On January 1, 20Y5, Fahad Ali established Mountain Top Realty, which completed the following transactions during the month: Fahad Ali transferred cash from a personal bank account to an account to be used for the business, $18,000. Paid rent on office and equipment for the month, $3,290. Purchased supplies on account, $970. Paid creditor on account, $360. Earned fees, receiving cash, $14,940. Paid automobile expenses (including rental charge) for month, $910, and miscellaneous expenses, $610. Paid office salaries, $1,910. Determined that the cost of supplies used was $540. Withdrew cash for personal use, $880. Required: Question Content Area 1. Journalize entries for transactions (a) through (i) (in chronological order), using the following account titles: Cash; Supplies; Accounts Payable; Fahad Ali, Capital; Fahad Ali, Drawing; Fees Earned; Rent Expense; Office Salaries Expense; Automobile Expense; Supplies Expense; Miscellaneous Expense. If an amount box does not require an entry, leave it blank. a. Cash Cash Fahad Ali, Capital Fahad Ali, Capital b. Rent Expense Rent Expense Cash Cash c. Supplies Supplies Accounts Payable Accounts Payable d. Accounts Payable Accounts Payable Cash Cash e. Cash Cash Fees Earned Fees Earned f. Automobile Expense Automobile Expense Miscellaneous Expense Miscellaneous Expense Cash Cash g. Office Salaries Expense Office Salaries Expense Cash Cash h. Supplies Expense Supplies Expense Supplies Supplies i. Fahad Ali, Drawing Fahad Ali, Drawing Cash Cash Feedback Area Feedback 1. Identify which accounts are affected in each transaction. Keep in mind that every transaction involves at least two accounts. Determine whether the account increases or decreases and record each increase or decrease following the rules of debit and credit. Remember total debits should equal total credits in your entries. Question Content Area 2. Prepare T accounts, using the account titles in (1). Post the journal entries to these T accounts, selecting the appropriate letter to the left of each amount to identify the transactions. Determine the account balances (when required), after all posting is complete, for all accounts having two or more debits or credits. Cash fill in the blank cbfb17f2e01c03a_2 fill in the blank cbfb17f2e01c03a_4 fill in the blank cbfb17f2e01c03a_6 fill in the blank cbfb17f2e01c03a_8 fill in the blank cbfb17f2e01c03a_10 fill in the blank cbfb17f2e01c03a_12 fill in the blank cbfb17f2e01c03a_14 Bal. fill in the blank cbfb17f2e01c03a_15 Supplies fill in the blank cbfb17f2e01c03a_17 fill in the blank cbfb17f2e01c03a_19 Bal. fill in the blank cbfb17f2e01c03a_20 Accounts Payable fill in the blank cbfb17f2e01c03a_22 fill in the blank cbfb17f2e01c03a_24 Bal. fill in the blank cbfb17f2e01c03a_25 Fahad Ali, Capital fill in the blank cbfb17f2e01c03a_27 Fahad Ali, Drawing fill in the blank cbfb17f2e01c03a_29 Fees Earned fill in the blank cbfb17f2e01c03a_31 Rent Expense fill in the blank cbfb17f2e01c03a_33 Office Salaries Expense fill in the blank cbfb17f2e01c03a_35 Automobile Expense fill in the blank cbfb17f2e01c03a_37 Supplies Expense fill in the blank cbfb17f2e01c03a_39 Miscellaneous Expense fill in the blank cbfb17f2e01c03a_41 Feedback Area Feedback 2. Each increase or decrease recorded in the journal entries corresponds to a debit or credit in the T-accounts, following the rules of debit and credit. Net debits against credits to determine the balance in each T-account and double-check to see if it is a normal balance for that account classification. Question Content Area 3. Prepare an unadjusted trial balance as of January 31, 20Y5. If an amount box does not require an entry, leave it blank. Mountain Top RealtyUnadjusted Trial BalanceJanuary 31, 20Y5 Debit Balances Credit Balances Cash Cash Supplies Supplies Accounts Payable Accounts Payable Fahad Ali, Capital Fahad Ali, Capital Fahad Ali, Drawing Fahad Ali, Drawing Fees Earned Fees Earned Rent Expense Rent Expense Office Salaries Expense Office Salaries Expense Automobile Expense Automobile Expense Supplies Expense Supplies Expense Miscellaneous Expense Miscellaneous Expense fill in the blank 7e8214fdefa1fa7_34 fill in the blank 7e8214fdefa1fa7_35 Feedback Area Feedback 3. Prepare the trial balance using the ending balances of the T-accounts. Again, double-check to see if each account has a normal balance for that account classification placed in the proper Debit or Credit column. The trial balance column totals should be equal.

On January 1, 20Y5, Fahad Ali established Mountain Top Realty, which completed the following transactions during the month: Fahad Ali transferred cash from a personal bank account to an account to be used for the business, $18,000. Paid rent on office and equipment for the month, $3,290. Purchased supplies on account, $970. Paid creditor on account, $360. Earned fees, receiving cash, $14,940. Paid automobile expenses (including rental charge) for month, $910, and miscellaneous expenses, $610. Paid office salaries, $1,910. Determined that the cost of supplies used was $540. Withdrew cash for personal use, $880. Required: Question Content Area 1. Journalize entries for transactions (a) through (i) (in chronological order), using the following account titles: Cash; Supplies; Accounts Payable; Fahad Ali, Capital; Fahad Ali, Drawing; Fees Earned; Rent Expense; Office Salaries Expense; Automobile Expense; Supplies Expense; Miscellaneous Expense. If an amount box does not require an entry, leave it blank. a. Cash Cash Fahad Ali, Capital Fahad Ali, Capital b. Rent Expense Rent Expense Cash Cash c. Supplies Supplies Accounts Payable Accounts Payable d. Accounts Payable Accounts Payable Cash Cash e. Cash Cash Fees Earned Fees Earned f. Automobile Expense Automobile Expense Miscellaneous Expense Miscellaneous Expense Cash Cash g. Office Salaries Expense Office Salaries Expense Cash Cash h. Supplies Expense Supplies Expense Supplies Supplies i. Fahad Ali, Drawing Fahad Ali, Drawing Cash Cash Feedback Area Feedback 1. Identify which accounts are affected in each transaction. Keep in mind that every transaction involves at least two accounts. Determine whether the account increases or decreases and record each increase or decrease following the rules of debit and credit. Remember total debits should equal total credits in your entries. Question Content Area 2. Prepare T accounts, using the account titles in (1). Post the journal entries to these T accounts, selecting the appropriate letter to the left of each amount to identify the transactions. Determine the account balances (when required), after all posting is complete, for all accounts having two or more debits or credits. Cash fill in the blank cbfb17f2e01c03a_2 fill in the blank cbfb17f2e01c03a_4 fill in the blank cbfb17f2e01c03a_6 fill in the blank cbfb17f2e01c03a_8 fill in the blank cbfb17f2e01c03a_10 fill in the blank cbfb17f2e01c03a_12 fill in the blank cbfb17f2e01c03a_14 Bal. fill in the blank cbfb17f2e01c03a_15 Supplies fill in the blank cbfb17f2e01c03a_17 fill in the blank cbfb17f2e01c03a_19 Bal. fill in the blank cbfb17f2e01c03a_20 Accounts Payable fill in the blank cbfb17f2e01c03a_22 fill in the blank cbfb17f2e01c03a_24 Bal. fill in the blank cbfb17f2e01c03a_25 Fahad Ali, Capital fill in the blank cbfb17f2e01c03a_27 Fahad Ali, Drawing fill in the blank cbfb17f2e01c03a_29 Fees Earned fill in the blank cbfb17f2e01c03a_31 Rent Expense fill in the blank cbfb17f2e01c03a_33 Office Salaries Expense fill in the blank cbfb17f2e01c03a_35 Automobile Expense fill in the blank cbfb17f2e01c03a_37 Supplies Expense fill in the blank cbfb17f2e01c03a_39 Miscellaneous Expense fill in the blank cbfb17f2e01c03a_41 Feedback Area Feedback 2. Each increase or decrease recorded in the journal entries corresponds to a debit or credit in the T-accounts, following the rules of debit and credit. Net debits against credits to determine the balance in each T-account and double-check to see if it is a normal balance for that account classification. Question Content Area 3. Prepare an unadjusted trial balance as of January 31, 20Y5. If an amount box does not require an entry, leave it blank. Mountain Top RealtyUnadjusted Trial BalanceJanuary 31, 20Y5 Debit Balances Credit Balances Cash Cash Supplies Supplies Accounts Payable Accounts Payable Fahad Ali, Capital Fahad Ali, Capital Fahad Ali, Drawing Fahad Ali, Drawing Fees Earned Fees Earned Rent Expense Rent Expense Office Salaries Expense Office Salaries Expense Automobile Expense Automobile Expense Supplies Expense Supplies Expense Miscellaneous Expense Miscellaneous Expense fill in the blank 7e8214fdefa1fa7_34 fill in the blank 7e8214fdefa1fa7_35 Feedback Area Feedback 3. Prepare the trial balance using the ending balances of the T-accounts. Again, double-check to see if each account has a normal balance for that account classification placed in the proper Debit or Credit column. The trial balance column totals should be equal.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question Content Area

1. Journalize entries for transactions (a) through (i) (in chronological order), using the following account titles: Cash; Supplies; Accounts Payable; Fahad Ali, Capital; Fahad Ali, Drawing; Fees Earned; Rent Expense; Office Salaries Expense; Automobile Expense; Supplies Expense; Miscellaneous Expense. If an amount box does not require an entry, leave it blank.

a.	Cash	Cash
	Fahad Ali, Capital	Fahad Ali, Capital
b.	Rent Expense	Rent Expense
	Cash	Cash
c.	Supplies	Supplies
	Accounts Payable	Accounts Payable
d.	Accounts Payable	Accounts Payable
	Cash	Cash
e.	Cash	Cash
	Fees Earned	Fees Earned
f.	Automobile Expense	Automobile Expense
	Miscellaneous Expense	Miscellaneous Expense
	Cash	Cash
g.	Office Salaries Expense	Office Salaries Expense
	Cash	Cash
h.	Supplies Expense	Supplies Expense
	Supplies	Supplies
i.	Fahad Ali, Drawing	Fahad Ali, Drawing
	Cash	Cash

Feedback Area

Feedback

1. Identify which accounts are affected in each transaction. Keep in mind that every transaction involves at least two accounts. Determine whether the account increases or decreases and record each increase or decrease following the rules of debit and credit. Remember total debits should equal total credits in your entries.

Question Content Area

2. Prepare T accounts, using the account titles in (1). Post the journal entries to these T accounts, selecting the appropriate letter to the left of each amount to identify the transactions. Determine the account balances (when required), after all posting is complete, for all accounts having two or more debits or credits.

Cash
	fill in the blank cbfb17f2e01c03a_2	fill in the blank cbfb17f2e01c03a_4
	fill in the blank cbfb17f2e01c03a_6	fill in the blank cbfb17f2e01c03a_8
		fill in the blank cbfb17f2e01c03a_10
		fill in the blank cbfb17f2e01c03a_12
		fill in the blank cbfb17f2e01c03a_14
Bal.	fill in the blank cbfb17f2e01c03a_15

Supplies
	fill in the blank cbfb17f2e01c03a_17		fill in the blank cbfb17f2e01c03a_19
Bal.	fill in the blank cbfb17f2e01c03a_20

Accounts Payable
	fill in the blank cbfb17f2e01c03a_22		fill in the blank cbfb17f2e01c03a_24
		Bal.	fill in the blank cbfb17f2e01c03a_25

Fahad Ali, Capital
			fill in the blank cbfb17f2e01c03a_27

Fahad Ali, Drawing
	fill in the blank cbfb17f2e01c03a_29

Fees Earned
			fill in the blank cbfb17f2e01c03a_31

Rent Expense
	fill in the blank cbfb17f2e01c03a_33

Office Salaries Expense
	fill in the blank cbfb17f2e01c03a_35

Automobile Expense
	fill in the blank cbfb17f2e01c03a_37

Supplies Expense
	fill in the blank cbfb17f2e01c03a_39

Miscellaneous Expense
	fill in the blank cbfb17f2e01c03a_41

Feedback Area

Feedback

2. Each increase or decrease recorded in the journal entries corresponds to a debit or credit in the T-accounts, following the rules of debit and credit. Net debits against credits to determine the balance in each T-account and double-check to see if it is a normal balance for that account classification.

Question Content Area

3. Prepare an unadjusted trial balance as of January 31, 20Y5. If an amount box does not require an entry, leave it blank.

Mountain Top RealtyUnadjusted Trial BalanceJanuary 31, 20Y5

	Debit Balances	Credit Balances
	Cash	Cash
	Supplies	Supplies
	Accounts Payable	Accounts Payable
	Fahad Ali, Capital	Fahad Ali, Capital
	Fahad Ali, Drawing	Fahad Ali, Drawing
	Fees Earned	Fees Earned
	Rent Expense	Rent Expense
	Office Salaries Expense	Office Salaries Expense
	Automobile Expense	Automobile Expense
	Supplies Expense	Supplies Expense
	Miscellaneous Expense	Miscellaneous Expense
	fill in the blank 7e8214fdefa1fa7_34	fill in the blank 7e8214fdefa1fa7_35

Feedback Area

Feedback

3. Prepare the trial balance using the ending balances of the T-accounts. Again, double-check to see if each account has a normal balance for that account classification placed in the proper Debit or Credit column. The trial balance column totals should be equal.