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Question 1 (20 marks) Part A (18 marks) Clark Brooks owns a consulting firm called Metrix, which began operations on April 1. The company had

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Question 1 (20 marks) Part A (18 marks) Clark Brooks owns a consulting firm called Metrix, which began operations on April 1. The company had the following transactions during April Clark invested $400,000 cash and $800,000 office equipment into the April 1 business. Purchased a building for $800,000. The company paid $200,000 in cash and April 2 signed a note payable for $600,000. April 5 Purchased supplies costing $4,000 on account. Received advance payments of $12,000 from customers for whom services April 10 would be provided in the following five months. April 14 Received cash payments of $13,000 from providing services to customers. April 15 Completed a $15,000 work for a client, who must pay within 10 days. April 16 Paid $2,000 cash for staff salaries. April 24 Paid for the supplies purchased on April 5. April 25 Received the whole payment on the receivable created on April 15. April 30 Clark withdrew $4,000 for personal use. Required: (Explanations/Narratives are not required for journal entries.) 1. Prepare journal entries to record these transactions (use account titles listed in part 2). (9 marks) 2. Open the following ledger accounts in balance column format: Cash (101); Accounts Receivable (106); Office Supplies (124); Office Equipment (163); Building (170); Accounts Payable (201); Notes Payable (250); Uncamed Service Revenue (236); C. Brooks, Capital (301); C. Brooks, Withdrawals (302); Services Revenue (401); and Salaries Expense (601). Post journal entries from part 1 to the ledger accounts. (7 marks) 3. Prepare a trial balance as of April 30. (2 marks) Part B (2 marks) Describe the link between a business's income statement, the statement of changes in equity, and the balance sheet. Which statement reports a business's financial position at a point in time? (2 marks)

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