The following is a list of transactions that have occurred during the month of August.

Date	Transaction
August 1	Started the business with (ID x 120) in cash.
August 1	Borrowed (ID x 450) + $150,000 in the form of a note payable.
August 2	Purchased land with cash for (ID x 300).
August 2	Purchased building with cash for (ID x 150).
August 3	Purchased equipment on account for (ID x 200).
August 4	Purchased a 12-month insurance policy for $12,000.
August 5	Purchased $150,000 of Food and Beverage Inventory on account.
August 10	Paid $2,800 in cash for advertising
August 15	Paid a utility bill of $1,500 in cash
August 18	Received a $1,250 cash deposit for a future banquet
August 22	Paid $3,500 in cash for china that is expensed immediately
August 28	Paid $90,000 in wages in cash for August 1-28 work
August 31	Generated $150,000 in food revenue for the entire month. The guests paid cash.
August 31	Generated $30,000 in beverage revenue for the entire month. The guests paid cash.
August 31	You withdraw $1,200 from the business for personal use.

Required:

1. Prepare journal entries in good form for the transactions above.

2. Post the journal entries into T-accounts (make sure you have a total amount for each account).

3. Complete the unadjusted trial balance in good form as of August 31, 2020 After you have corrected Part 1, the following transactions are adjusting entries that need to be booked as of August 31, 2020: 1. The money borrowed on August 1 is a 5 year interest-only loan with a 9 percent annual interest rate. The interest accrues each month even though it is only paid annually. Compute interest on a monthly basis not by number of days. 2. The building has no salvage value and is depreciated on a straight-line basis over 30 years. The equipment has no salvage value and is depreciated on a straight-line basis over 10 years. 3. One month of insurance coverage has expired. Assume an entire months worth of insurance not based on number of days. 4. There is $85,000 of food and beverage inventory left in storage at the end of the month and there was no inventory used for internal purposes. 5. The last payday was August 28th (employees were paid for working that day). Wages accrue at $3,500 per day. Requirement

1.Prepare adjusting entries in good form based on the above information.

2. Post the journal entries into T-accounts

3. Complete an adjusted trial balance in good form as of August 31, 2020. After completing Part 2 of the project, you need to fix any errors you may have had. You start from where part 2 ended and add this information.

Required:

1. Prepare closing journal entries to close all required accounts.

2. Post the journal entries into T-accounts.

3. Complete the Income Statement in a departmental schedule format for August 2020. Assume there is only 1 department and it includes all revenue but the revenue is booked individually.

4. Complete a final Balance Sheet in good form as of August 31, 2020.