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! Required information E3-13 (Algo) Recording and Posting Accrual Basis Journal Entries, and Preparing an Unadjusted Trial Balance and Preliminary Financial Statements [LO 3-2,
! Required information E3-13 (Algo) Recording and Posting Accrual Basis Journal Entries, and Preparing an Unadjusted Trial Balance and Preliminary Financial Statements [LO 3-2, 3-3, LO 3-4] [The following information applies to the questions displayed below.] Ricky's Piano Rebuilding Company has been operating for one year. On January 1, at the start of its second year, its income statement accounts had zero balances and its balance sheet account balances were as follows: Cash $ 7,800 Accounts Payable $ 10,900 Accounts Receivable Supplies Equipment 38,750 Deferred Revenue (deposits) 1,450 Notes Payable (long-term) 9,100 Common Stock 5,800 57,750 15,500 Land 5,300 Buildings 9,550 Retained Earnings 28,600 Following are the January transactions: a. Received a $755 deposit from a customer who wanted her piano rebuilt in February. b. Rented a part of the building to a bicycle repair shop; $340 rent received for January. c. Delivered five rebuilt pianos to customers who paid $20,900 in cash. d. Delivered two rebuilt pianos to customers for $10,400 charged on account. e. Received $8,400 from customers as payment on their accounts. f. Received an electric and gas utility bill for $835 for January services to be paid in February. g. Ordered $1,050 in supplies. h. Paid $2,000 on account in January. i. Paid $15,100 in wages to employees in January for work done this month. j. Received and paid cash for the supplies in (g).
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