Business School 5 Exercise 2. business transactions for Dr. House, DMD., opened a dental clinic on August 1, 2015. The August are shown below: exchange for 1,000 shares of Aug. Dr. House invested $280,000 cash in the business i 1 capital stock. amount, $60.000 applied to Aug. 4 Land and a building were purchased for $400,000. Of this the land and $340,000 to the building. A cash payment of $80,000 was made at the time of the purchase, and a note payable was issued for the remaining balance. Medical instruments were purchased for $75,000 cash. Aug. Aug. 9 16 Office fixtures and equipment were purchased for $25,000. Dr. House paid $10,000 at the time of the purchase and agreed to pay the entire remaining balance in 15 days. Office supplies expected to last several months were purchased for $4,200 cash. Aug. 21 ug. 24 Dr. House billed patients $13,000 for services rendered. Of this amount, $1,000 was Aug. 27 A received in cash, and $12,000 was billed on account (due in 30 days). $400 invoice was received for several newspaper advertisements placed in August. The entire amount is due on September 8. Received a $500 payment on the $12,000 Aug. Aug. 31 Paid employees $2.200 for salaries earned in August 28 account receivable recorded August 24 A partial list of account titles used by Dr. House includes: Accounts Receivable Office Supplies Notes Payable Accounts Payable Capital Stock Office Fixtures and Equipment Land Building Service Revenue Advertising Expense Salary Expense Medical Instruments Instructions a. Prepare journal entries (including explanations) for each transaction. b. Post each transaction to the appropriate ledger accounts (use the T account format). C. Prepare a trial balance dated August 31, 2015