Francine's Fast Deliveries, Inc. (FFD) was organized in December of 2011. It had limited activity in 2011. The resulting balance sheet at the beginning of 2012 is provided below: Assets: Cash Accounts Receivable Supplies Francine's Fast Deliveries, Inc. Balance Sheet at January 1, 2012 Liabilities: $ 1.775 Accounts Payable $ 1,110 1,100 Stockholders' Equity: 900 Contributed Capital $2,000 Retained Earnings 665 $3,775 Total Liabilities & Stk. Equity $ 3.775 Total Assets January Transactions for Francine's Fast Deliveries, Inc. (FFD) Date 1 Owners invest $30,000 of additional cash in the business. 2a Supplies are purchased for $1.200 on account. 2b Insurance is paid for 12 months beginning January 1: $8,220 (Record as an asset) 2c Rent is paid for 3 months beginning in January: $1,500 (Record as an asset) 2d Two employees are hired. Each employee will be paid $1710 per month 3 FED borrows $34,000 from 1st State Bank at 6% annual interest. A delivery van is purchased for cash. Including tax the total cost was $57,600. It 6 will be used for 4 years and will be depreciated monthly using straight-line with no salvage value. A full month of depreciation will be charged in January. 7 $770 of the receivables from December's sales are collected, 8 $888 of the accounts payable from December are paid. Performed services for customers on account Mailed invoices totalina $10 800 9 e to search o e B . C Q fo Saved sive Problem Required information Debit Credit Account Title Cash Accounts Receivable Supplies Prepaid Rent Prepaid Insurance Equipment Accumulated Depreciation Equipment Accounts Payable Uneamed Revenue Wages Payable Interest Payable Notes Payable Contributed Capital Retained Earnings Service Revenue Wages Expenses Utilities Expense Supplies Expenses Depreciation Expense Insurance Expense Rent Expense Interest Expense search o O