Problem $3-2$

During the month of November, $20xx,$ the Bessie Smith Consulting Firm encountered the following transactions.

Nov. $3$ The owner, Bessie Smith, invested $$80,000$ and office

Nov. $4$ furniture valued at $$5,600$ in the firm.

Nov. $10$ Provided services on account, $$1,500$ per quarter.

Nov. $13$ Purchased a three$-$year insurance polic.

Nov. $15$ Provided services and collected $$2,000.$

Nov. $17$ Paid the employee salaries, $$1,800.$

Nov. $20$ Paid six$-$month rent, $$4,500.$

Nov. $22$ Collected $$750$ on outstanding accounts receivable.

hased office supplies, $$315.$

Required

a$.$ Open the following ledger accounts:

Office Furniture $-120$

Cash$-111$

Bessie Smith, Capital $-311$

Accounts Receivable $-112$

Bessie Smith, Withdrawals $-312$

Office Supplies $-115$

Service Revenue $-411$

Prepaid Insurance $-118$

Salaries Expense $-51$

Prepaid Rent $-119$

B$.$prepare journal entries for the transactions using the account titles listed in requirement $"$a$."$ omit explanations.

C$.$ Post the entries to the general ledger.

D$.$ Prepare a trial balance