Journal Entries and T Accounts - Trial Balance Example - Part 1 of 2

This video tutorial covers Part 1 of an accounting example, focusing on journal entries and T tables. It begins with an overview of the accounting cycle and setting up T tables for various accounts. The video then walks through several transactions, including issuing common stock, recording consultation revenue, employee payments, prepaid rent, accounts receivable collections, and miscellaneous expenses. Each transaction is explained with corresponding journal entries and updates to T tables. The video concludes with a preview of the next steps, which involve creating a trial balance.

What is the journal entry for the prepaid rent of $24,000?

Explain the concept of unearned revenue and how it is recorded.

What is the accounting treatment for the purchase of land worth $120,000?

Why is there no journal entry for the contract signed for consulting services to be completed next year?