Set up T accounts for Cash; Accounts Receivable; Supplies; Accounts Payable; Clay Potter, Capital; Clay Potter, Drawing; Professional Fees; and Operating Expenses.
(a)In the T accounts, record the following transactions of Potter Pool Services for June, identifying each entry by number:
(1)Potter invested $12,500 cash in the business.
(2)Purchased supplies on account, $6,250.
(3)Paid operating expenses, $5,500.
(4)Billed clients for fees, $7,440.
(5)Received cash from cash clients, $4,700.
(6)Paid creditors on account, $1,400.
(7)Received $3,100 from clients on account.
(8)Withdrew $1,500 cash for personal use.
(b)Prepare a trial balance as of June 30 for Potter Pool Services.
(c)Assuming that supplies expense
(which has not been recorded) amounts to $1,500 for June, determine the following:
(1)Net income for the month.
(2)Owner's equity as of June 30.

Question

Set up T accounts for Cash; Accounts Receivable; Supplies; Accounts Payable; Clay Potter, Capital; Clay Potter, Drawing; Professional Fees; and Operating Expenses.
(a)In the T accounts, record the following transactions of Potter Pool Services for June, identifying each entry by number:
(1)Potter invested $12,500 cash in the business.
(2)Purchased supplies on account, $6,250.
(3)Paid operating expenses, $5,500.
(4)Billed clients for fees, $7,440.
(5)Received cash from cash clients, $4,700.
(6)Paid creditors on account, $1,400.
(7)Received $3,100 from clients on account.
(8)Withdrew $1,500 cash for personal use.
(b)Prepare a trial balance as of June 30 for Potter Pool Services.
(c)Assuming that supplies expense 
(which has not been recorded) amounts to $1,500 for June, determine the following:
(1)Net income for the month.
(2)Owner's equity as of June 30.

Quizplus · Accepted Answer

The Answer of Set up T accounts for Cash; Accounts Receivable; Supplies; Accounts Payable; Clay Potter, Capital; Clay Potter, Drawing; Professional Fees; and Operating Expenses.
(a)In the T accounts, record the following transactions of Potter Pool Services for June, identifying each entry by number:
(1)Potter invested $12,500 cash in the business.
(2)Purchased supplies on account, $6,250.
(3)Paid operating expenses, $5,500.
(4)Billed clients for fees, $7,440.
(5)Received cash from cash clients, $4,700.
(6)Paid creditors on account, $1,400.
(7)Received $3,100 from clients on account.
(8)Withdrew $1,500 cash for personal use.
(b)Prepare a trial balance as of June 30 for Potter Pool Services.
(c)Assuming that supplies expense 
(which has not been recorded) amounts to $1,500 for June, determine the following:
(1)Net income for the month.
(2)Owner's equity as of June 30.

Set Up T Accounts for Cash; Accounts Receivable; Supplies; Accounts