McDonough Construction, Inc., completed the following transactions during August 2018, its first month of operations: (Click the icon to view the transactions.) Read the requirements, Requirement 1. Record transactions in the journal. Explanations are not required. (Record debits first, then credits. Exclude explanations from any journal entries.) Aug 2: Sold $85,000 of common stock to D.J. McDonough to start the construction business. Journal Entry Date Accounts Debit Credit Aug 0 Requirements Aug 3: Paid monthly office rent, $1,000. Journal Entry Date Accounts Credit Debit 1000 1. 2. Aug 3 Supplies Record transactions in the journal. Explanations are not required. Post the journal entries to the T-accounts that have been set up for you. Identify all items by date. Calculate the ending balance in each account. Prepare a trial balance at August 31, 2018 Prepare the income statement, statement of retained earnings, and balance sheet for the month of August. 3. 4. Aug 6: Paid cash for new construction equipment, $1,600. Print Done Journal Entry Date Accounts Debit Credit Aug Aug 8: Purchased office furniture on account, $2,000. Journal Entry Date Accounts Debit Credit Aug Aug 11: Purchased supplies on account, $1,200. Journal Entry Date Accounts Debit Credit Aug Aug 19: Performed service for a client on account, $2,500. Journal Entry Date Accounts Debit Credit Aug Aug 20: Paid utility expenses, $100. Journal Entry Date Accounts Debit Credit Aug Aug 28: Performed service for a client and received cash for the full amount $2,200. Journal Entry Date Accounts Debit Credit Aug Requirements 2. Post the journal entries to the T-accounts that have been set up for you. Identify all items by date. Calculate the ending balance in each acco Cash Accounts receivable Supplies Aug Aug Aug Aug Aug Aug OD Equipment Furniture Accounts payable Aug Aug Aug Aug Aug Aug N Common stock Service revenue Rent expense Aug Aug Aug Aug Aug Aug Utilities expense Aug Aug Requirement 3. Prepare a trial balance at August 31, 2018. Requirement 3. Prepare a trial balance at August 31, 2018. McDonough Construction, Inc. Trial Balance August 31, 2018 Account Debit Credit Total Requirement 4. Prepare the income statement, statement of retained earnings, and balance sheet for the month of August. Start by preparing the income statement. (If a box is not used in the statement, leave the box empty; do not select a label or enter a zero.) McDonough Construction, Inc. Income Statement For the Month Ended August 31, 2018 Revenue: Expenses: Total expenses Net income Prepare the statement of retained earnings. (Complete all answer boxes. Enter an amount for each account, including any zero-balances.) McDonough Construction, Inc. Statement of Retained Earnings For the Month Ended August 31, 2018 Add: Prepare the balance sheet. First complete the asset portion of the statement, and then complete the liabilities and stockholders' equity sections of the statement. (If a box is not used in the statement, leave the box empty; do not select a label or enter a zero.) McDonough Construction, Inc. Balance Sheet August 31, 2018 Assets Liabilities Stockholders' Equity Total stockholders' equity Total assets Total liabilities and stockholders' equity Choose from any lictor antarany umber in the input field and then continue to the nort auction
