Milo Clothing experienced the following events during Year 1, its first year of operation: 1. Acquired $11,000 cash from the issue of common stock. 2. Purchased inventory for $6,900 cash. 3. Sold inventory costing $4,140 for $7,038 cash. 4. Paid $700 for advertising expense. Required a. Record the general journal entries for the preceding transactions. b. Post each of the entries to T-accounts. c. Prepare a trial balance to prove the equality of debits and credits Journal entry worksheet 2 4 Record the entry of inventory purchased for cash. Note: Enter debits before credits. Event General Journal Debit Credit 02 Journal entry worksheet 2 3 4 5 Record sale of inventory for cash. Note: Enter debits before credits Event General Journal Debit Credit Journal entry worksheet 2 Record entry for cost of goods sold. Note: Enter debits before credits. Event General Journal Debit Credit 3b Journal entry worksheet 2 4 Record entry for advertising expenses paid. Note: Enter debits before credits. Event General Journal Debit Credit 04 Post each of the entries to T-accounts. Cash Merchandise Inventory Beg. Bal Beg. Bal. End. Bal End. Bal Common Stock Sales Revenue Beg. Bal Beg. Bal End. Bal End. Bal Cost of Goods Sold Advertising Expense Beg. Bal Beg. Bal. End. Bal End. Bal. Prepare a trial balance to prove the equality of debits and credits. MILO CLOTHING Trial Balance December 31, Year 1 Account Titles Debit Credit Totals