Pamper Me Salon Inc.'s general ledger at April 30, 2018, showed Cash $5,000; Supplies $500; Equipment $24,000; Accounts Payable $2,100; Bank Loan Payable $10,000; Unearned Revenue (from gift certificates) $1,000; Bank Loan Payable $10,000; Common Shares $5,000; and Retained Earnings $11,400. The following events and transactions occurred during May:

May 1 Paid rent for the month of May, $1,000.

4 Paid $1,100 of the accounts payable outstanding at April 30.

7 Issued gift certificates for future services for $1,500 cash.

15 Received $2,000 from customers for services performed to date.

15 Paid $1,200 in salaries to employees.

17 Customers receiving services worth $700 used gift certificates in payment.

21 Paid the remaining accounts payable from April 30.

22 Purchased supplies of $700 on account.

24 Received a bill for advertising for $500. This bill is due on June 22.

25 Received and paid a utilities bill for $400.

28 Received $2,100 from customers for services performed.

29 Customers receiving services worth $600 used gift certificates in payment.

30 Interest of $50 was paid on the bank loan.

31 Paid $1,200 in salaries to employees.

31 Paid income tax instalment for the month, $150.

Instructions

(a) Journalize the May transactions.

(b) Set up T accounts, enter the beginning balances in the general ledger at April 30, and post the May journal entries to the general ledger.

(c) Prepare a trial balance at May 31.