The general ledger of the Temple Tech, a consulting company, at January 1, 2017, contained the following

The following is a summary of the transactions for the year:

a. Sales of services, $100,000, of which $30,000 was on credit.
b. Collected on accounts receivable, $27,300.
c. Issued shares of common stock in exchange for $10,000 in cash.
d. Paid salaries, $50,000 (of which $9,000 was for salaries payable).
e. Paid miscellaneous expenses, $24,000.
f. Purchased equipment for $15,000 in cash.
g. Paid $2,500 in cash dividends to shareholders.

Your task—
1.    Set up the necessary T-accounts and enter the beginning balances from the trial balance.(
2.    Prepare a general journal entry for each of the summary transactions listed above.
3.    Post the journal entries to the accounts.
4.    Prepare an unadjusted trial balance.
5.    Prepare and post adjusting journal entries.
6.    Accrued salaries at year-end amounted to $1,000. Depreciation for the year on the equipm
7.    Prepare an adjusted trial balance.
8.    Prepare an income statement and a balance sheet as of December 31, 2017.

Deliverable—please attach an Adjusted Trial Balance, an Income Statement and a Cla

17, contained the following account balances:

ces from the trial balance.(above)

ctions listed above.

for the year on the equipment is $2,000.

mber 31, 2017.

e Statement and a Classified Balance sheet to a regular email and send it to Venish by next We
t to Venish by next Wednesday—
 Cash Accounts Receivable
No Debit No Credit No Debit No Credit
30000 15000

Accumulated Depriciation
No Debit Credit
Accounts Payable 6000
No Debit No Credit Equipment
9000 No Debit No Credit
Retained Earnings 20000
No Debit No Credit Common Stock
9500 No Debit No Credit
40500
 a. Sales of services, $100,000, of which $30,000 was on credit.
b. Collected on accounts receivable, $27,300.
c. Issued shares of common stock in exchange for $10,000 in cash.
d. Paid salaries, $50,000 (of which $9,000 was for salaries payable).
e. Paid miscellaneous expenses, $24,000.
f. Purchased equipment for $15,000 in cash.
g. Paid $2,500 in cash dividends to shareholders.

No Date Account Title Debit Credit

a - Cash 70000
Accounts Receivable 30000
Sales of Services Revenue 100000

b - Cash 27300
Accounts Receivable 27300

c - Cash 10000
Common Stock 10000

d Salary Expense 41000

Salary Payable 9000
Cash 50000

e Miscellaneous Expenses 24000

Cash 24000

f Equipment Purchase 15000

Cash 15000

g Dividends 2500
Cash 2500
b
 101: Cash 106: Accounts Receivable
No Debit Credit Balance No Debit Credit Balance
a 70000 70000 a 30000 30000
b 27300 97300 b 27300 2700
c 10000 107300 15000 17700
d 50000 57300 Miscellaneous Expense
e 24000 33300 No Debit Credit Balance
f 15000 18300 e 24000 24000
g 2500 15800 Equipment
30000 45800 No Debit Credit Balance
201: Accounts Payable f 15000 15000
No Debit Credit Balance 20000 35000
d 9000 9000 307: Common Stock
9000 0 No Debit Credit Balance
Dividends and earnings c 10000 10000
No Debit Credit Balance 40500 50500
g 2500 2500 403: Services Revenue
9500 7000 No Debit Credit Balance
601: Wages Expense a 100000 100000
No Debit Credit Balance
d 41000 41000 Accumulated Depriciation
No Debit Credit
6000
No Date Account Title Debit Credit
a - Cash 70000
Accounts Receivable 30000
Sales of Services Revenue 100000

b - Cash 27300
Accounts Receivable 27300

c - Cash 10000
Common Stock 10000 Cash
No Debit No
d Salary Expense 41000 30000
Salary Payable 9000
Cash 50000

e Miscellaneous Expenses 24000 Accounts Payable

Cash 24000 No Debit No

f Equipment Purchase 15000 Retained Earnings

Cash 15000 No Debit No

g Dividends 2500
Cash 2500
ash Accounts Receivable
Credit No Debit No Credit
15000

Accumulated Depriciation
No Debit Credit
s Payable 6000
Credit Equipment
9000 No Debit No Credit
d Earnings 20000
Credit Common Stock
9500 No Debit No Credit
40500
 Temple Tech 101: Cash
Unadjusted Trial Balance No Debit
December 31, 2017 a 70000
Debit Credit b 27300
Cash $45,800 c 10000
Accounts receivable $17,700 d
Equipment $35,000 e
Accumulated Depreciation $6,000 f
Accounts payable $0 g
Common stock $50,500 201: Accounts Payable
Retained Earnings $7,000 No Debit
Services Revenue $100,000 d 9000
Wages expense $41,000 319: Dividends
Miscellaneous expense $24,000 No Debit
Totals $163,500 $163,500 g 2500
601: Wages Expense
No Debit
d 41000

Cash
No Debit
30000

Accounts Payable
No Debit

Retained Earnings
No Debit
 101: Cash 106: Accounts Receivable
Credit Balance No Debit Credit Balance
70000 a 30000 30000
97300 b 27300 2700
107300 Miscellaneous Expense
50000 57300 No Debit Credit Balance
24000 33300 e 24000 24000
15000 18300 Equipment
2500 15800 No Debit Credit Balance
201: Accounts Payable f 15000 15000
Credit Balance 307: Common Stock
9000 No Debit Credit Balance
319: Dividends c 10000 10000
Credit Balance 403: Services Revenue
2500 No Debit Credit Balance
601: Wages Expense a 100000 100000
Credit Balance
41000

Cash Accounts Receivable

No Credit No Debit No Credit
15000

Accumulated Depriciation
No Debit Credit
Accounts Payable 6000
No Credit Equipment
9000 No Debit No Credit
Retained Earnings 20000
No Credit Common Stock
9500 No Debit No Credit
40500
 Adjusting Journal Entries 101: Cash
Debit Credit No Debit Credit Balance
Salary Expense 1000 a 70000 70000
Salary Payable 1000 b 27300 97300

c 10000 107300

Depreciationa expense 2000 d 50000 57300

Accumulated Depriciation 2000 e 24000 33300
f 15000 18300
g 2500 15800
30000 45800
201: Accounts Payable
No Debit Credit Balance
d 9000 9000
9000 0
adjust 1000 1000
Dividends and earnings
No Debit Credit Balance
g 2500 2500
9500 7000
601: Wages Expense
No Debit Credit Balance
d 41000 41000
 106: Accounts Receivable
No Debit Credit Balance
a 30000 30000
b 27300 2700

15000 17700 Incom

Miscellaneous Expense
No Debit Credit Balance
e 24000 24000 403: Services Revenue
Equipment No
No Debit Credit Balance a
f 15000 15000
20000 35000 Depreciation Expense
307: Common Stock No
No Debit Credit Balance adjusting
s c 10000 10000
40500 50500
403: Services Revenue
No Debit Credit Balance
a 100000 100000

Accumulated Depriciation
No Debit Credit Balance
6000 6000
adjust 2000 8000
 Income Statement Account

03: Services Revenue Miscellaneous Expense

Debit Credit Balance No Debit Credit Balance
100000 100000 e 24000 24000

Depreciation Expense Salaries Expense

Debit Credit Balance No Debit Credit Balance
2000 2000 d 41000 41000
adjust 1000 42000
 Temple Tech 101: Cash
Adjusted Trial Balance No Debit Credit
December 31, 2017 a 70000
Debit Credit b 27300
Cash $45,800 c 10000
Accounts receivable $17,700 d 50000
Equipment $35,000 e 24000
Accumulated Depreciation $8,000 f 15000
Accounts payable $1,000 g 2500
Common stock $50,500 30000
Retained Earnings $7,000 201: Accounts Payable
Services Revenue $100,000 No Debit Credit
Wages expense $42,000 d 9000
Miscellaneous expense $24,000 9000
Depreciation expense $2,000 adjust 1000
Totals $166,500 $166,500 Dividends and earnings
No Debit Credit
g 2500
9500
601: Wages Expense
No Debit Credit
d 41000
Cash 106: Accounts Receivable
Balance No Debit Credit Balance
70000 a 30000 30000
97300 b 27300 2700
107300 15000 17700
57300 Miscellaneous Expense
33300 No Debit Credit Balance
18300 e 24000 24000
15800 Equipment
45800 No Debit Credit Balance
nts Payable f 15000 15000
Balance 20000 35000
9000 307: Common Stock
0 No Debit Credit Balance
1000 s c 10000 10000
nd earnings 40500 50500
Balance 403: Services Revenue
2500 No Debit Credit Balance
7000 a 100000 100000
s Expense
Balance Accumulated Depriciation
41000 No Debit Credit Balance
6000 6000
adjust 2000 8000
 403: Services Revenue
No Debit Credit Balance No Debit Credit
a 100000 100000 e 24000

Depreciation Expense
No Debit Credit Balance No Debit Credit
adjusting 2000 2000 d 41000
adjust 1000
 Temple Tech Temple Tech
Income Statement Balance Sheet
December 31, 2017 December 31, 2017

Revenues Assets
Cash
Service Revenue 100000 Equipment 35000
Less Accum Depreciation -8000
Expenses Account Receivables
Salary 42000 Total Asset
Miscellaneous 24000 Liabilities
Depreciation 2000 Salary Payable
Total Expenses 68000
Net Income 32000 Equities
Common Stock 50500
Retained Earnings 39000
Total Equity
Total Liability and equity
45800

17700
90500 Retained Earnings
Last year Balance 9500
1000 Net Income 32000
Less Dividends -2500
39000

89500
90500