On May 1, 2018, John Jones create d a new Quick Travel The following transactions occurred during the companys first month 1 Jones invested $37 ,000 cash and computer equipment worth $25 ,000 in the company in exchange for common stock 2 The company rented furni shed office space by paying $1,7 00 cash for the first month's (April) rent 3 The company purchased $1,5 00 of office supplies for cash 10 The company paid $3,6 00 cash for the premium on a 12 month insurance po licy Coverage begins on May 1 0 14 The company paid $1,1 00 cash for two weeks' salaries earned by employees 24 The company collected $9 ,000 cash on commissions from airlines on tickets obtained for customers 28 The company paid $1,1 00 cash for two weeks' salaries earned by employees 29 The company paid $4 50 cash for minor repairs to the company's computer 30 The company paid $90 0 cash for this month's telephone bill 30 The company paid $2,3 00 cash in dividends The company's chart of accounts follows 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 307 Common Stock 688 Telephone Expense 318 Retained Earnings 901 Income Summary 319 Dividends Use the following information a Two thirds (or $200 ) of one months insurance coverage has expired b At the end of the month, $4 00 of office supplies are still available c This months depreciation on the computer equipment is $6 00 d Employees earned $50 0 of unpaid and unrecorded salaries as of month end e The company earned $1,9 50 of commissions that are not yet billed at month end Required 1 2 Prepare journal entries to r ecord the transactions for May 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 and post the adjusting entries for the month and prepare the adjusted trial balance 5a Prepare the income statement for the month of May 30, 2018 5b Prepare the statement of retained e arnings for the month of May31, 2018 5c Pr epare the balance sheet at May 31, 2018 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

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On May 1, 2018, John Jones create d a new Quick Travel. The following transactions occurred during the companys first month. 1 Jones invested $37

On May 1, 2018, John Jones created a new Quick Travel. The following transactions occurred during the companys first month.

		1		Jones invested $37,000 cash and computer equipment worth $25,000 in the company in exchange for common stock.
		2		The company rented furnished office space by paying $1,700 cash for the first month's (April) rent.
		3		The company purchased $1,500 of office supplies for cash.
		10		The company paid $3,600 cash for the premium on a 12-month insurance policy. Coverage begins on May10.
		14		The company paid $1,100 cash for two weeks' salaries earned by employees.
		24		The company collected $9,000 cash on commissions from airlines on tickets obtained for customers.
		28		The company paid $1,100 cash for two weeks' salaries earned by employees.
		29		The company paid $450 cash for minor repairs to the company's computer.
		30		The company paid $900 cash for this month's telephone bill.
		30		The company paid $2,300 cash in dividends.

The company's chart of accounts follows:


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
307	Common Stock	688	Telephone Expense
318	Retained Earnings	901	Income Summary
319	Dividends

Use the following information:

a. Two-thirds (or $200) of one months insurance coverage has expired.

b. At the end of the month, $400 of office supplies are still available.

c. This months depreciation on the computer equipment is $600.

d. Employees earned $500 of unpaid and unrecorded salaries as of month-end.

e. The company earned $1,950 of commissions that are not yet billed at month-end.

Required: 1. & 2. Prepare journal entries to record the transactions for May 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 and post the adjusting entries for the month and prepare the adjusted trial balance. 5a. Prepare the income statement for the month of May 30, 2018. 5b. Prepare the statement of retained earnings for the month of May31, 2018. 5c. Prepare the balance sheet at May 31, 2018. 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.