1-Jul Five individuals each invested $50,000 to establish the corporation. Each individual received 10,000 shares with a $1 par.
1-Jul With the capital, managers purchased a new building to use as retail space for $100,000 and fixtures worth $20,000
1-Jul Management also purchased a 1-year property insurance policy, paying $2,500.
3-Jul After negotiating with suppliers, Montana bought 500 units of inventory for $10 each, on account. The original price before negotiations was $12.
7-Jul The storefront opened and Montana had $2,500 in sales on account. They sold 100 units in their grand opening.
9-Jul Customers came in and purchased another 20 units.
10-Jul Montana also provides services to customers. A customer pays $1000 for services to be provided by the end of the month.
15-Jul Montana pays half of the amount owed to its supplier.
20-Jul Montana receives $1000 of the amount owed from customers from opening day sales.
25-Jul Montana enters into a contract with a customer to provide services. The customer will pay $2,000 upon completion
31-Jul Montana pays a dividend of $1/share to its owners.
Prepare journal entries and an unadjusted trial balance