Consider the following transactions for Rolston Enterprises: Feb. 3 Received $46,000 cash from Derek Rolston as an investment in the business. 5 Purchased office furniture for $10,000, making @ down payment of paying $5,400 and agreeing to pay the balance owed by month-end. 7 Paid advertising costs of $6,000 7 8 Paid office wages of $4,000 " 16 Purchased office supplies on account, $1,600 18 Provided-services worth $20,000 on account 20 Processed a $6,800 cash withdrawal from the business for Derek Rolston 22, Retumed 20% of the office supplies purchased on Feb. 16 26 Paid the balance related to the office funiture acquired on March 5 O* 29. Collected $11,600 from customers on account. Required a Establish T-accounts for the following: Cash, Accounts Receivable, Office : Supplies, Office Fumiture, Accounts Payable, Capital, Drawing, Service Revenuo, Wage Expense, and Advertising Expense. Enter the transactions in the T-accounts, and determine the balance of each account. , b. Prepare a Trial Balance. ’Aniwer to problem 4 (a) Rolston Enterprises Cash 7 Accounts Receivable 33 46,000 [3/5 5,400 3/18 20,000 [3/29 11,600 3/29 11,600 | 3/7 6,000 38. 4,000 3/20 6,800 $8,400 327 4,600 $30,800 Office Supplies Office Furniture 316 1,600 | 3/32 320 35 10,000 si230 | Accounts Payable Derek Rolston (Capital) 3B 320 [3/5 7,600 3/3 46,000 327 4,600 | 3/16 1,600 $1,280 | Derek Rolston, Drawing Service Revenue 320 6,800 3/18 30,000 Wage Expenses Advertising Expense a8 4,000 a7 6,000 14Cash Accounts Receivable Office Supplies Office Furniture Accounts Payable Derek Rolston, Capital Derek Rolston, Drawing Service Revenue Wage Expense Advertising Expense (b) Rolston Enterprises ‘Trial Balance February 29, 2000 Debit 30,800 8,400 1,280 10,000 6,800 4,000 6,000 $67,280 Credit 1,280 46,000 20,000 15