Question

Zucker Management Services opened for business and completed these transactions in November.

Nov. 1 Matt Zucker, the owner, invested \(30,000 cash along with \)15,000 of office equipment in the company in exchange for common stock.

2 The company prepaid \(4,500 cash for six months’ rent for an office. (Hint:Debit Prepaid Rent for \)4,500.)

4 The company made credit purchases of office equipment for \(2,500 and of office supplies for \)600. Payment is due within 10 days.

8 The company completed work for a client and immediately received \(3,400 cash.

12 The company completed a \)10,200 project for a client, who must pay within 30 days.

13 The company paid \(3,100 cash to settle the payable created on November 4.

19 The company paid \)1,800 cash for the premium on a 24-month insurance policy.

22 The company received \(5,200 cash as partial payment for the work completed on November 12.

24 The company completed work for another client for \)1,750 on credit.

28 The company paid \(5,300 cash in dividends.

29 The company purchased \)249 of additional office supplies on credit.

30 The company paid $831 cash for this month’s utility bill.

Required

3. Prepare a trial balance as of the end of November.

Short answer

The total trial balance matches at $60,599.

Step-by-step solution

No. of accounts

In the given case, there are 11 accounts in the general ledger, out of those 8 accounts have debit balances and the rest 3 of them have a credit balance. These accounts have been listed in the trial balance in step 2.

Trial Balance

Karla Tanner
Trial Balance
April 30
	Debit	Credit
Cash	$ 23,069
Accounts Receivables	6,750
Office Supplies	849
Prepaid Insurance	1,800
Prepaid Rent	4,500
Office Equipment	17,500
Accounts Payable		$ 249
Common Stock		45,000
Dividends	5,300
Service Revenues		15,350
Utility Expenses	831
Total	$ 60,599	$ 60,599