During August, the following transactions occurred: Aug 1 Paid August rental cost for aircraft, dockage, and dockside
Question:
During August, the following transactions occurred:\ Aug 1 Paid August rental cost for aircraft, dockage, and dockside office,
$6,800
.\ 2 Paid the insurance premium for August,
$3,600
.\ Paid for August advertising in various sports magazines,
$2,300
.\ Rendered fly-in services for various groups for cash,
$17,550
.\ Billed the Canadian Ministry of Natural Resources for services in transporting mapping personnel,
$4,700
.\ Received
$21,200
on account from clients.\ Paid
$2,500
on accounts payable.\ Billed various clients for services,
$20,200
.\ Paid interest on an outstanding note payable for August, $155.\ Paid August wages,
$15,600
.\ Received invoice for the cost of fuel used during August,
$4,400
.\ Paid a cash dividend,
$5,300
.\ Required\ a. Set up accounts for each item in the August 1 trial balance and enter the beginning balances. Also provide similar accounts for the following items: Service Fees Earned, Wage Expense, Advertising Expense, Rent Expense, Fuel Expense, Insurance Expense and Interest Expense. Create journal entries and record the transactions for August in the appropriate T-accounts, using the dates given.\ b. Prepare a trial balance as of August 31, 2016.
Financial Accounting
ISBN: 9781618533111
6th Edition
Authors: Michelle L. Hanlon, Robert P. Magee, Glenn M. Pfeiffer, Thomas R. Dyckman