On November 1, 2017, the account balances of Pine Equipment Repair were as follows:

During
Nov. 8 November, the following summary transactions were completed.
10 Paid $1,100 for salaries due employees, of which $600 is for November salaries.
12 Received $1,200 cash from customers on account.
15 Received $1,400 cash for services performed in November.
17 Purchased equipment on account, $3,000.
20 Purchased supplies on account, $500.
22 Paid creditors on account, $2,500.
25 Paid November rent of $300. Paid salaries of $1,300.
27 Performed services on account and billed customers for services provided, $900.
29 Received $550 from customers for future service.
Adjustment data consist of:
1. Supplies on hand, $1,000.
2. Accrued salaries payable, $500.
3. Depreciation for the month is $100.
4. Unearned service revenue of $1,150 is earned during the month.
Instructions
(a) Enter the November 1 balances in the ledger accounts (use T accounts).
(b) Journalize the November transactions.
(c) Post the November transactions.
(d) Prepare a trial balance at November 30.
(e) Journalize and post adjusting entries.
(f) Prepare an adjusted trial balance.
(g) Prepare an income statement and a statement of owner's equity for November and a balance sheet at November 30.
TAKING IT FURTHER
Comment on the company's results of operations and its financial position. In your analysis, refer to specific items in the financial statements.

Transcribed Image Text:

101 Cash 112 Accounts Receivable 2,510 126 Supplies 153 Equipment 154 Accumulated Depreciation-Equipment 201 Accounts Payable 209 Unearned Revenue 212 Salaries Payable 301 S.Seed, Capital 500 2,100 1,400 500 12,800 $17,300 $ 2,790 2,000 10,000 $17,300