Question

Assignment Template attached below

Linda Ace started her own consulting firm, Modine Consulting, on May 1, 2008. The trial balance at May 31 is as detailed below.

MODINE CONSULTING
Trial Balance
May 31, 2008

Account Number		Debit	Credit
101	Cash	$7,700
112	Accounts Receivable	4,000
126	Supplies	1,500
130	Prepaid Insurance	4,800
149	Office Furniture	9,600
201	Accounts Payable		$3,500
209	Unearned Service Revenue		$3,000
301	L. Ace, Capital		$19,100
400	Service Revenue		$6,000
726	Salaries Expense	3,000
729	Rent Expense	1,000

In addition to those accounts listed on the trial balance, the chart of accounts for Modine Consulting also contains the following accounts and account numbers: No. 150 Accumulated Depreciation – Office Furniture; No. 229 Travel Payable; No. 212 Salaries Payable; No. 717 Depreciation Expense; No. 722 Insurance Expense; No. 736 Travel Expense; and No. 631 Supplies Expense.

Other data:

1.$500 worth of supplies has been used during the month.

2.Travel expenses incurred, but not payed, on May 31, 2008 are $200.

3.The insurance policy is for two years.

4.$1,000 of the balance in the unearned service revenue account remains unearned at the end of the month.

5.May 31 is a Wednesday, and employees are paid on Fridays. Modine Consulting has two employees, who are paid $700 each for a five-day work week.

6.The office furniture has a five-year life with no salvage value. It is being depreciated at $160 per month for 60 months.

7.Invoices representing $1,000 of services performed during the month have not been recorded as of May 31.

Make journey entries and T accounts for 1 to 7 based on the information above.