The Acorn Nursery School Corporation provides baby-sitting and childcare programs. On January 31, 20xx, the company had the following trial balance:

 During the month of February, the company completed the following transactions:

 

  1. Open accounts in the ledger for the accounts in the trial balance plus the following ones: Supplies (115); Dividends (313); Service Revenue (411); Rent Expense (511); Gas and Oil Expense (512); Wages Expense (513); and Utilities Expense (514).

2. Enter the January 31, 20xx, account balances from the trial balance.

3. Enter the above transactions in the general journal

4. Post the entries to the ledger accounts. Be sure to make the appropriate posting references in the journal and ledger as you post.

5. Prepare a trial balance as of February 28, 20xx.

6. User Insight: Examine the transactions for February 3, 9, 10, and 22. What were the revenues and how much cash was received from the revenues? What business issue might you see arising from the differences in these numbers?

Transcribed Image Text:

Acorn Nursery School Corporation Trial Balance January 31, 20xx Cash (111) Accounts Receivable (113) Equipment (141) Buses (143) Notes Payable (211) Accounts Payable (212) Common Stock (311) Retained Earnings (312) $ 1,870 1,700 1,040 17,400 $22,010 $15,000 1,640 4,000 1,370 $22,010 Acorn Nursery School Corporation Trial Balance January 31, 20xx Cash (111) Accounts Receivable (113) Equipment (141) Buses (143) Notes Payable (211) Accounts Payable (212) Common Stock (311) Retained Earnings (312) $ 1,870 1,700 1,040 17,400 $22,010 $15,000 1,640 4,000 1,370 $22,010

Answer rating: 100% (QA)

Feb 2 Paid this months rent 270 Rent Expense Dr 270 Cash Cr 270 3 Received fees for this months serv... View the full answer