Problem 1: Adam Smith launched a repair business Softworks in April 1. The company had the following transactions during April.

a. Adam Smith invested followings in the business

i. Cash $65,000

ii. Equipment $5,750

iii. Computer equipment $30,000

b. Softworks purchased land for $22,000 for construction of office building by cash payment $5,000 and a long-term note payable $17,000.

c. Softworks purchased a movable building with $34,500 cash and moved it onto the land.

d. Two years pre-paid insurance $5,000 paid in cash

e. Services provided for cash $4,600

f. Additional computer equipment $4,500 by paying $800 cash and a long-term

g. Services provided on credit $4,250

h. Purchased $950 office equipment on credit.

i. Services provided for $10,200 on credit.

j. Unpaid rent $580 due within 30 days.

k. Softworks received 50% of the cash from the transaction i.

l. Wages paid $1,800.

m. Paid $950 cash to settle the obligation created in transaction h.

n. Computer equipment maintenance cost $608

o. Cash dividend paid $6,230.

p. Another $1,800 cash for wages

q. Advertisement expense $750 paid in cash

Required

Prepare general journal entries, general ledgers, and trial balance to record the above transactions