CH 2 Instructions 1 Record all necessary journal entries for the month 2 Create T-Accounts for each account used in the journal entries and a trial balance. 3 Create a Classified Balance Sheet for the month end date Chart of Accounts Cash Supplies Furniture Computer Equipment Trucks Logo Accounts Payable Notes Payable Common Stock Events for the month of February 2020 2/1/2020 Ben Brewester files paper work with the state to incorporate Cut It Out Landscaping 2/1/2020 Ben contributes $50,000 cash to the company in exchange for stock. 2/1/2020 Ben, acting on behalf of the business, talks to a local bank and agrees to issue a note for $75,000 due 3/31/21. 2/7/2020 Ben purchases a computer, desk, and chair for his office from the Office Supply Store. 2/10/2020 Ben orders grass seed, mulch, and rock from Green Thumb Nursery. The order will be delivered in a few weeks and payment is due 30 days after the goods are received. 2/13/2020 Ben purchases lawnmowers and other equipment from Mow-Town. 2/20/2020 Ben purchases two pick-up trucks from a local used car dealer. 2/22/2020 The order of grass seed, rock, and mulch arrived from Green Thumb Nursery. 2/24/2020 Ben pays a graphic designer $300 to create a logo for Cut It Out. 2/28/2020 Ben writes a check to Green Thumb Nursery for the balance owed. Ch 2 Documents Used Trucks Inc 123 Not-a-Lemon Lane Please Run, IL 55555 Date: 2/20/2020 Customer: Cutting it Close Landscaping Item Price 2013 Really Big Truck $22,750 Office Supply Store 123 Supply Lane Overstock, IL 55555 Date: 2/7/2020 Customer: Cutting It Out Landscaping Item Office Chair Desk Laptop Computer Subtotal Sales Tax $ Total Paid Price $125 $500 $850 2012 Not as Big Truck Subtotal $1,475 Sales Tax $17,250 $40,000 so $40,000 $25,000 $15,000 Total $1,475 $500 Cash Paid Amount Due 3/31/21 Amount Due by 5/31/18 $975 Mow-Town Inc 123 Runover Lane Blade, IL 55555 Date: 2/13/2020 Customer: Cutting It Out Landscaping Item Price Riding Mower $1,325 Push Mower $600 Gas Can $10 Gas Blower $75 Rake $12 Shovel $15 Weed Trimmer Subtotal Qty Green Thumb Nursery 123 Miracle Grow Lane Please Rain, IL 55555 Date: 2/22/2020 Customer Cutting it Close Landscaping Item Price Grass Seed $1,450 Decorative Rock $1,750 Mulch $2,200 2 3 3 5 5 3 $ $ $ $ $ $ $ Total 3,975 1,200 30 225 60 75 225 Subtotal $5,400 $75 $0 Sales Tax $ 5,790 Total $5,400 $0 $ Cash Paid Sales Tax $ 5,790 Amount Due 3/22/20 $5.400 Total $ Cash Paid 5,790
