The accountant for the firm owned by Vincent Sutton prepares financial statements at the end of each month.

Transactions:

$2\mathrm{.}16$ points

References

a$.$ Sutton invested $$155,000$ in cash to start the business.

b$.$ Paid $$5,500$ for the current month's rent.

c$.$ Bought office furniture for $$16,220$ in cash.

d$.$ Performed services for $$7,700$ in cash.

e$.$ Paid $$1,200$ for the monthly telephone bill.

f$.$ Performed services for $$13,500$ on credit.

g$.$ Purchased a computer and copier for $$37,000$; paid $$12,500$ in cash immediately with the balance due in $30$ days.

h$.$ Received $$6,750$ from credit clients.

i$.$ Paid $$3,500$ in cash for office cleaning services for the month.

j$.$ Purchased additional office chairs for $$5,300$; received credit terms of $30$ days.

k$.$ Purchased office equipment for $$35,000$ and paid half of this amount in cash immediately; the balance is due in $30$ days.

I. Issued a check for $$8,900$ to pay salaries.

m$.$ Performed services for $$14,000$ in cash.

n$.$ Performed services for $$15,500$ on credit.

o$.$ Collected $$7,500$ on accounts receivable from charge customers.

p$.$ Issued a check for $$2,650$ in partial payment of the amount owed for office chairs.

q$.$ Paid $$650$ to a duplicating company for photocopy work performed during the month.

r$.$ Paid $$1,170$ for the monthly electric bill.

s$.$ Sutton withdrew $$8,500$ in cash for personal expenses.

Required:

Prepare a trial balance, an income statement, a statement of owner's equity, and a balance sheet. Assume that the transactions to place during the month ended June $30,20$X$1.$ Determine the account balances before you start work on the financial statements.