Creative Designs, a firm providing art services for advertisers, began business on June 1. The following accounts in its general ledger are needed to record the transactions for June: Cash; Accounts Receivable; Supplies; Office Equipment; Accounts Payable; Common Stock; Dividends; Service Fees Earned; Rent Expense; Utilities Expense; and Salaries Expense. June 1 Lisa Ryan invested $12,000 cash to begin the business; she received common stock for her investment. 2 Paid rent for June, $1,350. 3 Purchased office equipment on account, $6,800. 6 Purchased art materials and other supplies costing $4,200; paid $2,200 down with the remainder due within 30 days. 11 Billed clients for services, $7,600. 17 Collected $3,650 from clients on account. 19 Paid $3,400 on account to office equipment company (see June 3 transaction). 25 Lisa Ryan received a $2,400 dividend. 30 Paid utility bill for June, $750. 30 Paid salaries for June, $2,900. a. Using the accounting equation, record each of the transactions in columnar format. Use negative signs with your answers, when appropriate. Cash + Accounts Receivable + Supplies + Office Equipment = Accounts Payable + Common Stock + Retained Earnings June 1 $ 0 0 0 $ $ $ o $ 0 TA 0 ta 0 2 0 0 0 0 0 0 0 3 0 0 0 0 0 0 6 0 0 0 0 0 0 0 11 0 0 0 0 0 0 0 17 0 0 0 0 0 0 0 19 0 0 0 0 0 25 0 0 0 0 0 0 30 0 0 0 0 0 0 0 30 0 0 0 0 0 0 0 $ 0 + $ 0 + $ 0 + $ 0 = $ 0 + $ 0 + $ 0 b. Use journal entries to record the transactions for June in the general journal. Description June Date Debit Credit 1 $ 0 $ 0 Owner purchased common stock for cash. 2 o O o o Paid June rent. 3 0 oo 0 Purchased office equipment on account. 6 0 0 Cash 0 0 0 0 Purchased supplies; paid down payment with balance due in 30 days. 11 0 0 0 0 Billed clients for services. 17 0 o o 0 Collections from clients on account. 19 0 o o 0 Payment on account. 25 0 0 0 Dividend paid to shareholders. 30 0 o O 0 Paid utilities bill for June. 30 0 0 0 0 Paid salaries for June