Associate Level Material

Appendix C Journalizing, Posting, and Preparing a Trial Balance

Journalizing the Transactions
Use this template to journalize the transactions for Jane Kent, Inc. The first two lines are completed for you. You might not require all the lines provided.

DATE
May 1

2 3

11

12

17

31

31

GENERAL JOURNAL ACCOUNT TITLE AND EXPLANATION Cash Common Stock (Issued shares of stock for cash) No entry : Not a transaction Supplies Accounts Payable (Purchased supplies on an account) Rent Expense Cash (Paid Office rent) Accounts Recieveable Service Revenue (Billed Client for Services Provided) Cash Unearned Revenue (Received cash for future services) Cash Service Revenue (Received cash for services provided) Salaries Expense Cash (Paid Salaries) Accounts Payable (2500 X 40%) Cash (Paid creditor on account)

REF. DEBIT 101 25,000 311

J1 CREDIT 25,000

126 201 729 101 112 400 101 205 101 400 726 101 201 101

2,500 2,500 900 900 2,100 2,100 3,500 3,500 1,200 1,200 2,000 2,000 1,000 1,000

a) General Journal

Associate Level Material

Appendix C Journalizing, Posting, and Preparing a Trial Balance
Posting the Accounts
Post the ledger accounts for Jane Kent, Inc. on this General Ledger. The first line of the cash account is completed for you. Complete the remaining lines in the cash account, and the other eight accounts. You have nine accounts altogether.

GENERAL LEDGER Cash DATE EXPLANATION 1-May-2008 7-May 5/12/2008 17 5/31/2008 5/31/2008 Accounts Receivable DATE EXPLANATION 11-May Supplies DATE EXPLANATION 3-May Accounts Payable DATE EXPLANATION 3-May 31-May Unearned Revenue DATE EXPLANATION 12-May Common Stock DATE EXPLANATION 1-May Service Revenue DATE EXPLANATION 11-May 17-May Salaries Expense
b) Ledger Accounts

REF. J1 J1 J1 J1 J1 J1

DEBIT CREDIT 25,000 900 3,500 1,200 2,000 1,000

REF. J1

DEBIT CREDIT 2,100

REF. J1

DEBIT CREDIT 2,500.00

REF. J1 J1

DEBIT 1,000

CREDIT 2,500

REF. J1

DEBIT

CREDIT 3,500

REF. J1

DEBIT

CREDIT 25,000

REF. J1 J1

DEBIT

CREDIT 2,100 1,200

DATE 31-May

EXPLANATION

REF. J1

DEBIT CREDIT 2,000

Rent Expense DATE EXPLANATION 7-May

REF.

DEBIT

CREDIT 900

b) Ledger Accounts

ing a Trial Balance

General Ledger. The first line of the cash account is completed for you. and the other eight accounts. You have nine accounts altogether.

No. 101 BALANCE 25,000 24,000 27,600 28,800 26,800 25,800 No. 112 BALANCE 2,100 No. 126 BALANCE 2,500.00 No. 201 BALANCE 2,500 1,500 No. 205 BALANCE 3,500 No. 311 BALANCE 25,000 No. 400 BALANCE 2,100 3,300 No. 726
b) Ledger Accounts

BALANCE 2,000 No. 729 BALANCE 900

b) Ledger Accounts

Associate Level Material

Appendix C Journalizing, Posting, and Preparing a Trial Balance
Preparing a Trial Balance
Prepare a trial balance dated May 31, 2008 for Jane Kent, Inc. Debit and Credit totals are double-underlined. You can place summation formulas in F17 and G17 to compute debit and credit totals. Otherwise, you can compute totals using a calculator, then enter totals directly.

JANE KENT, INC. Trial Balance

31-May-08 DEBIT Cash Accounts Receivable Supplies Accounts Payable Unearned Revenue Common Stock Service Revenue Salaries Expense Rent Expense Totals 2,100 2,500 1,500 3,500 25,000 3,300 2,000 900 32,500 CREDIT 25,000

33,300

c) Trial Balance