Rhoades Tax Services began business on December 1, 2018. Its December transactions are as follows.

Dec. 1 Rhoades invested $20,000 in the business in exchange for common stock.

2 Paid $1,200 cash for December rent to Bomba Realty.

2 Purchased $1,080 of supplies on account.

3 Purchased $9,500 of office equipment; paying $4,700 cash with the balance due in 30 days.

8 Paid $ 1,080 cash on account for supplies purchased December 2.

14 Paid $900 cash for assistant's wages for 2 weeks' work.

20 Performed consulting services for $3,000 cash.

28 Paid $900 cash for assistant's wages for 2 weeks' work.

30 Billed clients $7,200 for December consulting services.

31 Paid $ 1,800 cash for dividends.

Additional information:

1. Supplies available at December 31 are $710.

2. Accrued wages payable at December 31 are $270.

3. Depreciation for December is $ 120.

4. Rhoades has spent 30 hours on an involved tax fraud case during December. When completed in January, his work will be billed at $75 per hour. (The account Fees Receivable is used to reflect amounts earned but not yet billed.)

REQUIRED:

a. Record these transactions and any necessary adjusting entries using the financial statement effects template.

b. Set up a general ledger in T-account form for the following accounts: Cash; Fees Receivable; Supplies; Office Equipment; Accumulated Depreciation-Office Equipment; Accounts Payable; Wages Payable; Common Stock; Retained Earnings; Consulting Revenue; Supplies Expense; Wages Expense; Rent Expense; and Depreciation Expense.

c. Record the above transactions in journal entry form and post these entries to their T-accounts (key numbers in T-accounts by date).

d. Prepare an unadjusted trial balance at December 31, 2018.

e. Journalize the adjusting entries at December 31 in journal entry form, drawing on the information above. Then post adjusting entries to their T-accounts and prepare an adjusted trial balance at December 31, 2018.

f. Prepare a December 2018 income statement and statement of stockholders' equity, and a December 31, 2018, balance sheet.

g. Record its closing entries in journal entry form. Post these entries to their T-accounts.

h. Prepare a post-closing trial balance at December 31, 2018.