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Vladimir [108]
3 years ago
15

1 Madison Harris, the owner, invested $6,800 cash and $33,800 of photography equipment in the company in exchange for common sto

ck. 2 The company paid $2,400 cash for an insurance policy covering the next 24 months. 5 The company purchased office supplies for $910 cash. 20 The company received $3,631 cash in photography fees earned. 31 The company paid $705 cash for August utilities. Prepare an August 31 trial balance for Pose-for-Pics.
Business
1 answer:
bekas [8.4K]3 years ago
4 0

Answer:

                                  Trial  Balance

Account                       <u>  DEBIT CREDIT   </u>

Cash                             6,416** -

Account Receivable  

Prepaid Insurance            2,400 -

Supplies                                910

Equipment                  33800

Common Stock                   40600*

photography fees                       3631

utilities expense     <u>          705                    </u>

TOTAL                              44,231     44,231

Explanation:

*Common stock:

6,800 cash + 33,800 equipment = 40,600 total investment

**to calculate cash we need to do a T account

        CASH

<u>DEBIT          CREDIT    </u>

   6800

                    2400

                       910

   3631

<u>                       705         </u>

10,431          4,015

BAL: 6,416

The rest of the account are just used once so we do't have to do T-accounts to keep track of them

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