Record the following transactions in the T accounts below. Indicate next to each entry the number for that transaction. After all transactions have been recorded, foot the accounts where necessary and enter the balances in the proper places. Prepare a trial balance for Douglas Distinctive Services as of December 31, 20--.

1.Mr. Douglas invested $25,000 cash in the business.2.Purchased equipment worth $7,000 with a $500 down payment. The remainder is due in 30 days.3.Paid $900 cash for a six-month insurance policy.4.Received $3,000 cash from customers for services rendered.5.Paid wages, $1,750.6.Received and paid advertising bill of $100.7.Performed services worth $2,500 for credit customers.8.Received $1,700 cash from customers previously billed on account.9.Mr. Douglas withdrew $5,300 cash for personal use.10.Paid utility bill, $205.?
Cash
 ?
Accounts Receivable
?
Prepaid Insurance
?
Equipment
?
Accounts Payable
?
Douglas, Capital
?
Douglas, Drawing
?
Repair Fees
?
Wages Expense
?
Advertising Expense
?
Utilities Expense

What will be an ideal response?

?

Cash(1)  25,000
(4)    3,000
(8)    1,700
29,700



Bal. 20,945(2)      500
(3)      900
(5)   1,750
(6)      100
(9)   5,300
(10)     205
8,755
?Accounts Receivable(7)   2,500

Bal.   800
(8)   1,700

?Prepaid Insurance(3)     900




?Equipment(2)   7,000




?Accounts Payable


(2)   6,500


Douglas, Capital


(1)  25,000

?Douglas, Drawing(9)   5,300




?Repair Fees
(4)   3,000
(7)  2,500
Bal.  5,500
?Wages Expense(5)   1,750



?Advertising Expense(6)     100



?Utilities Expense(10)    205



?Douglas Distinctive Services
Trial Balance
December 31, 20--Cash20,945 Accounts Receivable800 Prepaid Insurance900 Equipment7,000 Accounts Payable 6,500Douglas, Capital 25,000Douglas, Drawing5,300 Repair Fees 5,500Wages Expense1,750 Advertising Expense100 Utilities Expense   205______ 37,00037,000

Business

You might also like to view...

Which of the following best describes how external auditors' interactions with their clients is likely to change due to the use of data analytics in the audit process?

A. External auditors will spend less time on audits and will not need to spend time with clients outside the audit. B. External auditors will spend more time on detailed audit tasks, resulting in longer audit engagements. C. External auditors will stay engaged with clients beyond the audit. D. External auditors will only interact with their clients virtually.

View
Business

When a partner withdraws from a partnership, an audit might be performed and the assets reappraised

Indicate whether the statement is true or false

View
Business

India needs more imports of raw materials such as textiles, steel, and heavy machinery and fewer imports of finished textiles, paper products, and automobiles. In the context of industrial structures, India is most likely a(n) ________ economy

A) subsistence B) totalitarian C) raw material exporting D) agrarian E) industrializing

View
Business

What is net realizable value?

View
Business