Karla Tanner opened a Web consulting business called Linkworks and completed the following transactions in its first month of operations April 1 Tanner invested $100,000 cash along with office equipment valued at $24,000 in the company. April 2 The company prepaid $7,200 cash for 12 months rent for office space. Wint: Debit Prepaid Rent for $7,200. April 3 The company made credit purchases for $12,000 in office equipment and $2,400 in office supplies. Payment is due within 10 days. April 6 The company completed services for a client and immediately received $2,000 cash. April 9 The company completed a $8,000 project for a client, who must pay within 30 days. April 13 The company paid $14,400 canh to settle the account payable created on April 3. April 19 The company paid $6,000 cash for the premiun on a 12-month prepaid insurance policy. Wint, Debit prepaid Insurance for $6,000. April 22 The company received $6,400 cash as partial payment for the work completed on April 9. April 25 The company completed work for another client for $2,640 on credit. April 28 Tanner withdrew $6,200 cash from the company for personal use. April 29 The company purchased $800 of additional office supplies on credit. April 30 The company paid $700 cash for this month's utility bill. Required: 1. Prepare general Journal entries to record these transactions using the following titles: Cash (101); Accounts Receivable (106); Office Supplies (124); Prepaid Insurance (128), Prepaid Rent (131); Office Equipment (163); Accounts Payable (201): K. Tanner, Capital (301); K. Tanner. Withdrawals (302); Services Revenue (403); and Utilities Expense (690). 2. Post the journal entries from part 1 to the ledger accounts. 3. Prepare a trial balance as of April 30. View transaction list ... :X: :.: 1 Tanner invested $100,000 cash along with office equipment valued at $24,000 in the company. 2 The company prepaid $7,200 cash for 12 months' rent for office space. 3 The company made credit purchases for $12,000 in office equipment and $2,400 in office supplies. Payment is due within 10 days. 4 The company completed services for a client and immediately received $2,000 cash. The company completed a $8,000 project for a client, who must pay within 30 days. Note : = -journal entry has been entered View transaction list A. 6 The company paid $14,400 cash to settle the account payable created on April 3. 7 The company paid $6,000 cash for the premium on a 12- month prepaid insurance policy. 8 The company received $6,400 cash as partial payment for the work completed on April 9. 9 The company completed work for another client for $2,640 on credit. 10 Tanner withdrew $6,200 cash from the company for personal use. Note : = journal entry has been entered Record entry Clear entry Required 11 The company purchased $800 of additional office supplies on credit. 12 The company paid $700 cash for this month's utility bill. Note : journal entry has been entered 101: Cash Debit Credit Date Balance 106: Accounts Receivable Debit Credit Date Balance 124: Office Supplies Debit Credit Date 128: Prepald Insurance Debit Credit Balance Date Balance 131: Prepaid Rent Debit Credit 163: Office Equipment Credit Date Balance Date Debit Balance 201: Accounts Payablo Debit Credit 301: K. Tanner, Capital Debit Credit Date Balance Date Balance 302: K. Tanner, Withdrawals Debit Credit 403: Services Revenue Dobit Credit Dato Balanco Date Balanco LINKWORKS Trial Balance April 30 Debit Credit Total
