Demo 3-6 Journalize transactions, post to T-accounts, and prepare trial balance
Ayala Architects incorporated as licensed architects on April 1, 20X5. During the first month of the
operation of the business, these events and transactions occurred:
Instructions
A. Journalize the transactions, including explanations.
B. Post to the ledger T-accounts.
C. Prepare a trial balance on April 30, 20X5.
A.
Date
Account Titles and Explanation
Debit
Credit
1. Stockholders invested $18,000 cash in exchange for common stock of the corporation.
Apr. 1
1. Hired a secretary-receptionist at a salary of $375 per week, payable monthly.
1
2. Paid office rent for the month $900.
2
3. Purchased architectural supplies on account from Burmingham Company $1,300.
3
10. Completed blueprints on a carport and billed client $1,900 for services.
10
11. Received $700 cash advance from M. Jason to design a new home.
11
20. Received $2,800 cash for services completed and delivered to S. Melvin.
20
30. Paid secretary-receptionist for the month $1,500.
30
30. Paid $300 to Burmingham Company for accounts payable due.
30