Transaction Analysis and Trial Balance Make T-accounts for the following accounts that appear in the general ledger of Dave Jennings, an attorney: Cash; Accounts Receivable; Office Equipment; Legal Database Subscription; Accounts Payable; Common Stock; Dividends; Legal Fees Earned; Salaries Expense; Rent Expense; and Utilities Expense. Using the accounting equation, record each of the transactions in a columnar format. Prepare journal entries and record the following October transactions in the T-accounts and key all entries with the number identifying the transaction. Determine the balance in each account and prepare a trial balance sheet as of October 31. 1 Jennings started his law practice by contributing $21,500 cash to the business on October 1, receiving shares of common stock in the company. 2 Purchased office equipment on account, $11,400. 3 Paid office rent for October, $1,100. 4 Paid $9,750 to access online legal database for two years. 5 Billed clients for services rendered, $14,000. 6 Made $6,000 payment on account for the equipment purchased on October 2. 7 Paid legal assistant's salary, $2,800. 8 Collected $7,500 from clients previously billed for services. 9 Received invoice for October utilities, $190; it will be paid in November. 10 Paid stockholders $1,500 as a cash dividend. Accounting Equation Journal Entries T-Accounts Trial Balance Cash Note: Use negative signs with your answers below, when appropriate. + Accounts Receivable + Database Subscription + Office Equipment Accounts Payable + Common Stock + Retained Earnings 1 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ +A 0 2 0 0 0 0 0 0 0 3 0 0 0 0 0 0 0 4 0 0 0 0 0 0 0 5 0 0 0 0 0 0 0 6 0 0 0 0 0 0 0 7 0 0 0 0 0 0 0 8 0 0 0 0 0 0 0 9 0 0 0 0 0 0 0 10 0 0 0 0 0 0 0 $ 0 + $ 0 + $ 0 + $ 0 0 + $ 0 + $ 0 Accounting Equation Journal Entries T-Accounts Trial Balance Ref. (1) General Journal Description Debit Credit 0 0 0 0 To record stockholder contribution. (2) 0 0 0 0 To record office equipment purchased on account. (3) 0 0 0 0 To record payment of rent expense. (4) 0 0 To record prepayment for database service. (5) OO 0 OO 0 0 0 0 0 To record billing for legal services. (6) 0 0 0 0 To record payment on equipment. (7) 0 0 0 0 To record payment of salaries. (8) (9) (10) To record receipt of cash from customers. To record utilities expense. 0 0 0 0 0 0 0 0 0 0 0 0 To record cash payment of dividends.