QUESTION 1

1. Prepare journal entries to record the December transactions in the General Journal Tab in the excel template file "Accounting Cycle Excel Template.xlsx".

Use the following accounts as appropriate:

1. Cash
2. Land
3. Notes Payable
4. Depreciation Expense
5. Accounts Receivable
6. Accumulated Depreciation
7. Common Stock
8. Salaries Expense
9. Supplies
10. Accounts Payable
11. Retained Earnings
12. Supplies Expense
13. Prepaid Insurance
14. Deferred Revenue
15. Dividends
16. Rent Expense
17. Equipment
18. Salaries Payable
19. Service Revenue

20. Insurance Expense

1-Dec Issue common stock in exchange for cash of $7,000.

1-Dec Paid the premium in advance on a one-year insurance policy,$720.

1-DecPurchased Equipment for $4,800 cash.

5-DecPurchased office supplies from XYZ Company on account, $500.

15-Dec Provided services to customers for $5,800cash.

16-Dec Provided services to customer ABC Inc. on account, $3,100.

17-Dec Received $1,000 cash in advance fromacustomer for services to be provided in January.

22-Dec Paid$240 to XYZ company for theDec 5 purchase on account.

23-Dec Received$1,700 cash from customer, ABC Inc., on account.

25-Dec Paid the rent for the current month, $600.

28-Dec Paid salaries to employees for work performed from December 1 through December 28, $4,760.

29-Dec Declared and paid dividends to stockholders $300.

30-Dec Purchasedland by signing3 yearnote payable for $6,000.