1. Accounting Equation Points 30 Transactions: 1. Jada B invested $800,000 in cash to start up his company. 2. A building was purchased for $350,000 with a down payment of $100,000 and a mortgage note was signed for the balance of $250,000. 3. Equipment was purchased for $400,000. A down payment of $200,000 cash was made and a note was signed for the balance of $200,000. 4. Supplies of $45,000 were purchased with cash this will be used in the future. 5. Services were rendered to customers for $375,000 and received cash of $300,000 and the remaining $75,000 would be paid later by the customers. 6. Paid the office secretary's salary of $40,000. 7. Paid $3,500 for utilities used in the business. 8. Five customers paid cash of $230,000 for work to be performed in future months 9. The Company paid cash of $12,000 for future 12 months insurance. 10. Dividend of $50,000 cash was paid to the Jada B. Requirements: A. For each of the following transactions, apply the accounting equation Asset = Liability and Owner Equity. Use a spreadsheet similar to your lab to prepare each transaction. B. Identify the effects as reflected in the accounting equation. Use "+" to indicate an increase and a "-" to indicate a decrease. N/A for not effect. Similar to your lab 2. Journal Entries Points 50 Janold Printing Company completed these transactions during the month of August of the current year; Janold Printing Inc. began a printing services and the Owner Janold B invested $200,000.00 cash and an Aug. 1 industrial printing machine valued at $250,000.00 3 Purchased a Copier on credit by promised to pay sometime in the future for $10,500.00 on credit. Purchased printing supplies for $15,000; paid 10,000.00 in cash and the remaining $5,000.00 will be paid 5 at a later date. Purchased inks totaling $3,500.00 with cash 7 Paid $18,000 for a six months insurance policy to be used monthly. Completed work for Mrs. Manlaugh Always Inc. and immediately received a payment of $20,000 cash. 6 10 12 15 Purchased Materials totaling $5,000.00; paid $3,000.00 and the remaining amount of $2,000.00 will be paid later. Completed work for Mr. Happy Cole Inc. on credit for $15,000.00 Paid the remaining amount for the supplies purchased on November 5 Received $10,000 as part payment from Mr. Happy Cole Inc. for the service performed om November 15. 17 19 25 28 Received $100,000 from a client for Printing services to be rendered in September. Paid $2,380 cash for the August utility bills. Paid the owner Janold $20,000 cash as dividend. 30 Requirements: A. Prepare the general journal entries to record these transactions, B. Post to the ledger and C. Prepare the Unadjusted Trail Balance Points 20 3. Financial Statement Below is the Unadjusted Account Balance (format is scramble) for Funfair Happy Inc. Accounts Amounts 25,200.00 Accounts payable Accounts receivable Beauty supplies Beauty supplies expense Building Cash Common Stock Dividends Equipment 65,700.00 35,440.00 21,800.00 210,210.00 580,249.00 425,000.00 23,800.00 135,000.00 Insurance Payable 48,000.00 Accounts Amounts Land 148,200.00 Notes Payable 48,000.00 Notes Receivable 58,000.00 Prepaid Rent 96,000.00 Rent expense 6,000.00 Retained Earning 210,000 Revenue 491,881.00 23,400.00 Salaries expense Salaries Payable 18,302.00 Unearned Revenue 150,416.00 Utilities Expense 13,000.00 Totals $2,833,598.00 Requirements: Prepare the following statement: A. The Income Statement, B. The Statement of Retained Earnings C. The Balance Sheet. The sole stockholder, made no additional investments in the company during the year