S. Myers, a speech therapist, opened a clinic in the name of Myers Clinic. Her accountant prepared the following chart of accounts:
S. Myers, Capital
S. Myers, Drawing
The following transactions occurred during June of this year:
a. Myers deposited $ 40,000 in a bank account in the name of the business.
b. Bought waiting room chairs and tables (Office Furniture) on account, $ 1,330.
c. Bought a fax/ copier/ scanner combination (Office Equipment) from Max’s Equipment for $ 595, paying $ 200 in cash and placing the balance on account, Ck. No. 1001.
d. Bought an intercom system (Office Equipment) on account from Regan Office Supply, $ 375.
e. Received and paid the telephone bill, $ 155, Ck. No. 1002.
f. Sold professional services on account, $ 1,484.
g. Received and paid the electric bill, $ 190, Ck. No. 1003.
h. Received and paid the bill for the state speech therapy convention, $ 450, Ck. No. 1004 (Miscellaneous Expense).
i. Sold professional services for cash, $ 2,575.
j. Paid on account to Regan Office Supply, $ 300, Ck. No. 1005.
k. Paid the rent for the current month, $ 940, Ck. No. 1006.
l. Paid salary of the receptionist, $ 880, Ck. No. 1007.
m. Myers withdrew cash for personal use, $ 800, Ck. No. 1008.
n. Received $ 885 on account from patients who were previously billed.
1. Record the owner’s name in the Capital and Drawing T accounts.
2. Correctly place the plus and minus signs for each T account and label the debit and credit sides of the accounts.
3. Record the transactions in the T accounts. Write the letter of each entry to identify the transaction.
4. Foot the T accounts and show the balances.
5. Prepare a trial balance as of June 30, 20—.
6. Prepare an income statement for June 30, 20—.
7. Prepare a statement of owner’s equity for June 30, 20—.
8. Prepare a balance sheet as of June 30, 20—.