Chapter 4
The Accounting Cycle: Journals and Ledgers
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During the month of June 2016, CG Accounting made the following transactions
Jun 1 Paid $900 cash for rent incurred.
Jun 3 Prepaid $1,200 cash for a one-year insurance policy.
Jun 6 Completed work for a client who immediately paid $2,100 cash.
Jun 11 Received a bill for advertising for $450 which will be paid next month.
Jun 13 Catherine contributed an extra $3,000 cash to the business.
Jun 16 Received $300 from a client for work to be completed in July.
Jun 18 Completed work for a client who will pay $1,500 next month.
Jun 23 Paid $950 cash toward the principal portion of the bank loan.
Jun 30 Catherine withdrew $1,000 cash for personal use.
Required
a) Complete the journal entries.
b) Post the journal entries to the general ledger.
c) Prepare a trial balance.
See Appendix I for solutions.
