For the past several years, Stetty Lopez has operated a part-fime consuling business trom his home. As of July 1,2022, Steffy decided to move to rented puarters and to coerate the businesh, which was to be known as Diamond Consuting, on a fult-lime basis. Diamond eniered into the following transactions during duy: Ju. 1 The folowing assets were received trom Steffy Lopez in exchango for common stock: caah, $14,000; acoounts receivabie, 520,800 ; supplies, $3,100; and office equipenent, $7,500. There were no labaties received. 1. Paid wo monthe' rent on a leate rental contract, $4,600. 2. Paid the promiums on propety and casualy insurance poicles, 54620 4 Recelved cash trien clents as an advmoe payment for services to be provided, and recorded it as unearned lees, 95.000 : 5. Purchased additional office equprent on acoount from CHice Station Co, 56.500 . 6 Fecelved cash from clents on account, $15,100. 10 Paid cash tor a newspaper advertisemen, $400. 12. Paid Ofice Station Co, for part of the dobt incurred on July 5,55,200. 12. Aecorded servoes provided on account for the perigd July 1-12, $13,300. 14. Paid receptionst for two weeks' salary, $1,700. Record the following transactions on Page 2 of the journal: Jul. 17 Recorded cash from cash clients for fees earned during the period July 117,$9,450. 18 Paid cash for supplies, $600. 20 Recorded services provided on account for the period July 1320,$6,750. 24 Recorded cash from cash clients for fees earned for the period July 1724,$4,000. 26 Received cash from clients on account, $12,000. 27 Paid receptionist for two weeks' salary, $1,700. 29 Paid telephone bill for July, \$325. 31 Paid electricity bill for July, $675. 31 Recorded cash from cash clients for fees earned for the period July 2531,$5,400. 31 Recorded services provided on account for the remainder of July, $3,000. 31 Paid dividends, $12,500. Required: 1. Joumalize each transaction in a two-column joumal starting on Page 1, referring to the chart of accounts in solecting the accounts to be debited and credited. (Do not insert the account numbers in the joumal at this time.) 2. Post the joumal to a ledger of four-column accounts. Add the appropriate posting reference to the joumal, 3. Prepare an unadjusted trial balance. 4. At the end of July, the following adjustment data were assembled. Analyze and use these data fo complete requiremonts (5) and (6). A. Insurance expired during July is $385. B. Supplies on hand on July 31 are $1,525. C. Depreciation of office equipment for July is $750. D. Accrued receptionist salary on July 31 is $170. E. Rent expired during July is $2,400. F. Unearned fees earned on Juy 31, \$2,250. 5. (Optional) On your own paper or spreadsheet, enter the unadjusted trial balance on an end-of-period work sheet and complere the work sheet. 6. A. Joumalize the adjusting entries on page 3 of the journal. Adjusting entries are recorded on July 31. Fefer to the Chart of Accounts for exact wording of account tities. B. Post the adjusting entries, inserting balances in the accounts affected. 7. Prepare an adjusted trial balance. 8. A. Prepare an income statement for the month ended July 31, 20Y2. Be sure to complete the statement heading. If a net loss has been incurred, enter that amount as a negative number using a minus sign. Refer to the Accounts, Labeis and Amount Descriptions provided for the exact wording of the answer choices for text entries. You will not need to enter colons ( ) on the income statement. B. Prepare a statement of stockholders' equily for the month ended July 31, 20Y2. Be sure to complete the statement heading. Negative amount should be indicated by the minus sign. Refer to the Accounts, Labels and Amount Descriptions provided for the exact wording of the answer choices for text entries, If an amount is zero, enter " O ". C. Prepare a balance sheet as of July 31, 20Y2. Be sure to complete the statement heading. Fixed assets must be entered in order according to account number. Fefer to the Accounts, Labels and Amount Descriptions provided for the exact wording of the answer choices for text entries. You will not need to enter colons (;) or the word "Less" on the balance sheet; they will automatically insert where necessary. Negative amount should be indicated by the minus sign. 9. A. Joumalize the closing entries on page 4 of the journal. Fefer to the Chart of Accounts for exact wording of account titles. B. Post the closing entries, inserting balances in the accounts affected. Leave the ITEM column BLANK for each row. If the account balance is zero (0) after closing entries are posted, enter a zero ( 0 ) in the account's normal balance column. 10. Prepare a post-closing trial balance. CHART OF ACCOUNTS Labels Current assets Current liabilities Expenses For the Month Ended July 31, 20Y2 July 31,20Y2 Property, plant, and equipment Revenues Amount Descriptions Balances, July 1, 20 Y2 Balances, July 31, 20Y2 Dividends Issued common stock Net income Net loss Total assets Total current assets Total expenses Total liabilities Total liabilities and stockholders' equity Total property, plant, and equipment Total stockholders' equity