Recording Entries and Adjusting Entries (FSET) Rhoades Tax Services began business on December 1. Its December transactions are as follows: Dec. 01: Rhoades invested $50,000 in the business in exchange for common stock. Dec. 02: Paid $3,000 cash for December rent to Bomba Realty (short-term lease). Dec. 02: Purchased $2,700 of supplies to have on hand on account. Dec. 03: Purchased $23,750 of office equipment, paying $11,750 cash with the halance due in 30 days. Dec. 08: Paid $2,700 cash on account for supplies purchased December 2, Dec. 14: Purchased $2,250 cash for assistant's wages for 2 weeks' work. Dec. 20: Performed consulting services for $7,500 cash. Dec. 28: Paid $2,250 cash for assistant's wages for 2 weeks' work. Dec. 30: Billed clients $18,000 for December consulting services. Dec. 31: Paid $4,500 cash for dividends. Additional information: 1. Supplies available at December 31 are $1,775. 2. Accrued wages payable at December 31 are $675. 3. Depreciation for December is $300. 4. Rhoades has spent 45 hours on an involved tax fraud case in December. When completed in January, his work will be billed at $125 per hour. Record the transactions and any necessary adjusting entries using the financial statement effects template. Balance Sheet Cash Asset Noncash Assets Contra Assets Liabilities Contributed Capital Earned Capital Revenues SDODO Transactions Dec. 1 Investment for stock Dec. 2 Paid rent -3000 Det. 2 Purchased supples -2700 -2700 Det. 3 Purchased office equipment -23750 11750 -11750 Dec. 8 Paid for supplies -2250 Der 14 Paid wages 2250 2250 Der 20 Recorded revenue received 7500 Dec 28 Paid wages 2250 Dec 30 Billed clients 1800D Dec. 31 Paid diviclencs -45:0 Adjustments 1 Adjusted supplies 2 Accrued wages Totals 3 Recorded depreciation 4 Recognized unbilled revenue 18000 4500 Income Statement Expenses Net Income SDOR 3000 -300 -270 23750 -3550 2250 -225 225 7500 750 2250 225 1800 4500 -450 45500+ 26450 32000- 450 56250 4500 7500 35750-