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Search (OPJ) purchases jeans from various clothing manufacturers around the world, marks the jeans up about 500%, and then sells the jeans to various specialty

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Search (OPJ) purchases jeans from various clothing manufacturers around the world, marks the jeans up about 500%, and then sells the jeans to various specialty stores located in malls. OPJ borrows money from two different banks: Big Bank and Little Bank. OPJ keeps some of its cash in Big Bank and some of its cash in Little Bank. Use the forms in the Excel file Problem 2-1 Forms to complete this problem. Requirement 1 A. OPJ has the following General Ledger accounts: Cash-Big Bank, Cash-Little Bank, Inventory, Equipment, Note Payable-Big Bank, Note Payable-Little Bank, and Common Stock. Label the "T" accounts using these account names. B. Because OPJ started business on January 1, 2021, put a beginning balance of zero in each account. Label these amounts as "Beg. Balance Requirement 2 For each of the following transactions make the required entries in the General Journal: Jan 01 The new owners of OPJ invest $75,000 of cash in the business. $70,000 of the cash is deposited in Big Bank; the rest is deposited in Little Bank. OPJ issues shares of Common Stock to the new owners. Jan 02 Purchase $50,000 of equipment. The cash to pay for the equipment is taken out of Big Bank Jan 05 OPJ gets a $65,000 loan from Big Bank and signs a note for the loan. The cash from the loan is deposited in Big Bank. The bank will not charge OPJ any interest on the loan for the month of January. Jan 10 OPJ gets a $60,000 loan from Little Bank and signs a note for the loan. The cash from the loan is deposited in Little Bank. The bank will not charge OPJ any interest on the loan for the month of January Jan 20 $85,000 of jean inventory is purchased for cash. $50,000 of the cash to pay for the purchase is taken out of Big Bank; the remainder of the cash is taken out of Little Bank Jan 25 Purchase $10,000 of equipment. The cash to pay for the equipment is taken out of Little Bank. I Requirement 3 Post the entries from the General Journal to the General Ledger accounts. Requirement 4 Compute an ending balance for each General Ledger account Requirement 5 Prepare a Trial Balance Requirement 6 Prepare OPJ's Balance Sheet as of January 31, 2021

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