Oct. 1 Graham invested
$90,000
cash, a
$36,000
computer system, and
$18,000
of office equipment in the business. 2 Paid rent in advance of
$9,000
. 3 Purchased computer supplies on credit for
$2,640
from Abbott Office Products. 5 Paid
$4,320
cash for one year's premium on a property and liability insurance policy. 6 Billed Capital Leasing
$6,600
for installing a new computer. 8 Paid for the computer supplies purchased from Abbott Office Products. 10 Hired Carly Smith as a part-time assistant for
$200
per day, as needed. 12 Billed Capital Leasing another
$2,400
for computer services rendered. 15 Received
$6,600
from Capital Leasing on its account. 17 Paid
$1,410
to repair computer equipment damaged when moving into the new office. 20 Paid
$3,720
for an advertisement in the local newspaper. 22 Received
$2,400
from Capital Leasing on its account. 28 Billed Decker Company
$6,450
for services. 31 Paid Carly Smith for seven days' work. 31 Withdrew
$7,200
cash from the business for personal use. Part B: CHECK FIGURES: 8. Total Dr.
=$184,950;9
. Profit
=$27,920;
Total assets
=$161,120
Required 6. Prepare journal entries to record each of the following November transactions. 7. Post the November entries. 8. Prepare a trial balance at November 30, 2020. 9. Prepare an income statement and a statement of changes in equity for the two months ended November 30, 2020, as well as a balance sheet at November 30, 2020. Nov. 1 Reimbursed Graham's business automobile expense for 1,000 kilometres at
$1.00
per kilometre. 2 Received
$9,300
cash from Elite Corporation for computer services rendered. 5 Purchased
$1,920
of computer supplies for cash from Abbott Office Products. 8 Billed Fostek Co.
$8,700
for computer services rendered. 13 Notified by Alamo Engineering Co. that Echo's bid of
$7,500
for an upcoming project was accepted. 18 Received
$3,750
from Decker Company against the bill dated October 28. 22 Donated
$1,500
to the United Way in the company's name. 24 Completed work for Alamo Engineering Co. and sent a bill for
$7,500
. 25 Sent another bill to Decker Company for the past due amount of
$2,700
. 28 Reimbursed Graham's business automobile expense for 1,200 kilometres at
$1.00
per kilometre. 30 Paid Carly Smith for 14 days' work. 30 Withdrew
$3,600
cash from the business for personal use.