.

July

1 Invested personal money of $14,000 into the new company bank account

1 Purchased a used van for $10,000, paying $3,000 cash and the balance on account

3 Purchased cleaning supplies for $800 on account.

5 Paid $1,800 on a one-year insurance policy, effective July 1.

12 Billed customer $3,800 for cleaning services.

18 Paid $1,000 of the amount owed on the van, and $400 of the amount owed on cleaning supplies.

20 Paid $1,600 for employee salaries.

21 collected $1,400 from customers billed on July 12.

25 Billed customers $1,500 for cleaning services.

31 Paid gas and oil for the month on the van, $400

31 Paid herself $600 for personal use.

Answer:

(g) Journalize and post the adjusting entries. Use page J2 for the journal.

(h) Journalize and post the closing entries, and complete the closing process. Use page J3 for the journal.

(i) Prepare a post-closing trial balance at July 31.

The chart of accounts for the company contain the following accounts:

101 Cash

112 Accounts Receivable

128 Cleaning Supplies

130 Prepaid Insurance

157 Equipment

158 Accumulated Depreciation-Equipment

201 Accounts Payable

212 Salaries Payable

311 Owner's Equity

320 Owner Withdrawal

350 Income Summary

400 Service Revenu

633 Gas and Oil Expense

634 Cleaning Supplies Expense

711 Depreciation Expense

722 Insurance Expense

726 Salaries Expense

Check Points:

Worksheet Adjustments debit column: 2,850

Adjusted Trial Balance worksheet Credit balance: 27,700

Income Statement Net Income: 3,050

Balance Sheet Credit column total: 24,150

Cash Ledger Account, July 20 balance: 6,200

Accounts Payable July 18 ending balance: 6,400

Balance Sheet Total Assets total: 23,350