Create general journal and T-Account for these transactions:

1 June 1 Your investor contributed $5 million cash to purchase a share of your company which you record as common stock. 2 June 1 Signed a 10-year note for a $1.5 million bank loan which includes a 4% annual interest rate, . Purchased property A with $120,000 cash. (Reminder \"Real Estate", not "PPE") Received a $7,000 rent payment from tenants for May rental of one of your properties (the tenants are late in their payment) Purchased property B with $200,000 cash. 6 June 6 Paid $12,000 wages owed to employees for work conducted in May. 7 Received a $5,000 rent payment for the full month ofJune (again tenants were late and should have paid on June 1). 8 June 8 Purchased property C with $220,000 cash. 9 June 9 Received $6,000 cash for consulting conducted in May. Paid $500 for utilities that were invoiced in, and expensed in, May. You have secured an advertising billboard over the freeway. The design of the billboard costs $1,000 (which you pay today), and the monthly advertising fee will be $4000 (payable monthly - and only recognized at end of each month). You will receive 10 June 10 11 June 11 the advertising in June for free as part of the contract promotion. You made an agreement with a web-developer to have your website redesigned. The cost will be $3000 and will be 12 June 12 completed in August, payable on completion. 13 June 13 You performed real estate consulting services this week and invoiced the client $14,000. 14 June 14 Paid a $7,000 invoice for legal fees incurred on May 27. You purchased, with cash, a new $55,000 SUV to get you around town (previously you walked or used public transport). The expense associated with this automobile will be recognized each year for ve years, beginning after one year of the asset's life. (Account name AUTOMOBILES) Received $5,000 cash today for the rental of your function hall associated with Property B for rental today June 16. 15 June 15 16 June 16 17 June 17 Purchased property D with $160,000 cash. 18 June 18 Purchased $1,000 ofce supplies for cash. 19 June 19 Purchased property E with $80,000 cash. 20 June 20 Received a $4,000 rent payment for the month ofJuly. Purchased a $350,000 building with $100,000 cash and a note to the seller for the remainder. The building is to be used as 21 June 21 your office (i.e. you will not rent this). This will be recorded under PPE. Paid $18,000 rent for a temporary office for July and August until your new building is ready (your parents kicked you (i.e. 22 June 22 your office) out of their garage as they also bought a new car) Congratulations! The Boston Real Estate Society awarded your company a $10,000 cash prize for excellence in services to the 23 |June 23 profession. We will need to include this as revenue. (For the purposes of this activity, let's account for it as miscellaneous 24 |June 24 Received a $7,000 payment for a consulting job that will be performed in July. 25 June 25 Purchased property F with $155,000 cash. 26 June 26 Received a $7,500 rent payment for the month of July. 27 June 27 Performed $2,000 consulting services today and will prepare and send the invoice this week. 28 June 28 Received a $6,000 rent payment for the month of July. 29 June 29 Paid your monthly $5,000 radio advertising subscription for July advertising (which unfortunately increased to $5000 from $4500) 30 June 30 Prepaid the $4,000 billboard advertising for the month of July. Adjusting Entries 311 June 30 Recognize the June radio advertising incurred ($4,500). 32 June 30 Recognize your June TV advertising incurerd ($2,000) which you have not yet paid for. 33 June 30 Recognize the interest incurred on the note from transaction 2 for June, to be paid in July. 34 June 30 Recognize $20,000 of wages owed for June, that will be paid to employees early July. 35 June 30 Recognize the entire yearly depreciation on your computer equipment of $3,000. 36 June 30 Recognize the $15,000 rent revenue for June ($10,000 of which was prepaid in May)