[Solved] The Accounting Cycle: Journalizing, Posting, and Preparing a Trial Balance in

Question 23

The Accounting Cycle: Journalizing, Posting, and Preparing a Trial Balance In June 2015, Wendy Winger organized a corporation to provide aerial photography services. The company, called Aerial Views, began operations immediately. Transactions during the month of June were as follows: img The account titles used by Aerial Views are: img Instructions a. Analyze the effects that each of these transactions will have on the following six components of the company's financial statements for the month of June. Organize your answer in tabular form, using the column headings shown. Use I for increase, D for decrease, and NE for no effect. The June 1 transaction is provided for you: img b. Prepare journal entries (including explanations) for each transaction. c. Post each transaction to the appropriate ledger accounts (use a running balance format as illustrated in Exhibit 3-4 on page 97). EXHIBIT Ledger Showing Transactions img d. Prepare a trial balance dated June 30, 2015. e. Using figures from the trial balance prepared in part d, compute total assets, total liabilities, and owners' equity. Are these the figures that the company will report in its June 30 balance sheet? Explain your answer briefly.

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