Pirates Incorporated had the following balances at the beginning of September.

The following transactions occur in September.

September 1 Provide services to customers for cash, $4,700.

September 2 Purchase land with a long-term note for $6,400 from Crimson Company.

September 4 Receive an invoice for $500 from the local newspaper for an advertisement that appeared on September 2.

September 8 Provide services to customers on account for $6,000.

September 10 Purchase supplies on account for $1,100.

September 13 Pay $4,000 to Crimson Company for a long-term note.

September 18 Receive $5,000 from customers on account.

September 20 Pay $900 for September’s rent.

September 30 Pay September’s utility bill of $2,000.

September 30 Pay employees $4,000 for salaries for the month of September.

September 30 Pay a cash dividend of $1,100 to shareholders.

Required:

1. Record each transaction.

2. Post each transaction to the appropriate T-accounts.

3. Calculate the balance of each account at September 30. (Hint: Be sure to include the balance at the beginning of September in each T-account.)

4. Prepare a trial balance as of September 30. 

Transcribed Image Text:

PIRATES INCORPORATED Trlal Balance Accounts Debits Credits Cash $6,500 Accounts Recelvable 2,500 Supplies 7,600 Land 11,200 Accounts Payable Notes Payable $7,500 3,000 Common Stock 9,000 Retained Earnings 8,300 PIRATES INCORPORATED Trlal Balance Accounts Debits Credits Cash $6,500 Accounts Recelvable 2,500 Supplies 7,600 Land 11,200 Accounts Payable Notes Payable $7,500 3,000 Common Stock 9,000 Retained Earnings 8,300

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