$1.$ Journalize each transaction in a two$-$column journal starting on Page $1,$ referring to the chart of accounts in selecting the accounts to be debited and credited. $($Do not insert the account numbers in the journal at this time.$)$

For the past several years, Steffy Lopez has operated a part$-$time consulting business from his home. As of July $1,20$Y$2,$ Steffy decided to move to rented quarters and to operate the business, which was to be known as Diamond Consulting, on a full$-$time basis. Diamond entered into the following transactions during July:

Jul. $1$ The following assets were received from Steffy Lopez in exchange for common stock: cash, $$12,500$; accounts receivable, $$20,800$; supplies, $$3,100$; and office equipment, $$7,500.$ There were no liabilities received.

$1$ Paid two months$$ rent on a lease rental contract, $$4,800.$

$2$ Paid the premiums on property and casualty insurance policies, $$4,620.$

$4$ Received cash from clients as an advance payment for services to be provided, and recorded it as unearned fees, $$5,000.$

$5$ Purchased additional office equipment on account from Office Station Co$.,$ $$6,500.$

$6$ Received cash from clients on account, $$15,100.$

$10$ Paid cash for a newspaper advertisement, $$500.$

$12$ Paid Office Station Co$.$ for part of the debt incurred on July $5,$ $$5,200.$

$12$ Recorded services provided on account for the period July $112,$ $$13,300.$

$14$ Paid receptionist for two weeks$$ salary, $$1,700.$

Record the following transactions on Page $2$ of the journal:

Jul. $17$ Recorded cash from cash clients for fees earned during the period July $117,$ $$9,450.$

$18$ Paid cash for supplies, $$600.$

$20$ Recorded services provided on account for the period July $1320,$ $$6,650.$

$24$ Recorded cash from cash clients for fees earned for the period July $1724,$ $$5,000.$

$26$ Received cash from clients on account, $$12,000.$

$27$ Paid receptionist for two weeks$$ salary, $$1,700.$

$29$ Paid telephone bill for July, $$300.$

$31$ Paid electricity bill for July, $$675.$

$31$ Recorded cash from cash clients for fees earned for the period July $2531,$ $$5,400.$

$31$ Recorded services provided on account for the remainder of July, $$3,000.$

$31$ Paid dividends, $$12,500.$

CHART OF ACCOUNTS

Diamond Consulting

General Ledger

ASSETS

$11$ Cash

$12$ Accounts Receivable

$14$ Supplies

$15$ Prepaid Rent

$16$ Prepaid Insurance

$18$ Office Equipment

$19$ Accumulated Depreciation

LIABILITIES

$21$ Accounts Payable

$22$ Salaries Payable

$23$ Unearned Fees

EQUITY

$31$ Common Stock

$32$ Retained Earnings

$33$ Dividends

REVENUE

$41$ Fees Earned

EXPENSES

$51$ Salary Expense

$52$ Rent Expense

$53$ Supplies Expense

$54$ Depreciation Expense

$55$ Insurance Expense

$59$ Miscellaneous Expense