Need help with these journal entries. Include Totals

QUESTION 1 ine TRANSACTION 6 10 6/30/2013 2 ASSETS 3 Cash 4 Accounts Receivable 5 Invento 6 Prepaids 8 Equipment 9 Accumulated deprection 0 Net equipment (8+9 12 TOTAL ASSETS (3+4+5+6+10) 13 14 LIABILITIESOWNERS EQUITY 15 Accounts Payable 16 Accruals 17Notes Payable 18 TOTAL LIABILITIES (15+16+17) 19 20 Original Investment 21 Retained Earnings 22 OWNERS EQUITY (20+21) 23 24 TOTAL LIABILTIES OE (18+22) 25 26 CHECK: 27 28 0 0 0 0 0 30 Sales 31 Cost of Goods Sold 2 Gross Profit (30-31) 4 Depreciation Expense 5 Other expenses 36 37 Net Income (32-34-35) ENTR 4640 HOMEWORK #1 Inspired by the success of Shake Shack you have decided to start a new business called Pizza Palace, a small take-out pizza place. Below are the first 10 transactions associated with Pizza Palace. Record these on the accompanying data entry sheet. Each entry on the sheet that corresponds to a particular transaction should be entered as a CHANGE. For example, if the transaction results in an INCREASE in cash of $10, put $10 in the corresponding entry. If in the next period the transaction results in a DECREASE in cash of $3, put -$3, etc. Make sure you complete ALL the entries that are affected by a particular transaction (both income statement and balance sheet. Don't forget about total lines!) June 2, 2013 Invest $50,000 of your own cash in the business and take out a $60,000 five year loan. The loan features a "balloon" payment meaning you don't repay any principle until the end of the term The annual interest rate is 10% Prepay $14,400 in cash for one year of rent. 1. 2. June 3, 2013 3. Pay $42,000 cash for an oven. The oven has a 7 year depreciable life. June 4, 2013 4. You pay $1,500 cash for inventory a. You estimate that this amount of inventory can make 500 pizzas. 5. You pre-sell for cash 25 pizzas for a corporate party later in the month. You are charging the customer $10 per pizza. June 5-29, 2013 During the month you sell 475 pizzas for $10 each, for cash As your inventory is running low you buy $1,500 more of inventory but this time you buy it on credit (you don't have to pay for 30 days) You deliver the pizzas to the corporate party 6. 7. 8. June 30, 2013 9. Record rent and depreciation expenses for the month. 10. Make a cash payment for your monthly interest on the loan 11. Prepare June 30 Balance Sheet and January Income Statements