Question

Below are the transactions for Broncho Landscaping Masters, Inc. for the month of April 2019. This is the company's first month of operation. Its owner is a retired University of Central Oklahoma professor who wants to launch a career on HGTV April 1-Invested $15,000 cash and an SUV valued at $45,000 to start Broncho Landscaping Masters, Inc. The business issued 10,000 shares of no-par common stock in exchange for these assets. a. b. April 3--Borrowed $50,000 from Last National Bank. The loan is due in 1 year and has an interest rate of 12%. c. April 5-Purchased a work truck from Danny Stewart Motors for $9,000 cash. d. April 5--The Corporation purchased a nine-month insurance policy for $4,500 and charged the amount to an asset account. c. April 7-Performed landscape services for Peaceful Rest Cemetery and received $3,500 f. April 8-Completed a $12,000 landscaping job and billed Mercy Rest Home for the amount due. g. April 15-Paid employee salaries of $2,000. h. April 16-Received $2,300 from Judge Judy for planting a rose garden. i. April 17-Received $18,000 from Rest Well Cemetery for an annual maintenance contract. The amount was charged to a revenue account j. April 18--Received a check from Mercy Rest Home for the full amount due. k. April 19-Received a bill from Edmond Telephone Company for $400 1. April 19-Received an electric bill from Edmond Light and Power for $975 m. April 20--Purchased fuel for the SUV and truck on credit for $425. n. April 21-Paid office rent of $2,400. o. April 21--Purchased office supplies from Staples for $1,200 cash and recorded them in an inventory account. p. April 22-Paid the telephone bill and the electric bill. q. April 25-Paid $135 to Slow-Joe Lube Company for auto service. r. April 30-Received cash of $3,600 for several landscaping jobs. s. April 30-Paid a cash dividend to the owner of $1,900

Answer 1

Journal entries
			(in USD)
Date	Particulars	Dr	Cr
01-Apr	Cash	15000
	Car	45000
	Capital		60000
	(Being shares issued against consideration)
03-Apr	Cash	50000
	Loan		50000
	(Being loan taken)
05-Apr	Truck	9000
	Cash		9000
	(Being truck purchased)
05-Apr
	Prepaid insurance	4500
	Cash		4500
07-Apr	Cash	3500
	Revenue-services		3500
08-Apr	Accounts receivable	12000
	Revenue-services		12000
15-Apr	Wages	2000
	Cash		2000
16-Apr	Cash	2300
	Other income		2300
17-Apr	Cash	18000
	Advance receipt		18000
18-Apr	Cash	12000
	Accounts receivable		12000
19-Apr	Telephone	400
	Accounts payable		400
19-Apr	Electricity	975
	Accounts payable		975
20-Apr	Fuel	425
	Accounts payable		425
21-Apr	Inventory	1200
	Cash		1200
21-Apr	Rent	2400
	Cash		2400
22-Apr	Accounts payable	1375
	Cash		1375
25-Apr	Auto service expense	135
	Cash		135
30-Apr	Accounts receivable	3600
	Cash		3600
30-Apr	Dividend	1900
	Cash		1900

Trial balance
Particulars	Dr	Cr
Cash	74690
Car	45000
Loan		50000
Truck	9000
Insurance	0
Prepaid insurance	4500
Revenue-Services		15500
Accounts receivable	3600
Wages	2000
Capital		60000
Telephone	400
Electricity	975
Inventory	1200
Rent	2400
Interest expense	0
interest due		0
Accounts payable		425
Auto service expense	135
Other income		2300
Dividend	1900
Fuel	425
Advance receipt		18000
	146225	146225

Income statement
Revenue-Services		15500
Other income		2300
Total revenue		17800
Less: expenses
Wages	2000
Telephone	400
Electricity	975
Interest expense	0
Auto service expense	135
Insurance	0
Rent	2400
Fuel	425	6335
Net income		11465

Balance Sheet
Assets	Amount	Liabilities	amount
Plant property and equipment		Current liabilities
Car	45000	Advance receipt	18000
Truck	9000	Accounts payable	425
Current assets		Loan	50000
Cash	74690	interest due	0
Accounts receivable	3600	Capital and retained earnings
Inventory	1200	Capital	60000
Prepaid insurance	4500	Retained earnings	9565
	137990		137990