TT pays their employees every other Friday The total pay for a 2 week period is $15,485 TT also pays their sales associates a 6 commission on all instrument sales This includes only the sale of instruments, it does not include service revenue They pay this on the last day of every month At the end of the quarter, TT counted office supplies It had $1492 remaining of supplies Depreciation for the current quarter was $9200 At the end of the year, TT had completed all of the repairs that they had received cash for prior to October 1 These repairs did not require any parts They had also completed 62 of the work for the transaction on November 30 1) Prepare the journal entries for the quarter Do not create any new accounts The journal entries must be in chronological order 2) Post the entries to t accounts 3) Prepare an unadjusted trial balance 2 Oct Sold musical instruments to a school for $28,530 cash The instruments had been included in inventory at a cost of $18,966 5 Oct Received payment of $24,000 on the account 5 Oct Purchased instruments on credit for $94,200 9 Oct Paid employees 15 Oct Paid $19,000 of the balance in accounts payable 15 Oct Paid quarterly dividends of $2,240 19 Oct Provided repair services for a total of $13,500 The customer paid cash Parts that were used came out of inventory at a cost of $9,852 When TT uses parts to repair instruments, it debits the Cost of Goods Sold for the cost of the parts 23 Oct Paid employees 26 Oct Purchased a new computer for $2,700 in cash 26 Oct Paid for advertising that will run for the next 2 months The cost was $1,400 and TT paid in cash Because the advertising will be used before the end of the quarter, you can just debit Advertising Expense (as opposed to a prepaid account) 27 Oct Received a bill for heating cooling for $1,150 and paid it on the same day 29 Oct Sold musical instruments to a school for $128,200 cash The instruments had been included in inventory at a cost of $85,200 30 Oct Paid sales commissions 2 Nov Received payment of $21,900 on the account 2 Nov Issued a note receivable to a customer The customer could not pay its account receivable on time, so TT traded the account receivable for a note receivable The amount was $17,500 The note will bear a 4 interest rate The entire balance, both principal and interest, will be due on August 1 of the following year 2 Nov Sold musical instruments for $81,400 on credit The instruments had been included in inventory at a cost of $54,239 6 Nov Paid employees 9 Nov Paid $34,000 on the account 10 Nov Purchased office supplies for $1,700 cash 12 Nov Issued stock for $18,325 cash 13 Nov Sold musical instruments for $42,175 cash The instruments had been included in inventory at a cost of $28,633 16 Nov Received payment on account of $47,125 20 Nov Paid employees 23 Nov Purchased instruments on credit for $78,500 24 Nov Purchased parts on credit for $2,500 27 Nov Paid $14,298 of the balance in accounts payable 27 Nov Received payment on account of $52,000 30 Nov Received $24,865 from a customer to repair instruments The repairs will not require any parts TT will not be able to start the repairs for a few weeks 30 Nov Paid sales commissions 1 Dec Purchased a new piece of equipment, costing $31,400 TT purchased the equipment with the proceeds from a loan from the bank The note bears an annual interest rate of 3 Interest is payable every year The first interest payment is due on November 28 of the following year The balance of the note will be due in 5 years 1 Dec Paid $1,400 for a magazine ad that will run in the current month 1 Dec Purchased instruments on credit for $125,695 4 Dec Paid employees 8 Dec Paid $29,250 on the account 11 Dec Paid $6,200 for insurance for a coverage in the 1st quarter of the following year 15 Dec Sold musical instruments for $195,040 on credit The instruments had been included in inventory at a cost of $132,522 18 Dec Paid employees 21 Dec Sold musical instruments for $352,000 on credit The instruments had been included in inventory at a cost of $241,250 22 Dec Paid rent of $46,500 for the following year 28 Dec Received and paid the phone bill of $1,400 28 Dec Received payment on account of $72,360 29 Dec Paid $71,327 of the balance in accounts payable 29 Dec Provided repair services for a total of $34,763 on credit Parts that were used came out of inventory at a cost of $19,500 29 Dec Declared quarterly dividends of $2,515 29 Dec Made a payment on the note that existed at the beginning of the year The total payment was $28,000 $26,900 of this was to reduce the note balance The remainder was a payment of interest 29 Dec Paid sales commissions Trial balance 3,983,623 3,983,623

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TT pays their employees every other Friday. The total pay for a 2 week period is $15,485. TT also pays their sales associates a 6%

TT pays their employees every other Friday. The total pay for a 2 week period is $15,485. TT also pays their sales associates a 6% commission on all instrument sales. This includes only the sale of instruments, it does not include service revenue. They pay this on the last day of every month. At the end of the quarter, TT counted office supplies. It had $1492 remaining of supplies. Depreciation for the current quarter was $9200. At the end of the year, TT had completed all of the repairs that they had received cash for prior to October 1. These repairs did not require any parts. They had also completed 62% of the work for the transaction on November 30.

1) Prepare the journal entries for the quarter. Do not create any new accounts. The journal entries must be in chronological order.

2) Post the entries to t-accounts.
3) Prepare an unadjusted trial balance.
2-Oct	Sold musical instruments to a school for $28,530 cash. The instruments had been included in inventory at a cost of $18,966.
5-Oct	Received payment of $24,000 on the account.
5-Oct	Purchased instruments on credit for $94,200.
9-Oct	Paid employees.
15-Oct	Paid $19,000 of the balance in accounts payable.
15-Oct	Paid quarterly dividends of $2,240.
19-Oct	Provided repair services for a total of $13,500. The customer paid cash. Parts that were used came out of inventory at a cost of $9,852. When TT uses parts to repair instruments, it debits the Cost of Goods Sold for the cost of the parts.
23-Oct	Paid employees.
26-Oct	Purchased a new computer for $2,700 in cash.
26-Oct	Paid for advertising that will run for the next 2 months. The cost was $1,400 and TT paid in cash. Because the advertising will be used before the end of the quarter, you can just debit Advertising Expense (as opposed to a prepaid account).
27-Oct	Received a bill for heating/cooling for $1,150 and paid it on the same day.
29-Oct	Sold musical instruments to a school for $128,200 cash. The instruments had been included in inventory at a cost of $85,200.
30-Oct	Paid sales commissions.
2-Nov	Received payment of $21,900 on the account.
2-Nov	Issued a note receivable to a customer. The customer could not pay its account receivable on time, so TT traded the account receivable for a note receivable. The amount was $17,500. The note will bear a 4% interest rate. The entire balance, both principal and interest, will be due on August 1 of the following year.
2-Nov	Sold musical instruments for $81,400 on credit. The instruments had been included in inventory at a cost of $54,239.
6-Nov	Paid employees.
9-Nov	Paid $34,000 on the account.
10-Nov	Purchased office supplies for $1,700 cash.
12-Nov	Issued stock for $18,325 cash.
13-Nov	Sold musical instruments for $42,175 cash. The instruments had been included in inventory at a cost of $28,633.
16-Nov	Received payment on account of $47,125.
20-Nov	Paid employees.
23-Nov	Purchased instruments on credit for $78,500.
24-Nov	Purchased parts on credit for $2,500.
27-Nov	Paid $14,298 of the balance in accounts payable.
27-Nov	Received payment on account of $52,000.
30-Nov	Received $24,865 from a customer to repair instruments. The repairs will not require any parts. TT will not be able to start the repairs for a few weeks.
30-Nov	Paid sales commissions.
1-Dec	Purchased a new piece of equipment, costing $31,400. TT purchased the equipment with the proceeds from a loan from the bank. The note bears an annual interest rate of 3%. Interest is payable every year. The first interest payment is due on November 28 of the following year. The balance of the note will be due in 5 years.
1-Dec	Paid $1,400 for a magazine ad that will run in the current month.
1-Dec	Purchased instruments on credit for $125,695.
4-Dec	Paid employees.
8-Dec	Paid $29,250 on the account.
11-Dec	Paid $6,200 for insurance for a coverage in the 1st quarter of the following year.
15-Dec	Sold musical instruments for $195,040 on credit. The instruments had been included in inventory at a cost of $132,522.
18-Dec	Paid employees.
21-Dec	Sold musical instruments for $352,000 on credit. The instruments had been included in inventory at a cost of $241,250.
22-Dec	Paid rent of $46,500 for the following year.
28-Dec	Received and paid the phone bill of $1,400.
28-Dec	Received payment on account of $72,360.
29-Dec	Paid $71,327 of the balance in accounts payable.
29-Dec	Provided repair services for a total of $34,763 on credit. Parts that were used came out of inventory at a cost of $19,500.
29-Dec	Declared quarterly dividends of $2,515.
29-Dec	Made a payment on the note that existed at the beginning of the year. The total payment was $28,000. $26,900 of this was to reduce the note balance. The remainder was a payment of interest.
29-Dec	Paid sales commissions.

Trial balance:

3,983,623

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TT As of December Unadjusted Trial Balance Adjustments Adjusted Trial Balance Account Code Account Title Debit Credit Debit Credit Debit Credit 101 Cash 6986430 6986430 102 Accounts Receivable 6457030... blur-text-image