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On August 1, 2022, the following were the account balances of Beam's Repair Services. Account Balances for Beam's Repair Services Debit Accumulated Credit Cash $
On August 1, 2022, the following were the account balances of Beam's Repair Services. Account Balances for Beam's Repair Services Debit Accumulated Credit Cash $ 6,040 Depreciation $ 600 -Equipment Accounts Accounts 2,910 2,300 Receivable Payable Unearned Notes 4,000 Service 1,260 Receivable Revenue Salaries and Supplies 1,030 Wages 1,420 Payable Common Equipment 10,000 12,000 Stock Retained 6,400 Earnings $23,980 $23,980 Paid $400 cash for advertising in local newspapers. Advertising Aug. 1 flyers will be included with newspapers delivered during August and September. 3 Paid August rent $380. Received $1,200 cash from 5 customers in payment on account. 10 Paid $3,120 for salaries due to employees, of which $1,700 is for August and $1,420 is for July salaries payable. Received $2,800 cash for services performed in August. 12 15 Purchased store equipment on account $2,000. 20 Paid creditors $2,000 of accounts payable due. 22 Purchased supplies on account $800. Paid $2,900 cash for employees' 25 salaries. Billed customers $3,760 for 27 services performed. Received $780 from customers 29 for services to be performed in the future. Adjustment data: 1. A count shows supplies on hand of $960. 2. Accrued but unpaid employees' salaries are $1,540. 3. Depreciation on equipment for the month is $320. 4. Services were performed to satisfy $800 of unearned service revenue. 5. One month's worth of advertising services has been received. 6. One month of interest revenue related to the $4,000 note receivable has accrued. The 4- month note has a 6% annual interest rate. To-Do: A. Enter the August 1 balances in the ledger accounts. (Use T-accounts.) **Recommended turn-in point #1** B. Journalize the August transactions. C. Post to the ledger accounts. The chart of accounts includes Prepaid Advertising, Interest Receivable, Service Revenue, Interest Revenue, Advertising Expense, Depreciation Expense, Supplies Expense, Salaries and Wages Expense, and Rent Expense. D. Prepare a trial balance as of August 31. **Recommended turn-in point #2** E. Journalize and post adjusting entries. F. Prepare an adjusted trial balance. **Recommended turn-in point #3** G. Prepare an income statement and a retained earnings statement for August and a classified balance sheet on August 31. **Recommended turn-in point #4** H. Journalize and post-closing entries and complete the closing process. I. Prepare a post-closing trial balance as of August 31. **Recommended turn-in point #5**
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