Problem 2-8A (connued)
(10) Sep. 30
Salaries Expense 4,000
(11) Sep. 30
Dividends 1,100
Problem 2-8A (connued)
Requirements 2 and 3
Cash Accounts Receivable Supplies
Bal. 6,500
(1) 4,700
4,000 (6)
900 (8)
Bal. 2,500
(4) 6,000
5,000 (7) Bal. 7,600
(5) 1,100
Land Accounts Payable Notes Payable
Bal. 11,200
7,500 Bal.
(6) 4,000 3,000 Bal.
Common Stock Retained Earnings Dividends
Service Revenue Salaries Expense Rent Expense
4,700 (1)
Advertising Expense Utilities Expense
Problem 2-8A (connued)
Requirement 4
Pirates Incorporated
Trial Balance
September 30
Accounts Debit Credit
Cash $ 4,200
Accounts Receivable 3,500
Supplies 8,700
Land 17,600
Problem 2-9A (LO 2-4, 2-5, 2-6)
Requirement 1
Entries are numbered for posng.
(1) December 1 Debit Credit
Rent Expense 900
(2) December 5
Cash 2,800
(3) December 8
Cash 10,000
(4) December 12
Cash 3,500
(5) December 13
Cash 20,000
(6) December 15
Salaries Expense 1,200
(7) December 17
Advertising Expense 1,000
(8) December 22
Accounts Receivable 3,200
December 23
No journal entry required
Problem 2-9A (connued)
(9) December 26
Equipment 28,500
(10) December 28
Accounts Payable 1,500
(11) December 31
Dividends 2,000
Problem 2-9A (connued)
Requirements 2 and 3
Cash Accounts Receivable Prepaid Insurance
Bal. 9,200
900 (1)
Bal. 4,500
3,500 (4) Bal. 400
Equipment Land Accounts Payable
Bal. 24,100
Bal. 170,000 (10) 1,500 3,300 Bal.
Notes Payable Common Stock Retained Earnings
50,000 Bal.
120,000 Bal.
14,100 Bal.
Dividends Service Revenue Advertising Expense
Bal. 5,000
75,000 Bal.
Bal. 11,000
Salaries Expense Rent Expense
Problem 2-9A (connued)
Requirement 4
RiverHawk Expeditions
Trial Balance
December 31
Accounts Debit Credit
Cash $ 10,400
Accounts Receivable 4,200
Prepaid Insurance 400
Equipment 52,600
Land 170,000
Problem 2-1B (LO 2-2)
Transaction Assets = Liabilities +
Stockholders’
Equity
1. Obtain a loan at the
bank Increase = Increase + No effect
2. Purchase a machine to
cash.
3. Provide services to
4. Pay employee salaries
Problems: Set B
5. Repay loan from the
6. Customers pay cash in
7. Pay for maintenance costs
8. Pay for advertising in the
9. Purchase office supplies
10. Provide services to
11. Pay dividends to
Problem 2-2B (LO 2-2)
Transaction Assets = Liabilities +
Stockholders’
Equity
1. Issue common stock in
2. Obtain a loan from the bank
3. Receive cash of $1,200 in
4. Purchase supplies on account,
6. Provide services to customers
7. Repay $4,000 of the loan in
8. Pay full amount for supplies
9. Provide services to customers
10. Pay cash dividends of
Problem 2-3B (LO 2-3)
Accounts Type of Account
Normal Balance
(Debit or Credit)
1. Supplies Asset Debit
2. Advertising Expense Expense Debit
3. Prepaid Insurance Asset Debit
4. Supplies Expense Expense Debit