Transaction Entries Final Clean, a firm providing house-cleaning services, began business on April 1. The following accounts in its general ledger are needed to record the transactions for April: Cash; Accounts Receivable; Supplies; Prepaid Van Lease; Equipment; Accounts Payable; Notes Payable Common Stock; Retained Earnings; Dividends; Cleaning Fees Earned; Wage Expense; Advertising Expense; and Fuel Expense. April 1 Randy Smith invested $14,000 cash to begin the business; he received common stock for his investment. 2 Paid six months' lease on a van, $2,850. 3 Borrowed $10,000 from a bank and signed a note payable agreeing to repay the $10,000 in one year plus 10 percent interest. 3 Purchased $5,500 of cleaning equipment; paid $2,000 down with the remainder due within 30 days. 4 Purchased cleaning supplies for $4,300 cash. 7 Paid $350 for newspaper advertisements to run during April. 21 Billed customers for services, $3,500. 23 Paid $1,500 on account to cleaning equipment firm (see April 3 transaction). 28 Collected $2,300 from customers on account. 29 Randy Smith received a $1,000 cash dividend. 30 Paid wages for April, $1,750. 30 Paid service station for gasoline used during April, $350. Accounting Equation Journal Entries a. Using the accounting equation, record each of the transactions in columnar format. Use negative signs with your answers below, when appropriate. Cash + Accounts Receivable + Supplies + Prepaid Van Lease + Equipment = Accounts Payable + Notes Payable + Common Stock + Retained Earnings April 1 $ 0 0 $ ooooooooo $ 0 + $ 0 + $ 0 + $ 0 + $ Accounting Equation Journal Entries b. Use journal entries to record the transactions for April in the general journal. Date Description Debit April 1 $ Credit 0 $ 0 Owner purchased common stock for cash. 0 0 0 0 Paid six months' lease on van. 0 0 0 0 Borrowed money from bank for one year, interest rate of 10%. Cash 0 0 0 0 0 0 Purchased equipment, made down payment with balance due in 30 days. 0 0 Purchased supplies for cash. 0 0 Paid for April advertising. 0 0 Paid for April advertising. 21 0 0 0 0 Billed customers for services. 23 0 Payment on account. Collections from customer on account. Shareholders are paid a cash dividend. Paid wages for April. Paid for gasoline used in April