Please use the following account names for this homework:

Assets: Cash Accounts Receivable Equipment Vehicles Supplies

Liabilities: Accounts Payable Unearned Revenue Dividends Payable

Equity: Common Stock Additional Paid-in Capital Service Revenue

Telephone Expense Utility Expense Wages Expense Retained Earnings

PLEASE NOTE: YOU ALREADY DID THE FIRST 8 TRANSACTIONS IN THE PREVIOUS HOMEWORK. THIS IS JUST A CONTINUATION OF THE PREVIOUS HOMEWORK ASSIGNMENT.

Part A:

Please analyze the following transactions (Figure out the increases and decreases in assets, liabilities, and equity as I did in class.) and make the journal entries for these transactions:

A brand new company issued 5,000 shares of common stock. The company received $15 per share from the investors, and the par value is $10 per share.

The company purchased equipment for $3,000 and paid cash.

The company purchased office supplies for $1,000 on account. (On account means the company did not pay for the supplies and must pay for them later.)

The company purchased equipment for $13,000. It paid $6,000 in cash and will pay the rest later.

The company provided a service to a customer and received $4,000 in cash immediately.

The company provided a service to another customer and gave the customer an invoice for $11,000.

The company received $3,500 in advance from a customer for a service that it will provide to the customer over the next 7 months.

The company received $2,500 in cash from the customer who owed $11,000 from transaction #6.

The company received the electric bill for $400 and paid it immediately.

The company received the telephone bill for $600 and decided to pay it later.

The company paid its employees $2,000 of wages for the work they did.

The company paid the phone company $100 of the $600 it owed them from transaction #10.

The company declared a cash dividend of $8,000.

Two weeks later, the company paid the $8,000 dividend to the stockholders.

Part B

Create T accounts for the accounts listed above, and post the journal entries created in Part A to these T accounts.

Part C

Determine the balances of all the accounts and prepare a trial balance. The totals of the 2 columns of the trial balance should be equal to each other, otherwise you have made a mistake somewhere. In the trial balance, the order in which you list the accounts does not matter, but accounts with debit (left side) balances should go in the debit (left) column, and accounts with credit (right side) balances should go in the credit (right) column

Part D

Prepare the income statement and the balance sheet.