c. Prepare a trial balance dated September 30, 2011. Assume accounts with zero balances are not included in the trial balance. LOS EXERCISE 3.12 Journalizing, Posting, Los and Preparing a Trial Balance LOS LOS Herrold Consulting incorporated on February 1, 2011. The company engaged in the following transactions during its first month of operations: Feb. 1 Issued capital stock in exchange for $750,000 cash. Feb. 5 Borrowed $50,000 from the bank by issuing a note payable. Feb. 8 Purchased land, building, and office equipment for $600,000. The value of the land was $100,000, the value of the building was $450,000, and the value of the office equipment was $50,000. The company paid $300,000 cash and issued a note payable for the balance Feb. 11 Purchased office supplies or $600 on account. The supplies will last for several months. Feb. 14 Paid the local newspaper $400 for a full-page advertisement. The ad will appear in print on February 18 Feb. 20 Several of the inkjet printer cartridges that Herrold purchased on February 11 were defective. The cartridges were returned and the office supply store reduced Herrold's outstanding balance by $100. Feb. 22 Performed consulting services for $6.000 cash. Feb. 24 Billed clients $9.000. Feb. 25 Paid salaries of $5,000 Paid the entire outstanding balance owed for office supplies purchased on February 11. Feb 28 D D H BD T009 Q ,, Chapter 3 The Accounting Cycle: Capturing Economic Events C 2 EA , , 72% 1 0. A partial list of the account titles used by the company includes: Cash Notes Payable Accounts Receivable Accounts Payable Office Supplies Capital Stock Land Client Service Revenue Building Advertising Expense Office Equipment Salaries Expense a. Prepare journal entries, including explanations for the above transactions b. Post each entry to the appropriate ledger accounts (use the account format as illustrated in Exhibit 3-8 on page 108) Prepare a trial balance dated February 28, 2011. Assume accounts with zero balances are not included in the trial balance. RCISE 3.13 zing actions Listed below are descriptions of six transactions, followed by a table listing six unique combini tions of financial statement effects is for increase. Dis for decrease, and NE is for no effect). In the blank space to the left of each transaction description, place the appropriate letter from the table that indicates the effects of that traction on the various elements of the financial statements 1. Purchased machinery for sing $100 cash and issuing a $4.000 note puy- for the ballince 2. Billed clients 60 count 34 Recorded as maintenido en ese or which I was paid cash and the mais dan payah 5 RANNS The entire amount in 20 days