The trial balance for ShirtCraft, Inc., at January 31 is shown as follows:

During February the following transactions occurred:
Feb. 1 Billed customers $2,500 for services rendered.
1 Paid $150 interest on note from bank.
4 Received $4,500 from customers billed in January.
8 Bought $560 of office supplies on account.
12 Completed a $3,500 service for which payment was received in January.
18 Paid $1,895 towards a January purchase of supplies on account.
26 Paid $1,000 in dividends to stockholders.
27 Paid $2,100 for February salaries and $775 for February utilities.

Required

a. & c. Prepare opening T-accounts for the month of February and post journal entries to appropriate T-accounts. If an amount box does not require an entry, leave it blank.

Cash			Accounts Receivable			Supplies

Prepaid Rent			Equipment			Accounts Payable

Unearned Revenue			Notes Payable			Common Stock

Service Revenue			Salaries Expense			Utilities Expense

Dividends			Interest Expense

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b. Prepare journal entries for transactions in the month of February. If an amount box does not require an entry, leave it blank.

February 1 Accounts Receivable
Service Revenue
February 1 Interest Expense
Cash
February 4 Cash
Accounts Receivable
February 8 Supplies
??
February 12 Unearned Revenue
Service Revenue
February 18 Accounts Payable
Cash
February 26 Dividents
Cash
February 27 Salaries Expense
Utlities Expense
Cash

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d. Prepare a trial balance at February 28. List the accounts in chart of accounts order. Enter all amounts as positive numbers.

Shirtcraft, Inc.
Trial Balance
February 28
		Debit		Credit
Cash		$
Accounts Receivable
Supplies
Prepaid Rent
Equipment
Accounts Payable				$
Unearned Revenue
Notes Payable
Common Stock
Service Revenue
Interest Expense
Salaries Expense
Utlitlies Expense
Dividends
Totals		$		$

Transcribed Image Text:

ShirtCraft, Inc. Trial Balance January 31 Debit S 5,600 12,890 9,235 1,500 30,500 Credit Cash Accounts Receivable Supplies Prepaid Rent Equipment Accounts Payable Unearned Revenue Notes Payable Common Stock Service Revenue Salaries Expense Utilities Expense Dividends 7,625 6,400 15,000 25,000 9,650 2,300 650 1,000 $63,675 Totals $63,675