! Required information [The following information applies to the questions displayed below.] Vanishing Games Corporation (VGC) operates a massively multiplayer online game, charging players a monthly subscription of $10. At the start of January 2021, VGC's income statement accounts had zero balances and its balance sheet account balances were as follows: Cash Accounts Receivable Supplies $ 2,060,000 202,000 19,200 Equipment Buildings Land Accounts Payable Deferred Revenue Notes Payable (due 2025) Common Stock Retained Earnings 905,000 518,000 1,100,000 143,000 110,000 69,000 2,000,000 2,482,200 In addition to the above accounts, VGC's chart of accounts includes the following: Service Revenue, Salaries and Wages Expense, Advertising Expense, and Utilities Expense. The following transactions occurred during the January month: a. Received $65,000 cash from customers on 1/1 for subscriptions that had already been earned and charged on account in 2020. b. Purchased 10 new computer servers for $37,900 on 1/2; paid $13,300 cash and signed a three-year note for the remainder owed. c. Paid $17,400 for an Internet advertisement run on 1/3. d. On January 4, purchased and received $3,200 of supplies on account. e. Received $175,000 cash on 1/5 from customers for service revenue earned in January. f. On January 6, paid $3,200 cash for supplies purchased on January 4. g. On January 7, sold 18,700 subscriptions at $10 each for services provided during January. Half was collected in cash and half was sold on account. h. Paid $325,000 in wages to employees on 1/30 for work done in January. i. On January 31, received an electric and gas utility bill for $5,700 for January utility services. The bill will be paid in February. 3. Enter the beginning balances shown above in the following T-accounts and post the journal entries. Debit Beginning Balance (a) (e) (g) Answer is not complete. Cash Accounts Receivable Credit Debit Credit 2,060,000 Beginning Balance 65,000 175,000 13,300 (b) (g) 202,000 93,500 65,000 (a) 93,500 17,400 (c) 3,200 (f) 325,000 (h) Ending Balance 230,500 Ending Balance 2,034,600 Debit Beginning Balance (d) Ending Balance Supplies Equipment Credit Debit Credit 19,200 Beginning Balance 3,200 905,000 37,900 22,400 Ending Balance 942,900 Buildings Debit Credit Debit Beginning Balance 518,000 Beginning Balance 1,100,000 Ending Balance 518,000 Ending Balance 1,100,000 Land Credit Debit Beginning Balance Accounts Payable (f) Ending Balance Debit Beginning Balance Deferred Revenue Credit Debit Credit Beginning Balance 110,000 143,000 3,200 3,200 (d) 5,700 (i) 137,300 Ending Balance 110,000 Notes Payable (long-term) Common Stock Credit 69,000 Credit Debit Beginning Balance 2,000,000 x 24,600 (b) Ending Balance 2,000,000 Ending Balance 44,400 Retained Earnings Service Revenue Debit Credit Debit Credit Beginning Balance 2,482,200 Beginning Balance 0 175,000 (e) Ending Balance 2,482,200 Debit Salaries and Wages Expense Beginning Balance (h) 0 325,000 Ending Balance 325,000 Credit Ending Balance 175,000 Advertising Expense Debit Credit 0 17,400 Beginning Balance (c) Ending Balance 17,400 Debit Beginning Balance (h) Ending Balance Salaries and Wages Expense 0 325,000 325,000 Credit Utilities Expense Debit Credit Beginning Balance (i) 0 5,700 Ending Balance 5,700 Debit Beginning Balance Advertising Expense (c) 17,400 Ending Balance 17.400 Credit