Mathew and David started a Company MD Housing, Inc.. They Provide Rental Housing Services. They prepare

their financials on a monthly basis. 1/1 Mathew Contributed $10,000 in exchange for company stock in MD Housing Inc.

1/2 David contributed $6,000 of Equipment and $4,000 in cash in exchange for company stock in MD Housing Inc.

1/3 - MD Housing paid $1,800 for a 1 year insurance policy from Farmers Insurance. The policy effective start date is 1/1/X1.

1/4 MD Housing went to Lowes and Purchased $18,000 worth of Equipment. They had to put 10% cash down and financed the remainder of the purchase price with a 5 year Note.

1/5 MD Housing purchases $1,500 of supplies on account from Amazon.com

1/6 MD Housing pays $2,000 for Office Rent.

1/7 MD Housing provides services to Client #1. They pay MD Housing $3,300 in cash

1/8 MD Housing received $36,000 from Client #2 for 12 months of housing that has an effective start date of 1/1/X1.

1/9 MD Housing pays $650 towards the balance they owe to Amazon.com 1/10 MD Housing pays $750 to Advertise in Black Brand Publication. 1/11 MD Housing pays GG Property Solutions $1500 for repair services.

1/12 David and Mathew each receive $500 dividend from MD Housing ($1,000 total). use these funds for their personal use.

David and Mathew will

PROBLEM #2 ADJUSTING ENTRIES. (Based on the transactions above for MD Housing, Inc.)

1. At the end of the month, MD Housing had $650 worth of supplies on hand.

2. All Equipment MD Housing has is depreciated on a 5 year (60 month) basis. Please do the necessary Depreciation entries for the period. (If an asset is acquired in the month, assume it has a start date the 1st of that month for depreciation purposes)

3. Provide necessary adjustments for any unearned revenue accounts.

4. Provide necessary adjustments for any prepaid expense accounts

5. The utility bill for January did not arrive at the MD Housing Inc office. Utilities are typically $275 per month.

Problem #3. Prepare Adjusted Trial Balance. - MD Housing, Inc..

Problem #4. Prepare Closing Entries - MD Housing, Inc..

Problem #5. Prepare Income Statement & Balance Sheet MD Housing, Inc..