Record the following journal entries and post to the T-accounts for ABC Company for the month of January:

1. On 1/1, Common stock was issued for $50,000. 2. On 1/3, ABC signed a 6% (.5% per month) note at State Bank for $75,000. 3. On 1/4, ABC purchased computer equipment for $81,500. 4. On 1/6, ABC purchased office supplies on account for $2,850. 5. On 1/7, ABC purchased prepaid insurance for $4,800 and paid rent of $1,800. 6. On 1/10, ABC paid salaries of $950. 7. On 1/15, ABC provided computer consulting services for a client and received $ 3,450 in cash. 8. On 1/20, ABC provided computer consulting services for a client that promised to pay $3,150 in 30 days. 9. On 1/21, ABC paid for half of the office supplies purchased on 1/6. 10. On 1/24, ABC paid salaries of $1,235. 11. On 1/26, ABC collected a partial payment of $1,100 from the client from 1/20. 12. On 1/29, ABC paid for $75 cleaning services.

Prepare the trial balance, and make the following adjustments: 1. Recognize one month of insurance expense (one twelfth), interest expense (note times .5%), and depreciation on equipment (5-year asset, divide the cost by 60 for one month). 2. Accrue for salaries expense and utilities expense of $695 and $286, respectively. 3. Supplies on hand were $1,305 (subtract 1,305 from the original balance to get the cost of supplies used).

Accounts recalvable Prepaid Insurance Supplies Inventory Trial balance Trial balance Debits Credits Adjusting entries Debits Credits Adjusted trial balance Debits Credits 1 Accounts payable Notes payable Common stock Accounts Cash Accounts receivable Prepaid insurance Supplies inventory Computer equipment Accumulated depreciation Accounts payable Notes payable Common stock Revenue Cleaning expense Depreciation expense Insurance expense Interest expense Rent expense Salaries expense Supplies expense Utilities expense Cleaning expense Rent expense Salaries expense - S - $ - $ - $ $ Prepare the adjusted trial balance by making the the following adjustments (use AP for all payables): 1. Recognize one month of insurance expense, interest expense, and depreciation on equipment (5-year asset) 2. Accrue for salaries expense and utilities expense of $695 and $286, respectively 3. Supplies on hand were $1,305 ies and post to the T-accounts for ABC Company for the month of January: n stock was issued for $50,000. gned a 6% note (,5% per month) at State Bank for $75,000. rchased computer equipment for $81,500. rchased office supplies on account for $2,850. rchased prepaid insurance for $4.800 and paid rent of $1,800. aid salaries of $950. rovided computer consulting services for a client and received $ 3,450 in cash. rovided computer consulting services for a client that promised to pay $3,150 in 30 days. aid for half of the office supplies purchased on 1/6. ald salaries of $1,235. ollected a partial payment of $1,100 from the client from 1/20. ald for $75 cleaning services, Statement of Income Balance Sheet Statement of Cash Flows Revenue Assets Cash Accounts receivable Prepaid insurance Supplies inventory Computer equipment Accumulated depreciation Total assets Net income + Depreciation - Accounts receivable - Prepaid insurance - Supplies + Accounts payable Cash from operations Expenses Cleaning expense Depreciation expense Insurance expense Interest expense Rent expense Salanes expense Supplies expense Utilities expense Total expenses all Equipment Cash from investing Liabilities Accounts payable Notes payable Total liabilities 691 Stock Notes payable Cash from financing Net income (foss) Stockholders' Equity Common stock Retained eamings Total stockholders' equity Beginning balance Cash flows Statement of Stockholders' Equity Total liabilities & equity Beginning balance Common stock Net Income (loss) Retained eamings Dividends Ending balance