William Waterspout set up a retailing business selling gardening tools, called Toolgarden on 1 November 2016.

During the first 2 months of operations ended 31 December 2016 the following business events took place:

Nov. 1. William Waterspout invested 100,000 in the business.

2. Prepaid rent of 6,000 for the following 6 months (Rented a building to use as an office and storerooms from November to April).

3. Purchased equipment for the office for 23,000 paying immediately.

5. Purchased gardening tools to the inventory from a supplier for 10,000 on credit.

10. Sold gardening tools to a customer for 6,500 on credit.

15. Purchased gardening tools from a supplier for 2,400 on credit.

18. Paid for the purchase of 5 November.

19. Received payment from the customer on the sale of 10 November.

30. Took a 5-year bank loan of 30,000.

Dec. 1 Sold gardening tools to a customer for 8,500 on credit.

5. Paid salaries to employees of 5,000.

7. Paid for the purchase of 15 November.

16. William Waterspout withdrew 8,000 from the business and used 2,500 of this to install a swimming pool in his own garden.

30. Paid 2,000 for 2 months utilities (electricity, water, telephone, etc.)

the following additional information at the year-end for adjusting entries:

Dec. 31. Accrued salary expense for December is 4,500.

31. Prepaid rent still in force (unexpired) is 4,000.

31. Depreciation on office equipment is recorded on the straight-line basis and calculated per month. The equipment is estimated to have the residual value of 5,000. The useful life is 3 years. Consider November as a full month.

31. Accrued interest expense for the time the loan has been outstanding. The bank loan has an interest rate of 6% per annum.

It is also known that closing inventory as at 31 December 2016 is 4,100.

TASK:

Prepare trial balance as at 31 December 2016