Cash Accounts Receivable Supplies Prepaid Insurance Equipment Debit $ 5,400 Credit 2,800 1300 2400 60,000 Notes Payable $40,000 Accounts Payable 2,400 Ray Watson, Capital 30,000 Ray Watson, Drawing 1,000 Service Revenue 4,900 Salaries Expense 3,200 Utilities Expense Advertising Expense 800 400 $77,300 $77,300 Other data: 1. Insurance expires at the rate of $200 per month. 2. $1,000 of supplies are on hand at August 31. 3. Monthly depreciation on the equipment is $900. 4. Interest of $500 on the notes payable has accrued during August. (a) Instructions Prepare a worksheet. 10