CrossCountry Movers had the following account balances, in random order, on December 15, 2017 (all accounts have their "normal" balances):

The following events took place during the final weeks of the year:
Dec. 16 The accountant discovered that an error had been made in posting an entry to the Moving Fees Income account. The entry was correctly journalized, but $2,400 was accidentally posted as $4,200 in the account.
17 Moved a customer's goods to CrossCountry's rented warehouse for storage. The moving fees were $4,000. Storage fees are $600 per month. The customer was billed for one month's storage and the moving fees.
18 Collected a $15,000 note owed to CrossCountry Movers and collected interest income of $1,800 cash.
19 Used a company cheque to pay for Martinez's hydro bill in the amount of $400.
21 Purchased storage racks for $12,000. Paid $3,600 cash, provided moving services for $1,500, and promised to pay the balance in 60 days.
23 Collected $3,000 cash; $2,600 of this was for moving goods on December 15 (recorded as an account receivable at that time) and the balance was for storage fees for the period of December 16 to 23.
24 CrossCountry Movers paid cash of $18,000 owing on the mortgage.
27 Martinez withdrew $5,000 cash for personal use.
29 Provided moving services to a lawyer for $2,400. The lawyer paid CrossCountry Movers $1,500 and provided legal work for the balance.
31 Martinez, the owner of CrossCountry Movers, sold 2,000 shares he held in Brandon Haulage Inc. for $12,000.
Required
1. Where appropriate, record each transaction from December 16 to 31 in the journal. Include an explanation for each journal entry.
2. Post entries in T-accounts and calculate the balance of each one.
3. Prepare the unadjusted trial balance of CrossCountry Movers at December 31, 2017.

Transcribed Image Text:

Moving fees income. $261 Accounts receivable Rent expense... H. Martinez, capita Office supplies expense.2,100 Mortgage payable Salaries ex Insurance expense $17,200 57,900 17,400 47,100 63,000 Storage fees income Notes receivabe. Utilities expense Office supplies 2,400 9,600 39,000 pense.161,100 6,300 Office equipment. 12,300 Moving equipment.132,200