On April 1, Jiro Nozomi created a new travel agency, Adventure Travel. The following transactions occurred during the companys first month. April 1 Nozomi invested $30,000 cash and computer equipment worth $20,000 in the company.

2 The company rented furnished office space by paying $1,800 cash for the first month's (April) rent.

3 The company purchased $1,000 of office supplies for cash.

10 The company paid $2,400 cash for the premium on a 12-month insurance policy.

Coverage begins on April 11. 14 The company paid $1,600 cash for two weeks' salaries earned by employees.

24 The company collected $8,000 cash for commissions earned.

28 The company paid $1,600 cash for two weeks' salaries earned by employees.

29 The company paid $350 cash for minor repairs to the company's computer.

30 The company paid $750 cash for this month's telephone bill.

30 Nozomi withdrew $1,500 cash from the company for personal use.

The company's chart of accounts follows. eq 1 and 2Req 3Req 4 Adj Entries Req 4 Adj Trial Ba lReq 5AReq 5BReq 5CReq 6AReq 6B GLReq 7 101

Cash 405

Commissions Earned 106

Accounts Receivable 612

Depreciation ExpenseComputer Equip. 124

Office Supplies 622

Salaries Expense 128

Prepaid Insurance 637

Insurance Expense 167

Computer Equipment 640

Rent Expense 168

Accumulated DepreciationComputer Equip. 650

Office Supplies Expense 209

Salaries Payable 684

Repairs Expense 301

J. Nozomi, Capital 688

Telephone Expense 302

J. Nozomi, Withdrawals 901

Income Summary Use the following information:

Prepaid insurance of $133 has expired this month. At the end of the month, $600 of office supplies are still available. This months depreciation on the computer equipment is $500.

Employees earned $420 of unpaid and unrecorded salaries as of month-end. The company earned $1,750 of commissions that are not yet billed at month-end. Required: 1. & 2.

Prepare journal entries to record the transactions for April and post them to the ledger accounts in Requirement 6b. The company records prepaid and unearned items in balance sheet accounts.

3. Using account balances from Requirement 6b, prepare an unadjusted trial balance as of April 30. 4. Journalize the adjusting entries for the month and prepare the adjusted trial balance. 5a. Prepare the income statement for the month of April 30. 5b.

Prepare the statement of owner's equity for the month of April 30. 5c. Prepare the balance sheet at April 30. 6a. Prepare journal entries to close the temporary accounts and then post to Requirement 6b. 6b. Post the journal entries to the ledger. 7. Prepare a post-closing trial balance.