Beverly Crusher is a licensed CPA. During the first month of operations of her business (a soleproprietorship), the following events and transactions occurred.

April 2 Invested $32,000 cash and equipment valued at $14,000 in the business.

2 Hired an administrative assistant at a salary of $290 per week payable monthly.

3 Purchased supplies on account $700. (Debit an asset account)

7 Paid office rent of $600 for the month.

11 Completed a tax assignment and billed client $1,100 for services rendered. (Use service revenue account)

12 Received $3,200 advance on a management consulting engagement.

17 Received cash of $2,300 for services completed for Ferengi Co.

21 Paid insurance expense $110.

30 Paid administrative assistant $1,160 for the month.

30 A count of supplies indicated that $120 of the supplies had been used.

30 Purchased a new computer for $6,100 with personal funds.(the computer will be used exclusively for business purposes)

Instructions

(a) Journalize the transactions in the general journal.

(b)Prepare a trial balance

(c) Prepare the following financial statements

• Income statement
• balance sheet
• cash flow statement