The following transactions pertain to Steve Consulting Inc. for the 2016: Prepare journal entries for the following:
1	30-Jan	Established the business when it acquired $73,342 cash and 1 computer (fair market value-$3,000) from the issuance of 2,900 shares of common stock. Each stock has a par value $10.00.
2	1-Feb	Purchased the right to training using the Carnegie Method, a world famous technique of selling products to clients. Steve Consulting will have the exclusive right to teaching this technique in the Northeast Territory for 5 years. Paid $15,500.
3	1-Feb	Paid rent for office space for two year, $24,000 cash. Paid $3,000 security deposit.
4	1-Feb	Purchased office furniture and other furnishings, $15,000 on account.
5	1-Feb	Purchased a used van to transport clients to training facilities, $35,000, which had a five year useful life and $2,000 salvage value. The van was purchased with a $40,000 3-year zero-interest bearing note. Use the straight-line method to amortize the note.
6	1-Mar	Borrowed $28,342 cash from National Bank. The note issued had a 6% rate and it matured in one year.
7	31-Mar	Hired 1 Secretary and 1 Administrative Staff. Employees are paid quarterly.
8	1-Apr	Client paid $10,000 to pre-pay for consulting services needed for an upcoming sales promotion.
9	10-Apr	Purchased $5,800 of supplies on account.
10	30-Apr	Billed a customer $61,000 for services performed under contract. Training was completed on April 30.
11	30-Apr	Paid a dividend of $4.00 per share to the stockholder.
12	5-May	Received $51,500 cash in advance for services to be provided over the next year.
13	31-May	Purchased 50 shares of Ford (use the actual closing price of the stock on the date of purchase). Stock was purchased to be sold in next 9-12 months.
14	1-Jun	Paid $11,600 cash for 3 laptops which had a three-year useful life and $1,600 salvage value.
15	1-Jul	Paid employee salaries of $21,800 (gross), $6,100 Employee Taxes Withheld.
16	2-Jul	Paid employer payroll tax for July 1st payroll, $3,780.
17	20-Jul	Paid $1,900 of the accounts payable from April 10.
18	15-Aug	Billed a customer $32,300 for services provided during August.
19	15-Sep	Completed a job and received $25,000 cash for services rendered.
20	1-Oct	Paid employee salaries of $20,500, $7,500 Employee Taxes Withheld.
21	1-Oct	The management of Harvey Inc. decided to sell decorative pins to clients to commemorate competition of the Carnegie training course. They purchased 100 pins for $1,120. Use perpetual method to accounting for the inventory and first-in, first-out.
22	2-Oct	Paid employer payroll tax for October 1st payroll, $3,670.
23	15-Oct	Received $75,000 cash from accounts receivable.
24	1-Nov	Traded in the van for a new one for $17,000. The fair market value of old van is $15,000. Harvey paid $2,000 cash. The exchange has commercial substance. (See Chapter 10).
25	10-Nov	Purchased 250 pins for $2,590, plus $100 for expedited shipping.
26	16-Nov	Billed $37,000 for services rendered on account.
27	16-Nov	Sold 250 pins to their first class of Carnegie salesmen. Each pin was sold for $25 per pin.
28	1-Dec	Paid a dividend of $4.00 per share to the stockholder.
29	15-Dec	Clients paid $40,000 for services billed earlier in the year.
30	31-Dec	Record the accrued interest on the note to National Bank. (See Mar 1).
31	31-Dec	Record depreciation for all of the equipment used in the business. (See June 1). The company used straight-line depreciation. Apply three (3) years useful life for the computers and five (5) years for all other furniture equipment.
32	31-Dec	Record $4,550 of accrued salaries as of December 31.
33	31-Dec	Of services to be performed for the contract referred to in the July 1, 2016, Harvey earned 30%. Record the adjustment to earnings.
34	31-Dec	Provided $5,600 of services to client in prepaid above.
35	31-Dec	Record the rent expense for the year. (See February 1).
36	31-Dec	Sold 30 shares of the Ford stock (see stock value at 12/31/2016)
37	31-Dec	Employee salaries for the 4th quarter were $23,200 with $6,900 withheld for taxes. Salaries will be paid on January 1, 2017.
38	31-Dec	The employer payroll tax for December 31 payroll, $3,790. It will be paid January 18, 2017.
39	31-Dec	Physically counted supplies: $1,380 was on hand at the end of the period.
40	31-Dec	Record the change in value of the remaining Ford stock.
41	31-Dec	Amortize the zero-interest bearing note. Record necessary adjustments.
42	31-Dec	Based on an aging of the accounts receivables, Steve Consulting, Inc. estimates that 5.5% of outstanding accounts receivables will be uncollectible.
43	31-Dec	Based on the bank reconciliation performed John Smith, the other new staff member at Rick & James, LLC, the following adjusting entries should be made:
44		A check from Elton Inc. was returned for non sufficient funds (NSF) for $1,000. The check was included in the money received on October 15th .
45		The deposit made on October 15th included cash receipts. Those receipts were recorded as $4,400, but the bank correctly counted the cash as $5,400.