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Bob Sample and other student investors opened Campus Carpet Cleaning, Inc.

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January 1st, 2018

Bob Sample and other student investors opened Campus Carpet Cleaning, Inc. on September 1, 2012. During the first month of operations, the following transactions occurred.Sept. 1Stockholders invested $20,000 cash in the business.2Paid $1,000 cash for store rent for the month of September.3Purchased industrial carpet-cleaning equipment for $25,000, paying $10,000 in cash and signing a $15,000 6-month, 12% note payable.4Paid $1,200 for 1-year accident insurance policy.10Received bill from the Daily News for advertising the opening of the cleaning service, $200.15Performed services on account for $6,200.20Paid a $700 cash dividend to stockholders.30Received $5,000 from customers billed on September 15.The chart of accounts for the company is the same as for Sierra Corporation except for the following additional account: Advertising Expense.Instructions(a) Journalize the September transactions.(b) Open ledger accounts and post the September transactions.(c) Prepare a trial balance at September 30, 2012.

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