Skinny Enterprise has operated a business for the past two years from his home. In January 2020, she decided to move to a lease office space. Skinny registered the business as a corporation according to Delaware laws in January 2020. Skinny Enterprise Corporation received authorization to issue 1,500,000 common shares with $1.4 par value. During January 2020, the business entered the following transactions:

2)The following assets received from Skinny Enterprise in exchange for 175,000 common shares: Cash, $156,000; Accounts Receivable, $75,000; Office Supplies, $8,280; Prepaid Insurance $36,000 (for 24 month) and Building, $208,000. There were no liabilities assumed.

2)Borrowed $125,000 from Banco Popular with 8% of interest.

3)Paid THREE year of rent on a lease rental contract, $36,000 (recorded as Prepaid)

3)Purchased office equipment on account for $28,000.

4)Purchase a Building with a market value of $160,000 in exchange of 47,890 company shares.

4)Paid the premiums on property and casualty insurance policies, $9,000 for 18 MONTHS (recorded asPrepaid)

5)Received cash from clients as an advance payment for services to provided and recorded it as

unearned fees, $34,000.

6)Invests cash not needed for operations in trading shares at 5%, $180,000.

7)Received cash from clients on account, $43,000.

10)Paid cash for a newspaper advertisement for TWO years, $2,400 (recorded as Prepaid)

11)Paid part of debt incurred on January 3, $7,000.

12)Recorded services provided on account for the period January 1-15, $48,000.

13)Recorded cash from cash clients for fees earned during January 1-15, $55,000.

15)Skinny declared cash dividends of $.30 for outstanding shares to be paid on January 31. 17 Paid telephone, cable, and internet bills for January, $1,825.

18)Issue 18,000 new shares for a market value of $2.00.

19)Paid cash for supplies, $5,700.

21)Received cash from clients on account, $38,000. 22)Received $1,575 from a leased space.

25)Paid electricity bill for January, $1,340.

26)Obtain the investor list for dividend payment on January 31

27)Paid part of debt incurred on January 3, $7,000.

30)Paid monthly office salary, $16,000; sales salaries for $24,000; and $8,000 to Skinny

as General Manager of Skinny Enterprise Corporation. Deductions for FICA 6.2% and Medicare Tax 1.45%, federal income tax withheld 20%. Voluntary deductions are: United Funds $200 and Red Cross $500.

30)Recorded employer payroll taxes expense for FICA 6.2% and Medicare Tax 1.45%, 5.4% for state unemployment (SUTA tax) and .8% for federal

unemployment (FUTA tax).

29)Recorded cash from cash clients for fees earned during January 16-30, $54,880

30)Recorded services provided on account

for the remainder of January 16-30, $46,000.

31)Skinny paid cash dividends declared on January 15.

Instructions:

1. Prepare a General Ledger

2. Journalize each transaction in a Journal

3.Post the journal entries to a ledger accounts

4. Prepare Unadjusted Trial Balance on January 31,2021