[twoofemnus]

prepare a trial balance for the month of June for Shelton Engineering


a. Shania Shelton, the owner, invested $105,000 cash, office equipment with a value of $6,000, and $45,000 of drafting equipment to launch the business
Dr Cash $105,000
Dr Office equipment $6,000
Dr Drafting equipment $45,000
Cr Owner's equity $156,000

b. Purchased land worth $54,000 for an office by paying $5,400 cash and signing a long-term note payable for $48,600.
Dr Land $54,000
Cr Cash $5,400
Cr L-T Note payable $48,600

c. Purchased a portable building with $75,000 cash and moved it onto the land acquired in b.
Dr Building $75,000
Cr Cash $75,000

d. Paid $6,000 cash for the premium on an 18-month insurance policy.
Dr Prepaid insurance $6,000
Cr Cash $6,000

e. Completed and delivered a set of plans for a client and collected $5,700 cash.
Dr Cash $5,700
Cr Services revenue $5,700

f. Purchased $22,500 of additional drafting equipment by paying $10,500 cash and signing a longterm note payable for $12,000
Dr Drafting equipment $22,500
Cr Cash $10,500
Cr L-T Note payable $12,000

g. Completed $12,000 of engineering services for a client. This amount is to be received in 30 days
Dr Accounts receivable $12,000
Cr Services revenue $12,000

h. Purchased $2,250 of additional office equipment on credit
Dr Office equipment $2,250
Cr Accounts payable $2,250

I. Completed engineering services for $18,000 on credit
Dr AR $18,000
Cr Services revenue $18,000

j. Received a bill for rent of equipment that was used on a recently completed job. The $1,200 rent must be paid within 30 days
Dr Rental of equipment expense $1,200
Cr Accounts payable $1,200

k. Collected $7,200 cash in partial payment from the client described in transaction g
Dr Cash $7,200
Cr AR $7,200

l. Paid $1,500 cash for wages to a drafting assistant
Dr Wages expense $1,500
Cr Cash $1,500

m. Paid $2,250 cash to settle the account payable created in transaction h
Dr AP $2,250
Cr Cash $2,250

n. Paid $675 cash for minor repairs to the drafting equipment
Dr Repairs expense $675
Cr Cash $675

o. Shelton withdrew $9,360 cash for personal use
Dr Owner's drawing $9,360
Cr Cash $9,360

p. Paid $1,500 cash for wages to a drafting assistant
Dr Wages expense $1,500
Cr Cash $1,500

q. Paid $3,000 cash for advertisements in the local newspaper during June
Dr Advertising expense $3,000
Cr Cash $3,000

[pready]

A trial Balance has basically 3 columns: They are:
Account, Debit(Dr), Credit (Cr)

List all accounts with their Debit or their Credit amounts(Make Sure you put Debit amounts in the Dr column and Credit amounts in the Cr column).

Then Add all the Debits. Next add all the Credits.

The Debits should equal the Credits.

If not there is an error somewhere and you need to verify your individual Debits and Credits and or verify you account balances.