70.2K

Verified Solution

Link Copied!

Teal Mountain Inc.s general ledger at April 30, 2022, included the following: Cash $5,800, Supplies $580, Equipment $27,840, Accounts Payable $2,440, Notes Payable $11,600, Unearned Service Revenue (from gift certificates) $1,160, Common Stock $5,800, and Retained Earnings $13,220. The following events and transactions occurred during May.

May 1		Paid rent for the month of May $1,160.
4		Paid $1,280 of the account payable at April 30.
7		Issued gift certificates for future services for $1,740 cash.
8		Received $1,390 cash from customers for services performed.
14		Paid $1,390 in salaries to employees.
15		Received $930 in cash from customers for services performed.
15		Customers receiving services worth $810 used gift certificates in payment.
21		Paid the remaining accounts payable from April 30.
22		Received $1,160 in cash from customers for services performed.
22		Purchased supplies of $810 on account. All of these were used during the month.
25		Received a bill for advertising for $580. This bill is due on June 13.
25		Received and paid a utilities bill for $460.
29		Received $1,970 in cash from customers for services performed.
29		Customers receiving services worth $700 used gift certificates in payment.
31		Interest of $60 was paid on the note payable.
31		Paid $1,390 in salaries to employees.
31		Paid income tax payment for the month $170.

Journalize the May transactions. (If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.)

Answer & Explanation Solved by verified expert

See Answer