90.2K

Verified Solution

Link Copied!

During July, the medical practice completed the following transactions: Jul. 1Yarwood contributed $68,000 cash to the business in exchange for capital. Jul 5Paid monthly rent on medical equipment, $550. Jul. 9Paid $17,000 cash to purchase land to be used in operations. Jul.10Purchased office supplies on account, $1,800.19Borrowed $24,000 from the bank for business use. Jul. 22Paid $1,700 on account.28The business received a bill for advertising in the daily newspaper to be paid in August, $290.31Revenues earned during the month included $6,000 cash and $5,500 on account. Jul. 31Paid employees salaries $2,000, office rent $1,000, and utilities $550. Record as a compound entry. Jul. 31The business received $1,260 for medical screening services to be performed next month. Jul. 31Yarwood withdrew cash of $7,400. The business uses the following accounts: Cash; Accounts Receivable; Office Supplies; Land; Accounts Payable; Advertising Payable; Unearned Revenue; Notes Payable; Yarwood, Capital; Yarwood, Withdrawals; Service Revenue; Salaries Expense; Rent Expense; Utilities Expense; and Advertising Expense. Requirements 1. Journalize each transaction. Explanations are not required.2. Post the journal entries to the T-accounts, using transaction dates as posting references in the ledger accounts. Label the balance of each account Bal.3. Prepare the trial balance of Vincent Yarwood, M.D., as of July 31, 2017.

Answer & Explanation Solved by verified expert

See Answer