James Harris formed a corporation to provide concrete construction work. His jobs typically involve building parking lots, drives, and foundations. James provided the following information about transactions occurring during the first month of operation. Evaluate the transactions and

a) prepare journal entries for each activity

b) prepare a trial-balance

c) Calculate i) total assets, ii) liabilities and iii) shareholders' equity as of Jan 31, 2014 (ignore any adjusting journal entries).

Jan. 2, 2014

James Harris invested $20,000 cash in the capital stock of the newly

formed corporation

Jan. 4, 2014

Purchased equipment on account for $15,000

Jan. 12, 2014

Received $30,000 from customers for service rendered

Jan. 15, 2014

Received a bill for construction supplies purchased in the amount of $4,000

Jan. 18, 2014

Provided $6,400 of service, on account

Jan. 20, 2014

Paid employees $4,600 for wages earned

Jan. 22, 2014

Collected 60% of the revenues earned on Jan. 18

Jan. 23, 2014

Paid 40% of the amount due on the equipment purchased on Jan. 4

Jan. 31, 2014

The company paid James a $3,000 dividend