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Geo Inc. had the following account balances on January 1, Year 2: Accounts Payable $ 728 Accounts Receivable 2,300 Cash 2,300 Common Stock 20,000 Equipment
Geo Inc. had the following account balances on January 1, Year 2:
Accounts Payable | $ | 728 | |
Accounts Receivable | 2,300 | ||
Cash | 2,300 | ||
Common Stock | 20,000 | ||
Equipment | 3,100 | ||
Notes Payable | 4,400 | ||
Retained Earnings | 4,536 | ||
Salaries and Wages Expense | 4,800 | ||
Supplies | 1,660 | ||
- Paid $728 on account for utilities that were used during December Year 1.
- Purchased $488 of supplies for cash.
- Signed a rental agreement for office space and paid $6,100 in advance for six months of rent beginning February 1, Year 2.
- Purchased $18,000 of new equipment, signing a promissory note.
- Provided $32,500 of services. $16,000 was received in cash and $16,500 was provided on credit.
- Paid workers $7,400 for work done in January.
Prepare journal entries for each of the following January activities, and post results to the relevant T-accounts. Compute the ending balance of each T-account. Beginning balances have been entered. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)
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