The Aguilar Corporation had the following tabular analysis, using the same abbreviations as those used in class:

Questions:

1.

Record each of the following transactions/events in the tabular analysis above including the date of each transaction as well as descriptions of amounts in the Cash and R/E columns.

1-Mar Borrowed $40,000 from a bank. 1-Mar Purchased equipment for $35,400; management expects it will be useful for 8 years at which time it should be worth $1,800. 1-Mar Performed $4,000 of consulting services for customers; sent bill. 1-Mar Purchased a four month insurance policy for $880. 1-Mar Paid employee payroll owed from previous month of $890. 1-Mar Paid rent of $1,800 for administrative office space for the month. 6-Mar Received $650 from customers for services previously performed on account.

10-Mar Purchased supplies for $210. 12-Mar Paid advertising of $430. 18-Mar Performed $3,800 of services for customers. 22-Mar Received $500 from a customer for services sold in advance. 30-Mar Received and paid utility bill of $575. 31-Mar Made $200 payment on bank loan. 31-Mar Paid dividends of $500. 31-Mar Unpaid employee payroll totaled $950. 31-Mar Supplies on hand reported at $160.

2.

Use the resulting tabular analysis to prepare an income statement, statement of retained earnings, balance sheet and statement of cash flows for March.

3. Record the necessary transaction related to the equipment assuming it was sold for $30,000 on April 1st of the same year.