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After several months of planning, John starts an Accounting firm called John consultancy. During his first month he performed several transactions Jan 1, 2020: Invested

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After several months of planning, John starts an Accounting firm called John consultancy. During his first month he performed several transactions Jan 1, 2020: Invested $45,000 in cash and office equipment that had a fair value of $20,000 as the start-up investment in the business. 1. Jan 3: Purchased office supplies $2500 and additional equipment $3600 on account. 2. Jan 4: John paid the rent for the office $750 to plaza owner 3. Jan 7: He equipped the shop by installing the new equipment that she bought on credit for 120005.this amount is to be repaid in 3 equal payment by the end of Jan-Feb-March. 4. Jan 10: Provided accounting services in total of $6500 to Mr. Smith. Mr. Smith paid 2500 of the amounts in cash and balance is settled on account. 5. Jan 14: Paid the office supplies purchased on credit on Jan 3. 6. Jan 15: Payment of utility bill $860, Salaries $2600, Advertisement Expense $300 by cash. 7. Jan 17: Received received S2250 cheque in the mail for service provided on account on Jan 10 8. Jan 18: John provided service to Anna for $7500 on credit. 9. Jan 18: He interviewed a job applicant and it was successful and she will receive 400$ per week starting February 10. Jan 19: Cash receipt of $3000 from service provided to Anna Jan 18. 11. Jan 21: John withdrew $800 cash from the business for personal use. 12 Jan 25: Office supplies were used consumed for $350. 13. Jan 27: John Incurred few other expenses Travel Expenses $550, Legal & professional Expense $500 paid by cheque. 14. Jan 29: He paid wages 1000$ to an assistant who is working with him. 15. Jan 31: She paid an installment on the accounts payable credited on Jan 7. 16. Jan 31: At the end of the month it was found that Office maintenance expense $800 and telephone and internet expense were due Required: 1. Prepare the journal entries for the preceding transactions. (10pts) 2. Post the journal entries into their respective T accounts or Ledger accounts. Prepare the trial Balance as on January 31,2020. (10pts) Prepare an income statement and a statement of changes in equity for the year ended January 31,2020 (20pts) Prepare balance sheet at January 31,2020. (10pts

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