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The trial balance of the Estate of Tom Beresford at April 17, 200X is as follows

ID: 2498270 • Letter: T

Question

The trial balance of the Estate of Tom Beresford at April 17, 200X is as follows:

Debit (Credit)

Principal cash                                                                            $ 20,750

GM Stock                                                                                     50,000

GMAC Bonds                                                                              100,000

Interest receivable on bonds                                                             2,500

Funeral and administrative expenses                                                 6,800

Estate principal                                                                           (180,050)

Prepare the journal entries on the books of the Estate of Tom Beresford to transfer the assets and close the books on April 17, 200X.

Prepare the journal entries on the books of the First State Bank to record the receipt of the assets an April 17, 200X

Explanation / Answer

Journal entries on the books of the Estate of Tom Beresford to transfer the assets and close the books on April 17, 200X

Debit

Credit

First state bank

180050

Cash

20750

GM Stock

50000

GMAC Bonds

100000

Interest receivable on bonds

2500

Funeral and administrative expenses

6800

journal entries on the books of the First State Bank

Debit

Credit

Cash

20750

GM Stock

50000

GMAC Bonds

100000

Interest receivable on bonds

2500

Funeral and administrative expenses

6800

Estate principal

180050

Debit

Credit

First state bank

180050

Cash

20750

GM Stock

50000

GMAC Bonds

100000

Interest receivable on bonds

2500

Funeral and administrative expenses

6800