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Oppong Corporation began operations on February 1, 2014, and showed the following account balances at February 28. Cash: $28,000; Accounts Receivable: $4,900; Prepaid Insurance: $4,800;
Oppong Corporation began operations on February 1, 2014, and showed the following account balances at February 28. Cash: $28,000; Accounts Receivable: $4,900; Prepaid Insurance: $4,800; Equipment: $3,400; Accounts Payable: $13,600; Unearned Revenue: $1,200; Share Capital: $26,000; Consulting Revenue Earned: $3,400; Advertising Expense: $3,100. The following transactions occurred during March. a. March 2: Kent Brennan (a shareholder), received share capital in Oppong Corporation, after investing $20,000 cash and $40,000 worth of equipment in Oppong Corporation. b. March 5: The bill for the $1,250 advertising campaign that ran last week was received today and paid. c. March 7: Oppong Corporation provided $4,000 of consulting services for a customer who will pay within 30 days. d. March 8 Oppong Corporation will pay the $750 advertising bill received today within 30 days. e. March 11 f. March 14 g. March 16 i. March 19 Oppong Corporation performed consulting services for a customer and received $300. Oppong Corporation bought $3,750 of equipment, using $750 cash and $3,000 on account. Oppong Corporation received $2,700 towards payment for the services provided in transaction (c). Oppong Corporation purchased $3,750 of equipment on credit. h. March 17 Oppong Corporation paid $300 towards the bill from transaction (d). Oppong Corporation purchased new equipment by paying $3,500 cash. j. March 20 Enter each account balance as of February 28 in the appropriate T-account, and then record the transactions by entering the debit and credit entries directly in the T-accounts. Use the date for each transaction to identify the entries, placing the date in the left- hand cell and the amount in the right-hand cell of the appropriate side of the T-account. Then determine the balance of each account, and write 'Balance' (or 'Bal') next to it, in the left-hand cell on the appropriate side. Cash Accounts Receivable Prepaid Insurance Equipment Accounts Payable Unearned Revenue Share Capital Consulting Revenue Earned Advertising Expense
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