Question: Make T-accounts for the following accounts that appear in the general ledger of Matthew Thomas, an attorney: Cash: Account; Receivable; Office Equipment; Legal Database subscription; Accounts Payable;Common Stock; Dividends; Legal Fees Earned; Salaries Expense; Rent Expense; and Utilities Expense.. Prepare your journal entries and record the following October transactions in the T-Accounts and key all enteries with the number identifying the transaction. Determine the balance in each account and prepare a trial balance as of October 31st.
Oct. 1. Thomas started his law practice by contributing $20,000 cas to the business in October.
1. He received common stock for his investment
2. Purchased office equipment on account, $12,400
3. Paid office rent for Oct., $700
4. Paid $11,600 to access online legal database for two years.
5. Billied clients for services rendered.
6. Made $6,000 payment on account for the equipment purchased on October 2.
7. Paid legal assistant's salary, $2800
8. Collected $9,400 from clients previously billed for services
9. Received invoice for October utilites, $180; it will be paid in November
10. The firm paid stock holders $2000 cash as a dividend