Part 2: Prepare a March statement or retained earnings. The Retained Earningsaccount balance at of March 1 st was $0, and the owner invested $11,000 cash in the company on March 2 nd in exchange for common stock. Part 3: Prepare a March 31 st balance sheet. Hint: Use the Retained Carnings account balance calculated in part 2. Problem 2-1A Problem 2-7A Problem 2-1A: Karla Tunser opened a web ceesolting beviness called Limkwerks and completed the following transactions for its first moenth of operation: Dase Deseription 1.Ape Tanner invesied $80,000 cash aloeg with effice equipones valued at $26,000 in the new conpany in exchange for common stock. 2-Ape The company perpaid $9,000 cash for 12 menth' rest for offlee space. Wint: Debit Propuid Rent for 59,000 Payment is due within 10 days 6-Apr The company compleied servioes for a client and inmediately received $4,000 each. 9-Apr The company completed a \$6,000 project for a client, wbo anat pay within 30 days. 13-Apr The company paid $11,600 cach to setrle the acoount payable created on April Ind. 19-Apr The compeny paid \$2,400 cabl for the premize oe a 12 -event invarase policy, Hint: Debit Prepaid Insurance for $2,400 22-Apr The company teceived $4,400 cash as partial prymers flar the work completed on April Sth 25-Ape The company completed work for another clicat far $2.890 oe credit. 28-Apr The company paid a 55,500 cash dividend. 29-Apr The company purckased 5600 of addiegooul office supplies ee credir 30-Apr The company paid $435 eash for this moedis atility bell General Instructions: He sure to uxe the templates below and link numbers and abew calculatiens in individual cellis. Part t: Prepare general jeernal catries to recerd theie trambectieas (use acceent titles liated in part 2). You should inclede a brirf explanation of each eatry. Transaction Date Account Description Posting Reference Debits Crodits Part 2: Post each of the journal entrics te each of the gescral ledger acceunts belen. You should show the accoent balance after every transactioe that aflects that account. For each post link the number to the journat entry if comes frem and provide the posting refercace. Account and Acceunt Number, Cash - No, 101 Date Explanation PR. Debit Crodit Balance Account and Account Number: Accoumts Recetvable - No. 106 Account and Account Number: Date Explanation PR Debir. Credit Balance Account and Account Number; Otfiec Sepplies - Na. 124 Account and Account Number: Date Fxplanation PR Debet Creatit Ralance Aecount and Account Number. Prepaid lnvarance - No, 128 Date Explanation PR Debit Credit Balance Account and Account Number: Prepaid Rent - No. 131 Date Explanation PR Debir Credit Balance Account and Account Number Otfice Equigment - No. 163 Part 2: Prepare a March statement or retained earnings. The Retained Earningsaccount balance at of March 1 st was $0, and the owner invested $11,000 cash in the company on March 2 nd in exchange for common stock. Part 3: Prepare a March 31 st balance sheet. Hint: Use the Retained Carnings account balance calculated in part 2. Problem 2-1A Problem 2-7A Problem 2-1A: Karla Tunser opened a web ceesolting beviness called Limkwerks and completed the following transactions for its first moenth of operation: Dase Deseription 1.Ape Tanner invesied $80,000 cash aloeg with effice equipones valued at $26,000 in the new conpany in exchange for common stock. 2-Ape The company perpaid $9,000 cash for 12 menth' rest for offlee space. Wint: Debit Propuid Rent for 59,000 Payment is due within 10 days 6-Apr The company compleied servioes for a client and inmediately received $4,000 each. 9-Apr The company completed a \$6,000 project for a client, wbo anat pay within 30 days. 13-Apr The company paid $11,600 cach to setrle the acoount payable created on April Ind. 19-Apr The compeny paid \$2,400 cabl for the premize oe a 12 -event invarase policy, Hint: Debit Prepaid Insurance for $2,400 22-Apr The company teceived $4,400 cash as partial prymers flar the work completed on April Sth 25-Ape The company completed work for another clicat far $2.890 oe credit. 28-Apr The company paid a 55,500 cash dividend. 29-Apr The company purckased 5600 of addiegooul office supplies ee credir 30-Apr The company paid $435 eash for this moedis atility bell General Instructions: He sure to uxe the templates below and link numbers and abew calculatiens in individual cellis. Part t: Prepare general jeernal catries to recerd theie trambectieas (use acceent titles liated in part 2). You should inclede a brirf explanation of each eatry. Transaction Date Account Description Posting Reference Debits Crodits Part 2: Post each of the journal entrics te each of the gescral ledger acceunts belen. You should show the accoent balance after every transactioe that aflects that account. For each post link the number to the journat entry if comes frem and provide the posting refercace. Account and Acceunt Number, Cash - No, 101 Date Explanation PR. Debit Crodit Balance Account and Account Number: Accoumts Recetvable - No. 106 Account and Account Number: Date Explanation PR Debir. Credit Balance Account and Account Number; Otfiec Sepplies - Na. 124 Account and Account Number: Date Fxplanation PR Debet Creatit Ralance Aecount and Account Number. Prepaid lnvarance - No, 128 Date Explanation PR Debit Credit Balance Account and Account Number: Prepaid Rent - No. 131 Date Explanation PR Debir Credit Balance Account and Account Number Otfice Equigment - No. 163
