Problem 2-3A Tom Zopf owns and manages a computer repair service, which had the following trial balance on December 31, 2018 (the end of its fiscal year). Credit Pharoah Company Trial balance December 31, 2018 Debit Cash $ 7,000 Accounts Receivable 15,300 Supplies 13,200 Prepaid Rent 1,000 Equipment 19,200 Accounts Payable Common Stock Retained Earnings $55,700 $12,900 31,000 11,800 $55,700 Summarized transactions for January 2019 were as follows. 1. 2. 3. 4. Advertising costs, paid in cash, $1,110. Additional supplies acquired on account $3,700. Miscellaneous expenses, paid in cash, $1,930. Cash collected from customers in payment of accounts receivable $12,240. Cash paid to creditors for accounts payable due $12,650. Repair services performed during January: for cash $6,120; on account $8,660. Wages for January, paid in cash, $2,270. Dividends during January were $2,670. 5. Cash 6. 7. 8. Open T-accounts for each of the accounts listed in the trial balance, and enter the opening balances for 2019. Cash Bal. 7000 Accounts Receivable Bal. 15300 Supplies Bal. 13200 Prepaid Rent Bal. 1000 Equipment Bal. 19200 Accounts Payable Bal. 12900 Common Stock Bal. 31000 Retained Earnings Bal. 11800 Prepare journal entries to record each of the January transactions. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) No. Account Titles and Explanation Debit Credit 1. Advertising Expense Cash 1110 2. supplies 3700 Accounts Payable FILTETINTED TO) 3700 3. Miscellaneous Expense | Cash 1930 4. Tcash Accounts Receivable 22240 5. Accounts Payable 12650 | Cash 12650 6. Cash XL | Service Revenue 14780 | Accounts Receivable 8660 7. Salaries and Wages Expense TCash 2270 8. Dividends no entry Post the journal entries to the accounts in the ledger. (Post entries in the order of journal entries presented in the previous part.) Cash Bal. 7,000 1110 4 12240173 1 1930 T 12650 6120 2270 Bal. 7400 Accounts Receivable Bal. 12240 x 8660 I Bal. A 5600 Supplies Bal. 13,2007 T 3700 TL Bal. Bal. 16900 | Prepaid Rent 1,000 Equipment 19,200 Bal. Accounts Payable 12650 Bal. 12,900 IT 2 3700 MT Bal. 3950 31,000 Common Stock Bal. Retained Earnings Bal. Dividends 11,800 Bal. 2670 Service Revenue I D o I 14780 14780) Bal. 14780 Advertising Expense 7 Bal. A 1102 Miscellaneous Expense Bal. 19301C Salaries and Wages Expense Prepare a trial balance as of January 31, 2019. Pharoah Company Trial balance January 31, 2019 Debit Credit Cash 7400 Accounts Receivable 5600 Supplies 16900 TPrepaid Rent I 1000 Equipment I 19200 TAccounts Payable 3950 Common Stock 31000 Retained Earnings T 11800 TDividends T 2670 Service Revenue 14780 Advertising Expense Miscellaneous Expense 1930 Salaries and Wages Expense 2270 + Totals
