On August 1, 2015, the following were the account balances of Best Repair Services.

	Debits		Credits
Cash	$ 8,040	Accumulated Depreciation	$ 800
Accounts Receivable	3,200	Accounts Payable	4,300
Supplies	1,520	Unearned Service Revenue	1,360
Store Equipment	10,000	Salaries Payable	1,800
		Common Stock	10,000
		Retained Earnings	4,500
	$21,960		$21,960

During August the following summary transactions were completed.

Aug. 5 Received $1,500 cash from customers in payment of account.

10 Paid $3,220 for salaries due employees, of which $1,700 is for August and

$1,520 is for July salaries payable.

12 Received $2,800 cash for services performed in August.

15 Purchased store equipment on account $2,000.

17 Purchased supplies on account $660.

20 Paid creditors $2,300 of accounts payable due.

22 Paid August rent $880.

25 Paid salaries $3,100.

27 Performed services on account and billed customers for services provided

$3,000.

29 Received $780 from customers for services to be provided in the future.

Adjustment data:

Supplies on hand are valued at $960.

Accrued salaries payable are $1,600.

Depreciation for the month is $200.

Unearned service revenue of $800 is earned.

Instructions

Enter the August 1 balances in the ledger accounts. (Use T accounts.)

Journalize the August transactions [chronologically]

Post to the ledger accounts. Use Service Revenue, Depreciation Expense, Supplies Expense, Salaries Expense, and Rent Expense.

Prepare a trial balance at August 31.

Journalize and post adjusting entries.

Prepare an adjusted trial balance.

Prepare an income statement and a retained earnings statement for August and a

classified balance sheet at August 31.