ABC Company opened for business on Jan 1, 2010. The company maintains the following ledger accounts:...

Transcribed Image Text:

ABC Company opened for business on Jan 1, 2010. The company maintains the following ledger accounts: Cash Office Equipment Account Payable Capital Stock Client Revenue Salary Expense Account Receivable Office Supplies Jan 8 February Jan 15 Note Payable Retained Earnings Rent Expense The company engaged in the following activities in January: Jan 5 Issued 100 shares of capital stock for $100,000 Jan 6 Paid $20,000 rent for January in cash Jan 7 Purchased office equipment for $25,000. The company paid $8,000 cash and issued a note payable for the balance. Purchased office supplies for $5,000 and payment is due in Offered services and billed a client $30,000, $10,000 paid upfront in cash, with the remaining balance be paid in February. Paid $3,000 salary in cash Jan 28 Jan 30 Recorded $1,500 utilities expenses. Payment is due in February. c) Prepare a trial balance dated January 31, 2010. ABC Company opened for business on Jan 1, 2010. The company maintains the following ledger accounts: Cash Office Equipment Account Payable Capital Stock Client Revenue Salary Expense Account Receivable Office Supplies Jan 8 February Jan 15 Note Payable Retained Earnings Rent Expense The company engaged in the following activities in January: Jan 5 Issued 100 shares of capital stock for $100,000 Jan 6 Paid $20,000 rent for January in cash Jan 7 Purchased office equipment for $25,000. The company paid $8,000 cash and issued a note payable for the balance. Purchased office supplies for $5,000 and payment is due in Offered services and billed a client $30,000, $10,000 paid upfront in cash, with the remaining balance be paid in February. Paid $3,000 salary in cash Jan 28 Jan 30 Recorded $1,500 utilities expenses. Payment is due in February. c) Prepare a trial balance dated January 31, 2010.

Answer rating: 100% (QA)

Step 13 Trial Balance The trial balance is the summary of all account balances at the end of the period The balances of accounts are shown under debit ... View the full answer