• Problem 2-12A Journalizing, posting, preparing a trial balance and financial statements LO1, 3, 4, 5, 6 Taylor Smith is a singer who has experienced international success in her career. On May 1, 2020, Taylor started her business, Glitter and Gold Studio, where she teaches singing. The following activities occurred during July, the third month of operations: July 1 Purchased supplies including sheet music on credit for $250. 2 Collected $6,400 in advance for singing lessons to be delivered in August. 3 Collected $3,200 for teaching singing lessons in July. 4 Paid $4,200 to rent her music studio for the month of July. 5 Paid $550 for supplies purchased on account last month. 15 Taylor Smith withdrew cash of $300 to do some personal shopping on the weekend. 20 Paid her assistant wages of $2,500. 31 Purchased new microphone equipment on credit for $900. Required: 1. Prepare journal entries to record the July transactions. 2&3. Post the entries to the T-accounts. (Use the below format) Enter the balances brought forward from June 30, 2020: Cash (101) $7,200; Supplies (126) $1,550; Equipment (161) $9,200; Accounts Payable (201) $2,700; Unearned Teaching Revenue (233) $11,000; Taylor Smith, Capital (301) $4,200; Taylor Smith, Withdrawals (302) $14,200; Teaching Revenue (401) $49,600; Wages Expense (623) $28,150; and Rent Expense (640) $7,200. 4. Prepare a trial balance at July 31, 2020. 5. Use the trial balance to prepare an income statement and statement of changes in equity for the three months ended July 31, 2020, as well as a balance sheet at July 31, 2020. Problem 2-12A Journalizing, posting, preparing a trial balance and financial statements LO1, 3, 4, 5, 6 Taylor Smith is a singer who has experienced international success in her career. On May 1, 2020, Taylor started her business, Glitter and Gold Studio, where she teaches singing. The following activities occurred during July, the third month of operations: July 1 Purchased supplies including sheet music on credit for $250. 2 Collected $6,400 in advance for singing lessons to be delivered in August. 3 Collected $3,200 for teaching singing lessons in July. 4 Paid $4,200 to rent her music studio for the month of July. 5 Paid $550 for supplies purchased on account last month. 15 Taylor Smith withdrew cash of $300 to do some personal shopping on the weekend. 20 Paid her assistant wages of $2,500. 31 Purchased new microphone equipment on credit for $900. Required: 1. Prepare journal entries to record the July transactions. 2&3. Post the entries to the T-accounts. (Use the below format) Enter the balances brought forward from June 30, 2020: Cash (101) $7,200; Supplies (126) $1,550; Equipment (161) $9,200; Accounts Payable (201) $2,700; Unearned Teaching Revenue (233) $11,000; Taylor Smith, Capital (301) $4,200; Taylor Smith, Withdrawals (302) $14,200; Teaching Revenue (401) $49,600; Wages Expense (623) $28,150; and Rent Expense (640) $7,200. 4. Prepare a trial balance at July 31, 2020. 5. Use the trial balance to prepare an income statement and statement of changes in equity for the three months ended July 31, 2020, as well as a balance sheet at July 31, 2020. Problem 2-12A Journalizing, posting, preparing a trial balance and financial statements LO1, 3, 4, 5, 6 Taylor Smith is a singer who has experienced international success in her career. On May 1, 2020, Taylor started her business, Glitter and Gold Studio, where she teaches singing. The following activities occurred during July, the third month of operations: July 1 Purchased supplies including sheet music on credit for $250. 2 Collected $6,400 in advance for singing lessons to be delivered in August. 3 Collected $3,200 for teaching singing lessons in July. 4 Paid $4,200 to rent her music studio for the month of July. 5 Paid $550 for supplies purchased on account last month. 15 Taylor Smith withdrew cash of $300 to do some personal shopping on the weekend. 20 Paid her assistant wages of $2,500. 31 Purchased new microphone equipment on credit for $900. Required: 1. Prepare journal entries to record the July transactions. 2&3. Post the entries to the T-accounts. (Use the below format) Enter the balances brought forward from June 30, 2020: Cash (101) $7,200; Supplies (126) $1,550; Equipment (161) $9,200; Accounts Payable (201) $2,700; Unearned Teaching Revenue (233) $11,000; Taylor Smith, Capital (301) $4,200; Taylor Smith, Withdrawals (302) $14,200; Teaching Revenue (401) $49,600; Wages Expense (623) $28,150; and Rent Expense (640) $7,200. 4. Prepare a trial balance at July 31, 2020. 5. Use the trial balance to prepare an income statement and statement of changes in equity for the three months ended July 31, 2020, as well as a balance sheet at July 31, 2020.