Amos Faraday completed these transactions during the first half of December: Invested $14,000 to start a consulting practice. Amos Faraday, Consultant. Paid monthly office rent. $500. Dec. 2 223 4 5928 12 18 Paid cash for a Dell computer. $2.000. The computer is expected to remain in service for five years. Purchased office lurniture on account, $3.600. The furniture should last for five years. Purchased supplies on account. $300. Performed consulting service for a client on account. $1,700. Paid utility expenses. $200. Performed service for a client and received cash for the full amount of $800.

Required 1. Open T-accounts in the ledger: Cash: Accounts Receivable: Supplies: Equipment: Furniture: Accounts Payable: Amos Faraday. Capital: Amos Faraday. Withdrawals: Service Revenue: Rent Expense: Utilities Expense: and Salary Expense. 2. Journalize the transactions. Explanations are not required. 3. Post to the T-accounts. Key all items by date, and denote an account balance as Bal. Formal posting references are not required. 4. Prepare a trial balance at December 18. In the Continuing Exercise of Chapter 3, we will add transactions for the remainder of December and prepare a trial balance at December 31.