Upon finishing law school, Caroline Jones set up a law practice During the first month, she completed the following business transactions Invested $3,000 cash in the business Purchased a law library for $1,200 cash Received $500 for services rendered Purchased office supplies on credit for $150 Paid rent for the month amounting to $300 Sent a bill for $1,100 for services rendered Sent a check for $50 in part payment of accounts payable Received $200 from customers as a result of services previously rendered and recognized Sent a check for $60 to the local utility company for costs incurred in beginning service Borrowed $200 from the business (show the effect of this loan in the Caroline Jones drawing account) Set up a chart The following account headings are to be used Assets Cash, Accounts Receivable, Office Supplies, Law Library LiabilitiesAccounts Payable CapitalCaroline Jones, Capital Caroline Jones, Drawing Income from Services Rent Expense Utilities Expense, Record the business transactions listed above, making certain to verify the balance in the accounting equation as a result of each business transaction Remember that revenue increases capital expenses decrease capital drawing decreases capital

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Upon finishing law school, Caroline Jones set up a law practice. During the first month, she completed the following business transactions: Invested $3,000 cash in

Upon finishing law school, Caroline Jones set up a law practice. During the first month, she completed the following business transactions:

Invested $3,000 cash in the business.
Purchased a law library for $1,200 cash.
Received $500 for services rendered.
Purchased office supplies on credit for $150.
Paid rent for the month amounting to $300.
Sent a bill for $1,100 for services rendered.
Sent a check for $50 in part payment of accounts payable.
Received $200 from customers as a result of services previously rendered and recognized.
Sent a check for $60 to the local utility company for costs incurred in beginning service.
Borrowed $200 from the business (show the effect of this loan in the Caroline Jones drawing account).

Set up a chart. The following account headings are to be used: Assets---Cash, Accounts Receivable, Office Supplies, Law Library; LiabilitiesAccounts Payable; CapitalCaroline Jones, Capital; Caroline Jones, Drawing; Income from Services; Rent Expense; Utilities Expense, Record the business transactions listed above, making certain to verify the balance in the accounting equation as a result of each business transaction. Remember that revenue increases capital; expenses decrease capital; drawing decreases capital.