1.

Blanch Bunny opened a printing business and completed the following transactions during May, 2022.

May 3

Blanch Bunny invested $85,000 cash and printing equipment with a

$24,000 fair value in a business called Bunny Printing

May 5

Paid $1,400 for office supplies.

May 8

Paid $5,000 for the next four months of rent on the office.

May 12

Purchased $5,400 of new office furniture on credit

May 13

Provided services to a client and collected $4,500 immediately.

May15

Paid $850 for this month's advertising to announce the new business.

May 20

Completed $2,700 of service for a client. This amount is to be received in 45 days.

May 22

Paid $360 for this month's internet services.

May 25

Paid for the office furniture purchased on May 12.

May 29

Received $800 payment from the customer given credit on May 20,2022.

May 31

Blanch Bunny withdrew $790 from the business for personal use.

Instructions:

Record the above transactions in the General Journal data entry form provided.

2.

Identify each of the following accounts as a revenue, expense, asset, liability, or equity by placing initials (R, Exp, A, L or Equity) in the blanks. Place your answers on

the data sheet.

(1)

Supplies

(2)

Accounts Payable

(3)

Service Revenue

(4)

Owner, Capital

(5)

Building

(6)

Prepaid Insurance

(7)

Rent Expense

(8)

Unearned Revenue

(9)

Sales

(10)

Owner Drawings

(11)

Cash

(12)

Accounts Receivable

3.The following accounts appear on either the Income Statement (IS) or Balance Sheet (BS). In the space provided next to each account write the letters, IS or BS, that identify the statement on which the account appears.

(1) Rent Expense

(6)

Owner , Capital

(2) Accounts Payable

(7)

Cash

(3) UnearnedRevenue

(8)

Notes Receivable

(4) Salaries Expense

(9)

Service Revenue

(5) Wages Payable

(10)

Office Equipment

4.

Jan 5

Cash .....................................................................................

8,700

Printing Revenue ............................................................

8,700

8

Equipment ............................................................................

4,500

Accounts Payable ............................................................

4,500

15

Salaries Expense .................................................................

2,800

Cash .................................................................................

2,800

22

Accounts Receivable............................................................

14,300

Printing Revenue................................................................

14,300

Required:

Post the above general journal entries to the General Ledger and update the balances on the data worksheet.

Note: These journal entries represent only part of the month. The company will have more transactions to record which have not yet occurred. Please record the four journal entries on the list into the General Ledger.