Question 3

(20 marks)

Linda Jewel started a business, Jewelry By Design, a proprietorship, in November 2018. The following transactions transpired in November 2018:

• November 01: Linda Jewel deposited $ 5,000 of her personal funds to Jewelry By Design.
• November 01: Jewelry By Design paid $ 1,000 for Novembers rent.
• November 10: Jewelry By Design invoiced a customer $ 7,000 regarding creating necklaces for the customer.
• November 13: Jewelry By Design paid $ 700 cash for office supplies and purchased on account $ 3,000 office furniture.
• November 20: Jewelry By Design attended a craft fair and received $ 3,500 cash for selling bracelets.
• November 22: Jewelry By Design collected payment for the November 10 sale.
• November 26: Jewelry By Design paid $ 1,500 accounts payable.

Required:

1. Prepare journal entries for the above transactions.
2. Post the journal entries to T-accounts. Identify the postings by date. Date the ending balance of each T-account Nov. 30.
3. Prepare Jewelry By Designs unadjusted trial balance at November 30, 2018.