Required information [The following information applies to the questions clisplayed below.) Vanishing Games Corporation (VGS) operates a massively multiplayer online game, charging players a monthly subscription of $11. At the start of January 2021, VGC's income statement accounts had zero balonces and its balance sheet account balances were as follows: Cash Accounts Receivable Supplies Equipment Buildings Land Accounts Payable Deferred Revenue Notes Payable (due 2025) Common Stock Retained Earnings $ 1,630,000 209,000 15,400 936.eea 516,00 1,600,000 162.ee 166,00 150,00 2,700,000 1,729,480 In addition to the above sccounts, 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 2. Received $62.500 cash from customers on 11 for subscriptions that had already been earned and charged on account in 2020. b. Purchased 10 new computer servers for $41,100 on 12; paid $12,200 cash and signed a three-year note for the remainder owed. c. Paid $13,400 for an Internet advertisement run on 1/3 d. On January 4, purchased and received $5,750 of supplies on account. e. Received $210.000 cash on 1/5 from customers for service revenue earned in January f On January 6. paid $5.750 cash for supplies purchased on January 4. 9. On January 7, sold 12,300 subscriptions et $11 each for services provided during January. Half was collected in cash and half was sold on account I. Poid $320.000 in wages to employees on 180 for work done in January. On January 31, received an electric and gas utility bill for $5,520 for January utility services. The bill will be paid in February Required: 1. Analyze the effect of the January transactions on the accounting equation, and indicate the account, amount, and direction of the effect of each transaction. (Enter any decreases to Assets, Liabilities, and Stockholder's Equity with a minus sign.) Answer is not complete. Asseta Llabilities Stockholders' Equity Cash + Accounts Receivable Equipment Cash OOOO b. + b. + c. Utilities Expense > OO - Supplies Accounts Receivable Supplies Expense + f. + + 9 9 + h. + i. + Required Information [The following information applies to the questions disployed below.] Venishing Gemes Corporation (VG) operates a massively multiplayer online game, charging players a monthly subscription of $11. At the start of January 2021, VGC's income statement accounts had zero balances and its balance sheet account balances were as follows: Cash $ 1,630,000 Accounts Receivable 289.000 Supplies 15,400 Equipment 936.000 Buildings 516.ee Land 1,600,00 Accounts Payable 160.ee Deferred Revenue 166,00 Notes Payable (due 2025) 150.000 Common Stock 2,700,000 Retained Earnings 1,729,480 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: 2. Received $62.500 cash from customers on 1/1 for subscriptions that hed already been earned and charged on account in 2020. . Purchased 10 new computer servers for $41,100 on 12; paid $12.200 cash and signed a three-year note for the remainder owed. c. Paid $13,400 for an Internet advertisement run on 13. d On January 4, purchased and received $5750 of supplies on account. e Received $210.000 cash on 1/5 from customers for service revenue earned in January f On January 6. paid $5.750 cash for supplies purchased on January 4. 9. On January 7. sold 12.300 subscriptions et $11 each for services provided during January. Half was collected in cash and half was sold on account h. Paid $320,000 in weges to employees on 1/30 for work done in January i. On January 31, received an electric and ges utility bill for $5,520 for January utility services. The bill will be paid in February 2 Prepare journal entries for the January transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required" In the first account field.) View transaction at Journal entry worksheet
