Question

Inbox (2,790) - Open with Preparing and posting journal entrepring a balance C3 C4 A1 P1 P2 Kasch Nowar opens a web consulting business called Meshreki Consultants and completes the following transactions in March March 1 Nawar invested $150,000 cash along with S22,000 in office equipment in the company 2 The company prepaid $6.000 cash for six months rent for an office. (Hint: Debit Prepaid Rent for $6.000.) 3 The company made credit purchases of office equipment for $2.000 and office supplies for SIU Payment is due within 10 days 6 Thompany completed services for a client and immediately received 4.000 cash 9 The company completed a $7.500 project for a client, who must pay within 30 days 12 The company paid $4,200 cash to settle the account payable created on March 3. 19 The company paid 5.000 cash for the premium on a 12-month insurance policy. (Hint: Debit Prepaid Insurance for 55.000) 22 The company received 53500 cash as partial payment for the work completed on March 9. 25 The company completed work for another client for 3.820 cm credit 29 Nawar withdrew 55,100 cash from the company for personal use. 30 The company purchased S600 of ditional office supplies on credit. 31 The company paid $500 cash for this month's utility bill Required 1. Prepare general journal entries to record these transactions (use the account titles listed in part 2). 2. Open the following ledger account their account numbers are in parentheses (use the balance col um formatCash (101k Accounts Receivable (106) Office Supplies (124: Prepaid Insurance (128) Prepaid Rent (13) Office Equipment (163) Accounts Payable (201): K. Nawar Capital (301): K Nawar. Withdrawals (30 Services Revenue (403) Utilities Expense 600 Post the journal entries from part I to the led accounts and enter the balance after each posting 3. Prepare a trial balances of the end of March Complete this problem over the weekend if you want some practice to "get ahead of the game". Journalize, Post and Trial Balance. The the three financial statements, Income, OE and Balance Sheet. To help see check figures above; ending cash balance $136,700. Then for the Trial Balance, total Dr. $187.920. In addition, turning to the financial statements Net income, $14,820 Ending OE $181,720 And on the B/S A=L+OE = $182,320

Answer 1

Cash					Account # 101
Date	Description		Debit	Credit	Balance
3/1/2020	Investment from Nawar		150,000.00		150,000.00
3/2/2020	Paid for prepaid office rent			6,000.00	144,000.00
3/6/2020	Revenue from the service to the client		4,000.00		148,000.00
12-Mar	To accounts payable			4200	143,800.00
19-Mar	Paid for prepaid insurance policy			5000	138,800.00
22-Mar	received cash for account receivable		3500		142,300.00
30-Mar	Nawar Withdraw			5100	137,200.00
31-Mar	Paid utility bill			500	136,700.00
Account receivables					Account # 106
Date	Description		Debit	Credit	Balance
9-Mar	Completed project for client		7500		7500
22-Mar	Partial Payment for Project Completed on 9-Mar			3500	4000
25-Mar	Completed work for another Client		3820		7820
Office Supplies					Account # 124
Date	Description		Debit	Credit	Balance
3-Mar	Purchase of office supplies		1700		1700
30-Mar	Additional Office supplies Purchased		600		2300
Prepaid Insurance					Account # 128
Date	Description		Debit	Credit	Balance
19-Mar	Prepaid insurance		5000		5000
Prepaid rent					Account # 131
Date	Description		Debit	Credit	Balance
2-Mar	Prepaid rent		6000		6000
Office Equipment					Account # 163
Date	Description		Debit	Credit	Balance
1-Mar	Nawar investment of office equipment		22,000		22,000
3-Mar	Purchase of office equipment		3000		25,000
Accounts Payable					Account # 201
Date	Description		Debit	Credit	Balance
3-Mar	Purchase of office equipment		3000		3000
3-Mar	Purchase of office supplies		1700		4700
12-Mar	Paid for the Office Equipment and Supplies			4200	500
30-Mar	Purchase of Additional Office supplies		600		1100
K.Nawar Capital					Account # 301
Date	Description		Debit	Credit	Balance
1-Mar	Nawar Investment		150,000		150,000
1-Mar	Nawar Office Equipment		22,000		172,000
K.Nawar Withdrawal					Account # 302
Date	Description		Debit	Credit	Balance
29-Mar	Nawar Withdraw		5100		5,100
Service Revenue					Account # 403
Date	Description		Debit	Credit	Balance
6-Mar	Completed service for the client		4000		4000
9-Mar	completed Project for the client		7500		11500
25-Mar	Completed work for another client		3820		15320
Utility Expenses					Account # 690
Date	Description		Debit	Credit	Balance
31-Mar	Paid for Utility		500		500

	Meshreki Consultants
	Trail Balance For march
		Debit	Credit
	Cash	136,700
	Accounts Receivable	7820
	Office Supply	2300
	Prepaid Insurance	5000
	Prepaid Rent	6000
	Office Equipment	25000
	Accounts Payable		1100
	Utility Expenses		500
	Service Revenue		15320
	Owners Capital		172,000
	Owners Withdrawal	5100
		187,920	188920
	Net Income	Service revenue	-	Expenses	=	15320-500	14820