger of four-column accounts, inserting appropriate posting references in the general journal as each item la posted: Extend the balances to the appropriate balance columns after each transaction la posted. If an amount box does not require an entry, leave it blank Account Cash 2016 Date Od. 1 Oct. 4 Oct. 10- 100. 14 Oct. 15 Oct 15 Oct 21 Oct. 27 1027 Oct. 29 Oct. 30 Oct 31 General Ledger ACCOUNT NO. 11 Balance Post. Ref. Debit Credit Debit Credit Account Accounts Receivable ACCOUNT NO. 12 Balance Date Item Post. Ref. Debit Credit Debit Credit 2016 Oct. 24 Oct. 29 Account Supplies ACCOUNT NO. 13 Balance Date Item Post. Ref. Debit Credit Debit Credit 2016 Oct. 14 Account Prepaid Insurance ACCOUNT NO. 14 Balance Date Item Post. Ref. Debit Credit Debit Credit 2016 Oct. 15 Account Equipment ACCOUNT NO. 16 Balance Date Item Post. Ref. 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 20Y6 Oct. 10 2016 Date Item Post. Ref. Debit Credit Debit Oct. 13 Oct. 21 Oct. 261 Balance DJ Credit Account Jay Pryor, Capital ACCOUNT NO. 31 Balance Date Item Post. Ref. 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 Account Wages Expense ACCOUNT NO. 51 Balance Date Item Post. Ref. Debit Credit Debit Credit 2016 Oct. 30 Account Rent Expense ACCOUNT NO. 53 Balance Date Item: Post. Ref. Debit Credit Debit Credit 2016 Oct. 4 Account 20Y6 Date Oct. 27 Utilities Expense ACCOUNT NO. 54 Balance Item Post. Ref. Debit Credit Debit Credit Account Truck Expense ACCOUNT NO. 55 Balance Date Item Post. Ref. Debit Credit Debit Credit 2016 Oct. 26 Account Miscellaneous Expense ACCOUNT NO. 59 Balance Date Item Post. Ref. Debit Credit Debit Credit 2016 Oct. 27 3. Prepare an unadjusted trial balance for Paneer Designs as of October 31, 2016. For those boxes in which no entry is required, leave the box blank. The first two account titles are filled in as an example Pioneer Designs Unadjusted Trial Balance October 31, 2016 Cash Accounts Rec Debit Balances Credit Balances 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,