AC2760 Week 2

AC2760

Week 2 Assignment

Read the following scenario, and complete the form on the following worksheet:

On March 1, 2012, Mitch Quade established Mitch Realty, which completed the following transactions during the month:

(a)Mitch Quade transferred cash from a personal bank account to an account to be used for the business in exchange for capital stock, $18,000.

(b)Purchase supplies on account, $1,200.

(c)Earned sales commission, receiving cash, $14,000.

(d)Paid rent on office and equipment for the month, $2,800.

(e)Paid creditor on account, $750.

(f)Paid office salaries, $3,000.

Instructions:

1Journalize entries for transactions (a) through (f).  Omit the journal entry explanations. Please use the drop-down list (right of the cell) to enter the account description box on the worksheet.

2Post the journal entries the T accounts, placing the appropriate letter to the left of each amount to identify the transactions.  Determine the account balance after all posting is complete.  Accounts containing only a single entry do not need a balance.

3Prepare and unadjusted trial balance as of March 31, 2012.