Lisa Frees and Amelia Ellinger have been operating a catering business for several years. In March, the partners plan to expand by opening a retail sales shop. They have decided to form the business as a corporation called Traveling Gourmet, Inc. The following transactions occurred in March: Received $94,000 cash from each of the two shareholders to form the corporation, in addition to $3,400 in accounts receivable, $8,100 in equipment, a van (equipment) appraised at a fair value of $15,800, and $1,900 in supplies. Gave the two owners each 780 shares of common stock with a par value of $1 per share. Purchased a vacant store for sale in a good location for $500,000, making a $100,000 cash down payment and signing a 10-year mortgage note from a local bank for the rest. Borrowed $64,000 from the local bank on a 10 percent, one-year note. Purchased food and paper supplies costing $13,000 in March; paid cash. Catered four parties in March for $5,600; $1,880 was billed and the rest was received in cash. Sold food at the retail store for $17,600 cash; the food and paper supplies used cost $11,110. (Hint: Record the revenue effect separate from the expense effect.) Received a $560 telephone bill for March to be paid in April. Paid $503 in gas for the van in March. Paid $9,080 in wages to employees who worked in March. Paid a $440 dividend from the corporation to each owner. Purchased $64,000 of equipment (refrigerated display cases, cabinets, tables, and chairs) and renovated and decorated the new store for $27,000 (added to the cost of the building); paid cash.

Help me complete the T-account including SUPPLIES, EQUIPMENT, BUILDING, ACCOUNTS PAYABLE NOTE PAYABLE, MORTAGE PAYABLE, COMMON STOCK, ADDITIONAL PAID-IN CAPITAL, RETAINED EARNINGS, FOOD SALES REVENUE, CATERING SALES REVENUE, SUPPLIES EXPENSES, UTILITIES EXPENSES, WAGES EXPENSE, AND FUEL EXPENSE.

PART 2:

Revenues are normally recognized when a company transfers promised goods or services to customers in the amount the company expects to be entitled to receive. Expense recognition is guided by an attempt to match the costs associated with the generation of those revenues to the same time period. Assume that the following transactions occurred in January:

1. McGraw-Hill Education uses $2,757 worth of electricity and natural gas in its headquarters building for which it has not yet been billed.
2. At the beginning of January, Turner Construction Company pays $903 for magazine advertising to run in monthly publications each of the first three months of the year.
3. Dell pays its computer service technicians $387,500 in salaries for the two weeks ended January 7. Answer from Dell's standpoint.
4. The University of Florida orders 74,000 football tickets from its printer and pays $7,650 in advance for the custom printing. The first game will be played in September. Answer from the university's standpoint.
5. The campus bookstore receives 740 accounting texts at a cost of $92 each. The terms indicate that payment is due within 30 days of delivery.
6. During the last week of January, the campus bookstore sold 580 accounting texts received in (e) at a sales price of $130 each.
7. Fucillo Automotive Group pays its salespersons $14,700 in commissions related to December automobile sales. Answer from Fucillo's standpoint.
8. On January 31, Fucillo Automotive Group determines that it will pay its salespersons $53,210 in commissions related to January sales. The payment will be made in early February. Answer from Fucillos standpoint.
9. A new grill is received and installed at a Wendy's restaurant at the end of the day on January 31; a $14,650 cash payment is made on that day to the grill supply company. Answer from Wendys standpoint.
10. Mall of America (in Bloomington, MN) had janitorial supplies costing $5,000 in storage. An additional $3,300 worth of supplies was purchased during January. At the end of January, $1,510 worth of janitorial supplies remained in storage.
11. An Iowa State University employee works eight hours, at $19 per hour, on January 31; however, payday is not until February 3. Answer from the universitys point of view.
12. Wang Company paid $2,400 for a fire insurance policy on January 1. The policy covers 12 months beginning on January 1. Answer from Wangs point of view.
13. Derek Incorporated has its delivery van repaired in January for $640 and charges the amount on account.
14. Hass Company, a farm equipment company, receives its phone bill at the end of January for $352 for January calls. The bill has not been paid to date.
15. Martin Company receives and pays in January a $1,355 invoice (bill) from a consulting firm for services received in January. Answer from Martin's standpoint.
16. Parillo's Taxi Company pays a $725 invoice from a consulting firm for services received and recorded in December.
17. PVH Corp., manufacturer of IZOD, ARROW, Van Heusen, Calvin Klein, and Tommy Hilfiger apparel among other brands, completes production of 1,400 men's shirts ordered by Macy's department stores at a cost of $100 each and delivers the order in January. Answer from PVH Corp.'s standpoint.

Required:

For each of the transactions, if an expense is to be recognized in January, indicate the expense account title and the amount. (If expense is not recognized choose "None".)