18. The accounts and transactions of Zachary Morrow, Counselor and Attorney at Law, are reflected below.

INSTRUCTIONS Analyze the transactions. Record each transaction on the appropriate side of the T accounts. Identify each entry in the T accounts by writing the letter of the transaction next to the entry.

ASSETS Cash Accounts Receivable Furniture Equipment Automobile LIABILITIES Accounts Payable OWNER’S EQUITY Zachary Morrow, Capital Zachary Morrow, Drawing REVENUE Fees Income EXPENSES Automobile Expense Rent Expense Utilities Expense Salaries Expense Telephone Expense TRANSACTIONS

a. Zachary Morrow invested $75,000 in cash to start the business.

b. Paid $7,500 for the current month’s rent.

c. Bought a used automobile for the firm for $26,200 in cash.

d. Performed services for $34,900 in cash.

e. Paid $2,370 for automobile repairs.

f. Performed services for $25,600 on credit.
g. Purchased furniture (office chairs) for $6,600 on credit.
h. Received $11,900 from credit clients.
i. Paid $3,300 to reduce the amount owed for furniture (office chairs).
j. Issued a check for $1,220 to pay the monthly utility bill.
k. Purchased equipment for $42,500 and paid half of this amount in cash immediately; the balance is due in 30 days.
l. Issued a check for $17,900 to pay salaries.
m. Performed services for $19,975 in cash.
n. Performed services for $16,500 on credit.
o. Paid $1,152 for the monthly telephone bill.
p. Collected $9,800 on accounts receivable from charge customers.
q. Purchased additional equipment and received a bill for $17,360 due in 30 days.
r. Paid $775 in cash for gasoline purchased for the automobile during the month.
s. Zachary Morrow withdrew $20,000 in cash for personal expenses.
Analyze: What outstanding amount is owed to the company from its credit customers?