Open the invoice from Pioneer Leasing. Record the transactions for January, February, and March. Briefly explain how this particular transaction should affect the financial statements (in other words, will it come through on the Income Statement or the Balance Sheet) then record this transaction in the software. Once you record in the software, open the financial statements and briefly describe whether your expectations of what should happen were what actually happened.

12 Pioneer Street Dallas, Texas 75214 T 972-628-1500 F 972-628-1600 Pioneer Leasing From: Regarding: Lease Term Dear You, This letter is to confirm the new lease terms that have been agreed upon. You are leasing the office space on 56 North Eldorado Way in Dallas, Texas 78545 from Pioneer Leasing for a lease term of 5 years beginning January 1, 20X. On this date, you will begin paying monthly rent of $1,000, and this amount will be due on the first of each month. In addition to the monthly rent, you will pay us a deposit of $5,000 which will be returned to you once this lease has expired unless there are any damages to the lease space. We appreciate your business. Sincerely yours, Pioneer Leasing