This corporation repairs small appliances and sells parts and replacements. They have elected to use a Perpetual Inventory System with a Fifo Cost Flow.

Superior Small Appliances$-$Repairs & Replacements, Inc.

Trial Balance

February $01,2024$

Account Title

Debit

Creditf

Cash

$$10,500$

Accounts Receivable

$2,200$

Inventory

$7,875*$

Supplies

$950$

Equipment

$12,000$

Accumulated Depreciation$/$Equipment

$$1,000$

Accounts Payable

$1,850$

Unearned Service Revenue

$2,700$

Salaries and Wages Payable

$1,200$

Common Stock $($$$1\mathrm{.}60$ Par, $25,000$ Shares Authorized$)$

$19,200$

Retained Earnings

$7,575$

Totals

$33,525$

$33,525$

$*4,500$ units @ $$1\mathrm{.}75$ per unit

During the month of February, Superior Small Appliances$-$Repairs and Replacements, Inc. completed the following Summary transactions.

Date

Transaction

$02/01$

Paid $$400$ for February$$s rent.

$02/02$

Negotiated a new business insurance policy. Paid $$680$ for the first three months of coverage ending $04/30/2024.$

$02/05$

Paid $$1,500$ for salaries and wages due employees, of which $$300$ is for February and $$1,200$ is for January.

$02/07$

Received $$1,200$ cash from customers in payment of account $($no discounts allowed$).$

$02/12$

Sold merchandise for cash $$5,400.(1,800$ units were sold.$)$

$02/14$

Purchased merchandise on account from A$1$ Electronic Distributers; $$4,940,$ terms $2/10,$ n$/30.(2,600$ units @ $$1\mathrm{.}90$ Ea$.)$

$02/15$

Paid $$1,200$ to creditors for accounts payable due.

$02/15$

Purchased supplies for cash $$2,000.$

$02/16$

Sold merchandise on account $$8,200,$ terms $3/10,$ n$/30.(2,950$ units sold$)$

$02/19$

Paid salaries and wages due employees, $$1,500.$

$02/21$

Received $$2,700$ for repair services performed in February.

$02/23$

Paid A$1$ Electronic Distributers in full, less discount. $($Round to whole dollars.$)$

$02/26$

Received collections in full, less discounts, from customers billed on February $16$th$.$

$02/29$

Billed customers for repair services performed on account, $$850$

Instructions:

Post the Opening Trial Balances into the General Ledger Accounts.

Journalize the summary transactions for the month of February.

Post the February summary transactions into the General Ledger Accounts.

Calculate the end of the month balances for the General Ledger Accounts.

Prepare a Trial Balance for the month of February.

Total should equal $48,275$