Exercise 2-5 (15 minutes) Type of Normal Increase Account Balance (Dr. or Cr.) Asset Debit Debit Asset Debit Debit Expense Debit Debit Asset Debit Debit Asset Debit Debit Revenue Credit Credit Liability Credit Credit Revenue Credit Credit Asset Debit Debit Liability Credi Credi Exercise 2-8 (25 minutes) June1 12 20 2 30 Cash T. James, Capital ‘Owner investment. Furniture Accounts Payable Purchased furniture on credit. Prepaid Insurance . 600 Cash Paid premium in advance for insurance. Accounts Receivable .. Services Revenue Billed customer for services provided. Accounts Payable Cash ‘Made payment toward account payable. Cash Accounts Receivable... Received cash toward account receivable. Cash T. James, Capital... Owner investment. Cash 11,000 4,000 3,000 4,000 3,000 11,000 4,000 600 3,000 4,000 3,000 10,000 5,000Exercise 2-9 (25 minutes) Aug.1 Cash Equipment M. Harris, Capital. Owner investment. 6,500 33,500 2 Prepaid Insurance 2,100 Cash. Acquired 2 years of insurance coverage. 880 5 Supplies... Cash.. Purchased supplies. 20 Cash.. Services Revenue Collected revenue from photography 3,331 31. Utilities Expense 675 Cash. Paid for August utilities. Exercise 2-10 (10 minutes) Cash Ac 101 40,000 2,100 880 3,331 675 Date Explanation PR Debit Credit Balance ‘Aug. 4 G1 6,500 2 G1 2,100 5 G1 880 20 o1 3,331 31 a 675Exercise 2-12 (30 minutes) POSE-FOR-PICS Trial Balance August 31 Debit Credit $ 6,176 Supplies... . 880 Prepaid insurance. . 2,100 Equipment . 33,500 M. Harris, Capital... $40,000 Services revenue. 3,334 675 $43,331 $43,331Exercise 2-13 (30 minutes) Exe 2. (ay (a) (h) Bi Cash K. Spade, Capital Owner investment. Supplies Cash. Purchased supplies with cash. Equipment. Accounts Payable. Purchased equipment on credit. Cash Services Revenue. Received cash from customer for services Accounts Payable Cash. Made payment toward account payable Accounts Receivable. Services Revenue. Billed customer for services provided. ent Expense .. Cash. Paid for this perioa’s rental charge. Cash Accounts Receivable Received cash toward an account receivable. K. Spade, Withdrawal Cash. Owner withdrew cash. ercise 2-13 (concluded) Cash 100,760 (b) 1,260 45,500 |(e) 10,050 1,126 (g) 1,226 i 10,000 94,850 100,750 1,250 10,050 15,500 10,050 2,700 1,225 1,125 10,000 100,750 1,250 10,050 15,500 10,050 2,700 1,225 1,125 10,000Exel . Suppl |. Suppl © 2-19 (20 minutes) Chase, Capi Owner investment. Cash Purchased supplies with cash. CASA cee Services Revenue... ven Received cash from customer for services. s ‘Accounts Payable Purchased supplies on credit. Rent Expense .... Cash. Paid for rent expense. Accounts Payable Cash ‘Made partial payment toward account payable. Exercise 2-20 (15 minutes) Chase Company Trial Balance December 31 Debit Cash $ 5,000 Supplies. 3,500 Accounts payable. Chase, Capital Services revenue ...... es Rent expense . Totals 6,000 2,000 5,000 1,500 3,000 1,000 Credit $ 500 6,000 5,000 6,000 2,000 5,000 1,600 3,000 4,000