III. EXCERSICES

Ex. 1

UNE University and Associates is a financial planning service. The account balances at December 31, 2016 are shown by the following alphabetical list:

Accounts Payable $ 10,000 Accounts Receivable 19,000 Automobiles 27,500 Building 120,000 Cash 20,500 Computer 22,000 Computer Software 4,200 Land 42,000 Nancy Cole, Capital 184,700 Notes Payable 95,000 Notes Receivable 8,100 Office Furniture 23,400 Office Supplies 800 Technical Library 2,200

Instructions Prepare a trial balance with the accounts arranged in financial statement order.

Ex. 2 (BONO)

For the accounts listed below, indicate if the normal balance of the account is a debit or credit.

Normal Balance Accounts Debit or Credit

1. Service Revenue _________________

2. Rent Expense _________________

3. Accounts Receivable _________________

1-6

4. Accounts Payable _________________

5. Owner’s Capital _________________

6. Office Supplies _________________

7. Insurance Expense _________________

8. Owner’s Drawing _________________

9. Office Building _________________

10. Notes Payable ________________