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may 1, 2017 A) Journalize the transactions. B) Post to the ledger accounts. C) P

ID: 2340764 • Letter: M

Question

may 1, 2017

A) Journalize the transactions.

B) Post to the ledger accounts.

C) Prepare a trial balance on May 31, 2017.

Lena Fohn is a licensed accountant. During the first month of operations of her business, Oriole Company, the following events and transactions occurred. May 1 Shareholders invested 22,881 cash in exchange for ordinary shares 2 Hired a secretary-receptionist at a salary of 3,933 per month 3 Purchased 2,600 of supplies on account from Hartig Supply Company. 7 Paid office rent of 835 cash for the month 11 Completed a tax assignment and billed client 2,077 for services provided 12 Received 3,103 advance on a management consulting engagement. 17 Received cash of 1,299 for services performed for Lucille Co. 31 Paid secretary-receptionist 3,933 salary for the month 31 Paid 50% of balance due Hartig Supply Company

Explanation / Answer

(A) Journal Entries :-

Date

General Journal

Debit

Credit

May 1

Cash

22881

Common Stock

22881

May 2

No Entry

May 3

Supplies

2600

Hartig Supply Company

2600

May 7

Office Rent Exp

835

Cash

835

May 11

Account Receivable

2077

Service Revenue

2077

May 12

Cash

3103

Unearned Revenue

3103

May 17

Cash

1299

Service Revenue

1299

May 31

Salary

3933

Cash

3933

May 31

Hartig Supply Company

1300

Cash

1300

(B) Ledger :-

Cash :-

May 1

22881

May 7

835

May 12

3103

May 31

3933

May 17

1299

May 31

1300

End. Bal.

21215

Common Stock :-

May 1

22881

End. Bal.

22881

Supplies :-

May 3

2600

End. Bal.

2600

Hartig Supply Company :-

May 31

1300

May 3

2600

End. Bal.

1300

Office Rent Exp :-

May 7

835

End. Bal.

835

Account receivable :-

May 11

2077

End. Bal.

2077

Service revenue :-

May 11

2077

May 17

1299

End. Bal.

3376

Unearned Revenue :-

May 12

3103

End. Bal.

3103

Salary :-

May 31

3933

End. Bal.

3933

(3) Trial balance 31 May, 2017 :-

S.No.

Particulars

Debit

Credit

1

Cash

21215

2

Common Stock

22881

3

Supplies

2600

4

Hartig Supply Company

1300

5

Office Rent Exp

835

6

A/c Receivable

2077

7

Service Revenue

3376

8

Unearned revenue

3103

9

Salary

3933

Total

30660

30660

Date

General Journal

Debit

Credit

May 1

Cash

22881

Common Stock

22881

May 2

No Entry

May 3

Supplies

2600

Hartig Supply Company

2600

May 7

Office Rent Exp

835

Cash

835

May 11

Account Receivable

2077

Service Revenue

2077

May 12

Cash

3103

Unearned Revenue

3103

May 17

Cash

1299

Service Revenue

1299

May 31

Salary

3933

Cash

3933

May 31

Hartig Supply Company

1300

Cash

1300