This question is a modification of the textbook question CON3-1. Pennys Pool Service & Supply, Inc. (PPSS), had the following transactions related to operating the business in its first years busiest quarter ended September 30.

1. Placed and paid for $2,600 in advertisements with several area newspapers (including the online versions), all of which ran in the newspapers during the quarter.

(DR)	Investment (Short term) (A)		10,000
	(CR)	Cash (A)		10,000

2. Cleaned pools for customers for $19,200, receiving $16,000 in cash with the rest owed by customers who will pay when billed in October.

3. Paid Pool Corporation, Inc., a pool supply wholesaler, $10,600 for inventory received by PPSS in May.

4. As an incentive to maintain customer loyalty, PPSS offered customers a discount for prepaying next years pool cleaning service. PPSS received $10,000 from customers who took advantage of the discount.

5. Paid the office receptionist $4,500, with $1,500 owed from work in the prior quarter and the rest from work in the current quarter. Last quarters amount was recorded as an expense and a liability, Wages Payable.

7. Had the company van repaired, paying $310 to the mechanic.

8. Received $75 cash in interest earned during the current quarter on short-term investments.

9. Received a property tax bill for $600 for use of the land and building in the quarter; the bill will be paid next quarter.

10. Paid $2,400 for the next quarters insurance coverage.

11. Prepare journal entries for each transaction. In the journal entries, denote the category (e.g., assets) of each account. After you make the journal entries, summarize their effect on PPSSs financial statements for the quarter. I have filled in a row with an example.

    Example) Paid $220 for phone, water, and electric utilities used during the quarter.

    	Assets	Liabilities	Equity	Net Income
    (Ex)	-220	0	-220	-220