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The following events apply to Pearson Service Co. for Year 1, its first year of operation: Received cash of $68,000 from the issue of common

The following events apply to Pearson Service Co. for Year 1, its first year of operation:

Received cash of $68,000 from the issue of common stock.

Performed $135,000 worth of services on account.

Paid $91,000 cash for salaries expense.

Purchased supplies for $21,000 on account.

Collected $105,000 of accounts receivable.

Paid $15,700 of the accounts payable.

Paid a $6,800 dividend to the stockholders.

Had $2,400 of supplies on hand at the end of the period.

Required

Post the entries to T-accounts and determine the ending balance in each account.

Post the entries to T-accounts and determine the ending balance in each account.

ASSETS = LIABILITIES + STOCKHOLDERS EQUITY
Cash Accounts Payable Common Stock
Bal. Bal. Bal.
Accounts Receivable Dividends
Bal. Bal.
Supplies Service Revenue
Bal. Bal.
Salaries Expense
Bal.
Supplies Expense
Bal.

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