On November 1, 2017, the account balances of Hamm Equipment Repair were as follows.b

During November, the following summary transactions were completed.
Nov. 8 Paid $1,700 for salaries due employees, of which $700 is for October salaries.
10 Received $3,620 cash from customers on account.
12 Received $3,100 cash for services performed in November.
15 Purchased equipment on account, $2,000.
17 Purchased supplies on account, $700.
20 Paid creditors on account, $2,700.
22 Paid November rent of $400.
25 Paid salaries of $1,700.
27 Performed services on account and billed customers for these services, $2,200.
29 Received $600 from customers for future service.
Adjustment data consist of:
1. Supplies on hand, $1,400
2. Accrued salaries payable, $350
3. Depreciation for the month is $200
4. Services related to unearned service revenue of $1,220 were performed
Instructions
(a) Enter the November 1 balances in the ledger accounts (use T accounts).
(b) Prepare and post the November transaction entries.
(c) Prepare a trial balance at November 30.
(d) Prepare and post the adjusting entries for the month.
(e) Prepare an adjusted trial balance.
(f) Prepare an income statement and a statement of owner's equity for November and a balance sheet at November 30.
TAKING IT FURTHER
On Hamm Equipment Repair's trial balance, Accounts Payable is $2,600. After the adjusting entries have been posted, the balance in this account is still $2,600. Since there is no change, it is not necessary to include Accounts Payable on the adjusted trial balance. Do you agree? Why or why not?

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Debit 2,400 4,250 1,800 12,000 Credit Cash Accounts Receivable Supplies Equipment Accumulated Depreciation-Equipment 2,000 2,600 1,200 700 13,950 $20,450 Accounts Payable Unearned Revenue Salaries Payable J. Hamm, Capital $20,450