Answered step by step
Verified Expert Solution
Question
1 Approved Answer
On August 1, 2021, the beginning of its current fiscal year, the following opening account balances, listed in alphabetical order, were -eported by Sheffield Ltd.
On August 1, 2021, the beginning of its current fiscal year, the following opening account balances, listed in alphabetical order, were -eported by Sheffield Ltd. During August, the following summary transactions were completed. Paid $400 cash for advertising in local newspapers. Advertising flyers will be included with newspapers delivered Aug. 1 during August and September. (Hint: Use the Prepaid Advertising account.) 3 Paid August rent $370. (Hint: Use the Prepaid Rent account.) 6 Received $3,290 cash from customers in payment of accounts. 10 Paid $3,330 for salaries due employees, of which $1,860 is for August and $1,470 is for July salaries payable. 13 Received $3,800 cash for services performed in August. 15 Purchased additional equipment on account $2,000. 17 Paid creditors $2,000 of accounts payable due. 22 Purchased supplies on account $830. 24 Paid salaries $2,860. 27 Performed services worth $5,190 on account and billed customers. 29 Received $760 from customers for services to be provided in the future. 31 Declared and paid a $510 dividend. Prepare a trial balance at August 31 . SHEFFIELD LTD. Trial Balance August 31, 2021 Debit Credit Prepaid Advertising Cash $400 Prepaid Rent $370 Cash Cash \begin{tabular}{||} \hline 3290 \\ \hline \hline \end{tabular} Accounts Receivable \begin{tabular}{|} \hline 3290 \\ \hline \hline \end{tabular} Salaries Expense \begin{tabular}{|l||} \hline$1860 \\ \hline \hline \end{tabular} Salaries Payable \begin{tabular}{|l||} \hline$1470 \\ \hline \hline \end{tabular} \begin{tabular}{|} \hline 3330 \\ \hline \end{tabular} Cash \begin{tabular}{|} \hline 3800 \\ \hline \end{tabular} Service Revenue \begin{tabular}{|} \hline 3800 \\ \hline \hline \end{tabular} Equipment \begin{tabular}{|l||} \hline 2000 \\ \hline \hline \end{tabular} Accounts Payable \begin{tabular}{|} \hline 2000 \\ \hline \end{tabular} Supplies \begin{tabular}{|} \hline 830 \\ \hline \hline \end{tabular} Accounts Payable Salaries Expense \begin{tabular}{|l||} \hline$2860 \\ \hline \hline \end{tabular}
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started