Kristin Malone opened Kristins Maids Cleaning Service on July 1, 2015. During July, the company completed the following transactions.

July 1 Stockholders invested $19,200 cash in the business in exchange for common stock. 1 Purchased a used truck for $10,700, paying $2,900 cash and the balance on account. 3 Purchased cleaning supplies for $860 on account. 5 Paid $1,920 on a 1-year insurance policy, effective July 1. 12 Billed customers $3,600 for cleaning services. 18 Paid $1,100 of amount owed on truck, and $200 of amount owed on cleaning supplies. 20 Paid $1,600 for employee salaries. 21 Collected $1,500 from customers billed on July 12. 25 Billed customers $1,700 for cleaning services. 31 Paid gasoline for the month on the truck, $320. 31

Declared and paid a $720 cash dividend.

(The last picture is the problem)

Journalize the July transactions. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit July 1 Cash 19,200 19,200 10,700 Common Stock (To record cash invested in the business.) July 1 Equipment Accounts Payable Cash (To record purchase of truck.) 7800 2,900 July 3 Supplies 860 860 1,920 1,920 3,600 Accounts Payable July 5 Prepaid Insurance Cash July 12 Accounts Receivable Service Revenue July 18 Accounts Payable Cash July 20 Salaries and Wages Expense Cash 3,600 1300 1300 1,600 1,600 July 21 Cash 1,500 Accounts Receivable 1,500 1,700 1,700 320 320 July 25 Accounts Receivable Service Revenue July 31 Gasoline Expense Cash (To record gasoline expense.) July 31 Dividends Cash (To record dividend.) 720 720 Post the July transactions (Post entries in the order of journal entries presented above.). Cash Date Explanation No. 101 Ref Debit Credit Balance J1 19,200 19,200 J1 2,900 16300 J1 1,920 14380 J1 1300 13080 July 1 July 1 July 5 July 18 July 20 July 21 July 31 July 31 01 1,600 11480 11 1,500 12980 J1 320 12660 J1 720 11940 No. 112 Credit Balance Ref Debit Accounts Receivable Date Explanation July 12 July 21 July 25 Supplies Date Explanation July 3 Prepaid Insurance Date Explanation July 5 Equipment Date Explanation July 1 Accounts Payable Date Explanation July 1 July 3 July 18 Common Stock Date Explanation July 1 J1 3,600 3,600 J1 1,500 2100 31 1,700 3800 No. 126 Ref Debit Credit Balance J1 860 860 No. 130 Ref Debit Credit Balance 11 1,920 1,920 No. 157 Ref Debit Credit Balance J1 10,700 10,700 No. 201 Ref Debit Credit Balance J1 7800 7800 J1 860 8660 J1 1300 7360 No. 311 Credit Balance Ref Debit J1 19200 19200 Dividends No. 332 Date Explanation Ref Debit Credit Balance July 31 21 720 720 Service Revenue No. 400 Date Explanation Ref Debit Credit Balance July 12 J1 3600 3600 July 25 J1 1700 5300 Gasoline Expense No. 633 Date Explanation Ref Debit Credit Balance July 31 J1 320 320 Salaries and Wages Expense No. 726 Date Explanation Ref Debit Credit Balance J1 July 20 1,600 1,600 Your answer is correct. (b) Prepare a trial balance at July 31 on a worksheet. (c) Enter the following adjustments on the worksheet, and complete the worksheet. (1) Unbilled fees for services performed at July 31 were $1,500. (2) Depreciation on equipment for the month was $260. (3) One-twelfth of the insurance expired. (4) An inventory count shows $180 of cleaning supplies on hand at July 31. (5) Accrued but unpaid employee salaries were $430. Account Titles KRISTIN'S MAIDS CLEANING SERVICE Worksheet For the Month Ended July 31, 2015 Trial Balance Adjustments Adjusted Trial Balance Dr. Cr. Dr. Cr. Dr. Cr. 11940 11940 Balance Sheet Income Statement Dr. Cr. Cr. Dr. 11940 3800 1500 5300 5300 860 680 180 180 1920 160 1760 10700 1760 10700 10700 7360 7360 7360 19200 19200 19200 720 720 720 5300 1500 6800 6800 320 320 Cash Accounts Receivable Supplies Prepaid Insurance Equipment Accounts Payable Common Stock Dividends Service Revenue Gasoline Expense Salaries and Wages Expense Total Depreciation Expense Accum. Depr.-Equipment Insurance Expense Supplies Expense Salaries and Wages Payable Totals Net Income Totals 320 2030 1600 430 2030 31860 31860 260 260 260 260 260 260 160 160 160 680 680 680 430 430 430 3030 3030 34050 34050 3450 6800 30600 27250 3350 3350 6800 6800 30600 30600 Prepare the income statement for July 31, 2015. KRISTIN'S MAIDS CLEANING SERVICE Income Statement For the Month Ended July 31, 2015 Revenues Service Revenue $ 6800 Expenses Salaries and Wages Expense $ 2030 Gasoline Expense 320 Insurance Expense 160 Supplies Expense 680 Depreciation Expense 260 Total Expenses 3450 Net Income / (Loss) $ 3350 Prepare the retained earnings statement for July 31, 2015. (List items that will increase retained earnings first.) KRISTIN'S MAIDS CLEANING SERVICE Retained Earnings Statement For the Month Ended July 31, 2015 Retained Earnings, July 1 $ 0 Add: Net Income / (Loss) 3350 - 3350 Less: Dividends 720 Retained Earnings, July 31 $ 2630 Prepare a classified balance sheet at July 31, 2015. (List current assets in order of liquidi KRISTIN'S MAIDS CLEANING SERVICE Balance Sheet July 31, 2015 Assets $ 11940 5300 180 Current Assets Cash Accounts Receivable Supplies Prepaid Insurance Total Current Assets Property, plant and Equipment Equipment Less: Accumulated Depreciation Equipment 1760 $ 19180 10700 260 10440 Total Assets $ 29620 Liabilities and Stockholders' Equity Current Liabilities Accounts Payable $ 7360 Salaries and Wages Payable 430 Total Current Liabilities Stockholders' Equity Common Stock 19200 Retained Earnings 2630_ Total Stockholders' Equity $ 7790 21830 Total Liabilities and Stockholders' Equity $ 29620 JOURNAL Date Account Title & Explanation Post ref. Debit($) Credit(S) Accounts Receivable 1,500.00 31-Jul Service Revenue 1,500.00 (To record the service revenue earned) Part 2 JOURNAL Date Account Title & Explanation Post ref. Debit($) Credit($) Depreciation 260.00 31-Jul Accumulated Depreciation 260.00 To record the depreciation expense incurred) Part 3 JOURNAL Date Account Title & Explanation Post ref. Debit(s) Credit($) Insurance expense 160.00 31-Jul Prepaid Insurance 160.00 To reocrd the insurance expired) Part 4 JOURNAL Date Account Title & Explanation Post ref. Debit($) Credit() Supplies Expense (5860-S180) 680.00 31-Jul Office Supplies 680.00 (To record the supplies expense) Part 5 JOURNAL Date Account Title & Explanation Post ref. Debit($) Credit($) Salaries and wages expense 430.00 31-Jul Salaries and wages payable 430.00 (To reocrd the salary and wages expense) The ending balance of supplies is $180 (debit). The ending balance of supplies expense is S680 (debit). The ending balance of prepaid insurance account is $1,760 (debit). The ending balance of insurance expense account is $160 (debit). The ending balance of accounts receivable account is $5,300 (debit). The ending balance of service revenue account is $6,800 (credit). The ending balance of salaries and wages expenses account is $2,030 (debit). The ending balance of salaries and wages payable account is $430 (credit). The ending balance of depreciation expenses account is $260 (debit). The ending balance of accumulated depreciation account is $260 (credit). Journalize the closing entries. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Account Titles and Explanation Debit Credit (To close revenue account.) (To close expense accounts.) (To close net income / (loss).) (To close dividends.)