Reference no: EM132489400

Refer to the 6.35% Notes Due 2040. If this note were retired (paid back early) at the end of fiscal year 2018, what would be the gain/loss from this early bond retirement? On July 31, 2022, the general ledger of Ivy Services Inc. showed the following balances:

Cash $4,160,

Accounts Receivable $1,560,

Supplies $520,

Equipment $5,200,

Accounts Payable $4,260,

Common Stock $3,640, and

Retained Earnings $3,540.

During August, the following transactions occurred.

Aug. 3 Collected $1,250 of accounts receivable due from customers.

5 Received $1,350 cash for issuing common stock to new investors.

6 Paid $2,810 cash on accounts payable.

7 Performed legal services of $6,760, of which $3,120 was collected in cash and the remainder was due on account.

12 Purchased additional equipment for $1,250, paying $420 in cash and the balance on account.

14 Paid salaries $3,640, rent $940, and advertising expenses $285 for the month of August.

18 Collected the balance for the services performed on August 7.

20 Paid cash dividend of $520 to stockholders.

24 Billed a client $1,040 for legal services performed.

26 Received $2,080 from Laurentian Bank; the money was borrowed on a bank note payable that is due in 6 months.

27 Agreed to perform legal services for a client in September for $4,680. The client will pay the amount owing after the services have been performed.

28 Received the utility bill for the month of August in the amount of $285; it is not due until September 15.

31 Paid income tax for the month $520.

Question A) Using T-accounts, enter the beginning balances to the ledger.

Question B) Journalize the August transactions. If no entry is required, put in "No entry" for the account titles and enter 0 for the amounts. Record the journal entries in the order presented in the problem.

Question C) Post the August journal entries to the ledger. Post the entries in the order of information presented in the question.

Question D) Draw up a trial balance on August 31, 2022.