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Problem 2-2 (Algo) Accounting cycle through unadjusted trial balance [LO2-3, 2-4]

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The following is the post-closing trial balance for the Whitlow Manufacturing Corporation as of December 31, 2020.

Account Title	Debits			Credits
Cash		4,100
Accounts receivable		1,100
Inventory		4,100
Equipment		10,100
Accumulated depreciation					2,600
Accounts payable					2,100
Accrued liabilities					0
Common stock					9,000
Retained earnings					5,700
Sales revenue					0
Cost of goods sold		0
Salaries expense		0
Rent expense		0
Advertising expense		0
Totals		19,400			19,400

The following transactions occurred during January 2021:

Jan.		1		Sold merchandise for cash, $2,600. The cost of the merchandise was $1,100. The company uses the perpetual inventory system.
		2		Purchased equipment on account for $4,600 from the Strong Company.
		4		Received a $200 invoice from the local newspaper requesting payment for an advertisement that Whitlow placed in the paper on January 2.
		8		Sold merchandise on account for $4,100. The cost of the merchandise was $1,900.
		10		Purchased merchandise on account for $9,050.
		13		Purchased equipment for cash, $900.
		16		Paid the entire amount due to the Strong Company.
		18		Received $4,000 from customers on account.
		20		Paid $900 to the owner of the building for January’s rent.
		30		Paid employees $2,100 for salaries for the month of January.
		31		Paid a cash dividend of $900 to shareholders.

Problem 2-2 (Algo) Part 4

4. Prepare an unadjusted trial balance as of January 31, 2021.

WHITLOW MANUFACTURING CORPORATION
Unadjusted Trial Balance
January 31, 2021
Account Title	Debits	Credits
Totals	$0	$0

Answer 1

WHITLOW MANUFACTURING CORPORATION Unadjusted trial Balance January 31,2021
Account title	Debit	credit
Cash	1300
Accounts receivable	1200
Inventory	10150
Equipment	15600
Accumulated depreciation		2600
Accounts payable		11150
Accrued liabilities		200
common stock		9000
Retained earning		5700
Dividend	900
sales revenue		6700
cost of goods sold	3000
salaries expense	2100
Rent expense	900
Advertising expense	200
Total	35350	35350

#Cash = 4100 Beg [phone]+4000-900-2100-900=1300

Accounts receivable = 1100+4100 (trans 8)-4000 (trans 18)=1200

Inventory = 4100-1100-1900+9050=10150

Equipment = Beg Bal + Jan 2 + transaction in 13

              =10100+4600+ 900 =15600

Accounts payable =2100+9050=11150

sales revenue =2600+4100=6700

cost of sales= 1100+1900=3000