Accounting Cycle Project For the past several years, Simon Jones has operated a part-time consulting business from his home in Huntsville, AL. As of September 1, 2020, Simon decided to move to rented quarters and to operate the business, which was to be known as Jones Consulting, on a full-time basis. Jones Consulting entered into the following transactions: Sept. 1. The following assets were received from Simon Jones: cash, $20,000, accounts receivable, $14,700, supplies, $3,300, and office equipment, $12,000. The following liabilities were also received: accounts payable, $3,300, salaries payable, $590, and utilities payable, $110. Sept. 1. Paid 3 months' rent on a lease rental contract, $6,000. Sept. 2. Paid the premiums on property and casualty insurance policies for one year, $4,200. Sept. 4. Received cash from clients as an advance payment for services to be provided and recorded it as unearned fees, $9.400. Sept. 5. Purchased additional office equipment on account from Smith Office Supply Co., $8,000. Sept. 6. Received cash from clients on account, $11,700. Sept. 10. Paid cash for a newspaper advertisement, $350. Sept. 12. Paid Smith Office Supply Co. for part of the debt incurred on Sept. 5, $6,400. Sept. 12. Provided services on account for the period September 1 - 12, $21,900. Sept. 14. Paid receptionist for two weeks' salary, $1,650. Sept. 17. Received cash from cash clients for fees earned during the period September 1 -16, $6,600. Sept. 18. Paid cash for supplies, $725. Sept. 20. Provided services on account for the period September 13-20, $16,800. Sept. 24. Received cash from cash clients for fees earned for the period, September 17 - 24, $4,450. 1P Sept. 26. Received cash from clients on account, $26,500. Sept. 27. Paid receptionist for two weeks' salary, $1,650. Sept. 29. Paid telephone bill for September, $540. Sept. 31. Paid electricity bill for September, $760. Sept. 31. Received cash from cash clients for fees earned for the period, September 25 - 31, $5,160. Sept. 31. Provided services on account for the remainder of September, $2,590. Sept. 31. Simon withdrew $18,000 for personal use. Instruction: Journalize the above transactions in a two-column journal. Use the following account numbers as posting references: 12 14 15 16 52 18 19 21 Cash 31 Accounts Receivable 32 Supplies 41 Prepaid Rent 51 Prepaid Insurance Office Equipment 53 Accumulated Depreciation - Office Equipment 54 Accounts Payable 55 Salaries Payable 59 Unearned Fees 61 Advertising Expense 65 Simon Jones - Capital Simon Jones - Drawing Fees Earned Salary Expense Rent Expense Supplies Expense Depreciation Expense Insurance Expense Miscellaneous Expense Utilities payable Notes Payable 22 23 25 Jones Consulting - General Journal Page 6 Credits Debits Account Name Posting Reference 2020 Month- Day 81 P a
