Record the following entries using the horizontal statements model.

A. Issued stock for cash, $10,000

B Paid $3,000 cash for advanced payment of three months rent (November, December and January).

C. Purchased supplies on account, $2,000.

D. Received $12,000 cash for services to be completed in the future.

E Performed $6,000 of the services in transaction (D).

F. An inventory at year-end reveals that there is $1,300 of supplies remaining.

G. Regular weekly salaries are $10,000. Salaries are paid on Friday for the five day week which ended the previous Friday. 12/31/12 is a Wednesday.

H Recorded rent expense for year ended 12/31/2012 (see transaction B)

Balance Sheet

Income Statement

Assets

=

Liabilities

+

Stock. Equity

Rev

-

Exp.

=

NI

Cash

+

Accts Rec.

+

Supp

Prepaid Rent

=

Accts. Pay.

+

Wages Pay.

+

Notes Pay.

+

Unearn Rev.

+

Com. Stock

+

Ret. Earn.

A

B

C

D

E

F

G

H