Required information Problem 2-7A Complete the steps in the measurement of external transactions (LO2-4, 2-5, 2-6) (The following information applies to the questions displayed below.) Below are the transactions for Ute Sewing Shop for March, the first month of operations. March 1 Issue common stock in exchange for cash of $3,000. March 3 Purchase sewing equipment by signing a note with the local bank, $2,700. March 5 Pay rent of $600 for March. March 7 Martha, a customer, places an order for alterations to several dresses. Ute estimates that the alterations will cost Martha $800. Martha is not required to pay for the alterations until the work is complete. March 12 Purchase sewing supplies for $130 on account. This material will be used to provide services to customers. March 15 Ute delivers altered dresses to Martha and receives $800. March 19 Ute agrees to alter 10 business suits for Bob, who has lost a significant amount of weight recently. Ute receives $700 from Bob and promises the suits to be completed by March 25. March 25 Ute delivers 10 altered business suits to Bob. March 30 Pay utilities of $95 for the current period. March 31 Pay dividends of $150 to stockholders. Cash Supplies 0 Beg. Bal 0 Beg. Bal March 1 3,000 600 March 5 800 150 March 31 March 15 March 19 700 95 March 30 End. Bal End. Bal. 3,655 Equipment Accounts Payable 0 0 0 0 Beg. Bal March 3 Beg. Bal March 12 130 2,700 130 March 12 End. Bal. 2,830 End. Bal. 130 Deferred Revenue Notes Payable Beg Bal 0 0 Beg. Bal. 0 0 March 3 2,700 End. Bal End. Bal 2.700 Common Stock Dividends 10 0 Beg. Bal. 0 0 Beg Bal March 1 3,000 End. Bal. 3,000 End. Bal. Service Revenue Rent Expense 0 Beg. Bal. Beg. Bal 0 March 5 600 End. Bal End. Bal. 600 4. Prepare a trial balance as of March 31. Credit UTE SEWING SHOP Trial Balance March 31 Accounts Debit Cash Supplies Equipment Accounts Payable Deferred Revenue Notes Payable Common Stock Dividends Service Revenue Rent Expense Utilities Expense Totals $ 0 $ 0 Utilities Expense 0 Beg. Bal. March 30 95 End. Bal. 95