Question

t-accounts
assets = liabilities + equity
contributed capital + retained earnings
cash = salaries payable + common stock - dividends + service revenue - salaries expense
29,000 | 21,000
2,100 | 700
900 | 5,400
| 1,900
| 2,360
accounts receivable
4,000 | 900
land
21,000 |
building
40,000 |
equipment
19,000 |
salaries payable
700 | 4,600
notes payable
5,400 | 40,000
common stock
| 29,000
| 19,000
dividends
1,900 |
service revenue
| 4,000
| 2,100
salaries expense
1,400 |
4,600 |
property tax expense
700 |
advertising expense
260 |

Explanation:

Calculate T-account balances

Using the T-Account Balance Calculation knowledge point

$$
LATEXBLOCK0
$$

Prepare the Trial Balance

Using the Trial Balance Preparation knowledge point
We list all accounts with their respective debit or credit balances to verify that total debits equal total credits.

• Debits:
• Cash: \(640\)
• Accounts Receivable: \(3,100\)
• Land: \(21,000\)
• Building: \(40,000\)
• Equipment: \(19,000\)
• Dividends: \(1,900\)
• Salaries Expense: \(6,000\)
• Property Tax Expense: \(700\)
• Advertising Expense: \(260\)
• Total Debits = \(640 + 3,100 + 21,000 + 40,000 + 19,000 + 1,900 + 6,000 + 700 + 260 = 92,600\)

• Credits:
• Salaries Payable: \(3,900\)
• Notes Payable: \(34,600\)
• Common Stock: \(48,000\)
• Service Revenue: \(6,100\)
• Total Credits = \(3,900 + 34,600 + 48,000 + 6,100 = 92,600\)

Verify the Accounting Equation

To ensure conceptual completeness, we verify the fundamental accounting equation:

$$ \text{Assets} = \text{Liabilities} + \text{Equity} $$

• Total Assets = \(\text{Cash} + \text{Accounts Receivable} + \text{Land} + \text{Building} + \text{Equipment} = 640 + 3,100 + 21,000 + 40,000 + 19,000 = 83,740\)
• Total Liabilities = \(\text{Salaries Payable} + \text{Notes Payable} = 3,900 + 34,600 = 38,500\)
• Total Equity = \(\text{Common Stock} - \text{Dividends} + \text{Service Revenue} - \text{Salaries Expense} - \text{Property Tax Expense} - \text{Advertising Expense}\)
• Total Equity = \(48,000 - 1,900 + 6,100 - 6,000 - 700 - 260 = 45,240\)
• Liabilities + Equity = \(38,500 + 45,240 = 83,740\)

Answer:

Based on the T-accounts provided in the image, here are the calculated balances for each account and the resulting Trial Balance:

Account Balances

• Assets:
• Cash: \(640\) (Debit)
• Accounts Receivable: \(3,100\) (Debit)
• Land: \(21,000\) (Debit)
• Building: \(40,000\) (Debit)
• Equipment: \(19,000\) (Debit)

• Liabilities:
• Salaries Payable: \(3,900\) (Credit)
• Notes Payable: \(34,600\) (Credit)

• Equity:
• Common Stock: \(48,000\) (Credit)
• Dividends: \(1,900\) (Debit)
• Service Revenue: \(6,100\) (Credit)
• Salaries Expense: \(6,000\) (Debit)
• Property Tax Expense: \(700\) (Debit)
• Advertising Expense: \(260\) (Debit)

---

Trial Balance

Account Title	Debit (\( \))	Credit (\( \))
Accounts Receivable	3,100
Land	21,000
Building	40,000
Equipment	19,000
Salaries Payable		3,900
Notes Payable		34,600
Common Stock		48,000
Dividends	1,900
Service Revenue		6,100
Salaries Expense	6,000
Property Tax Expense	700
Advertising Expense	260
Total	92,600	92,600