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Valley Realty Unadjusted Trial Balance July 31, 2017 Account Credit Debit Balances No. Balances Cash 11 52,500 Accounts Receivable 12 100,100 Prepaid Insurance 13 12,600

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Valley Realty Unadjusted Trial Balance July 31, 2017 Account Credit Debit Balances No. Balances Cash 11 52,500 Accounts Receivable 12 100,100 Prepaid Insurance 13 12,600 Office Supplies 14 2,800 Land 16 Accounts Payable 21 21,000 Unearned Rent 22 Notes Payable 23 Cindy Getman, Capital 31 87,500 Cindy Getman, Drawing 32 44,800 Fees Earned 41 591,500 Salary and commission Expense 51 385,000 Rent Expense 52 49,000 Advertising Expense 32,200 Automobile Expense 54 15,750 Miscellaneous Expense 59 5,250 700,000 700,000 The following business transactions were completed by Valley Realty during August 20Y7: Aug. 1. Purchased office supplies on account, $3,150. 2. Pald rent on office for month $7,200. 3. Received cash from clients on account, $83,900. 5. Paid Insurance premiums, $12,000, 9. Returned a portion of the office supplies purchased on August 1, receiving full credit for their cost, $400. 17. Paid advertising expense, $8,000. 23. Paid creditors on account, $13,750. 29. Paid miscellaneous expenses, $1,700. 30. Paid automobile expense (induding rental charges for an automobile). $2,500 31. Discovered an error in computing a commission during July received cash from the salesperson for the overpayment, $2,000 31. Paid salaries and commissions for the month, $53,000. 31. Recorded revenue earned and billed to clients during the month, $183,500. 31. Purchased land for a future building site for $75,000, paying $7,500 in cash and giving a note payable for the remainder. 31. Withdrew cash for personal use, $1,000. 31. Rented and purchased on August 31 to a local university for use as a parking lot during football season (September October, and November); received advance payment of $5,000. Required: Use the attached spreadsheet to complete parts 1 and 3. Click on the Spreadsheet icon to open and save the Excel file to your computer. Your input into the spreadsheet will not be included in your grade in CengageNow on this problem. 1. The August 1, 2017 balance of each account has been recorded in the appropriate balance column of the four column account. The word Balance has been entered in the item section and a check mark (1) has been placed in the Posting Reference column. 2. Joumalize and insert the posting reference for the transactions for August in a two-column journal beginning on Page 18. Journal entry explanations may be omitted. If an amount box does not require an entry, leave it blank Page 18 General Journal Description Date Post. Ref. Debit Credit 2017 Aug. 1 Office Supplies 3,150 Accounts Payable 3,150 Aug. 2 Rent Expense 7,200 Cash 7,200 Aug. 3 Cash 83,900 Accounts Receivable 83,900 Aug. 5 Prepaid Insurance 12,000 Cash 12,000 II II III Aug. 9 Accounts Payable 400 Office Supplies 400 Aug. 17 Advertising Expense 8,000 Cash 8,000 Aug. 23 Accounts Payable 13,750 Aug. 23 Accounts Payable 13,750 Cash 13,750 General Journal Page 19 Date Description Post. Ref. Debit Credit 2017 Aug. 29 Miscellaneous Expense 1,700 Cash 1,700 Aug. 30 Automobile Expense 2,500

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