Maquoketa Services was formed on May 1 2017 The following tr

Maquoketa Services was formed on May 1, 2017. The following transactions took place during the first month.

Paid the monthly salaries of the two employees, totaling $6,100.

List of Accounts:

2. Post the journal entries to T-accounts. (Post entries in the order of journal entries presented in the previous question.)

3. Prepare a trial balance as of May 31, 2017.

Please help with missing pieces. Please include any necessary calculations, thank you.

Transactions on May 1:
1.		Jay BradFord invested $40,000 cash in the company, as its sole owner.
2.		Hired two employees to work in the warehouse. They will each be paid a salary of $3,050 per month.
3.		Signed a 2-year rental agreement on a warehouse; paid $24,000 cash in advance for the first year.
4.		Purchased furniture and equipment costing $30,000. A cash payment of $10,000 was made immediately; the remainder will be paid in 6 months.
5.		Paid $1,800 cash for a one-year insurance policy on the furniture and equipment.
Transactions during the remainder of the month:
6.		Purchased basic office supplies for $420 cash.
7.		Purchased more office supplies for $1,500 on account.
8.		Total revenues earned were $20,000—$8,000 cash and $12,000 on account.
9.		Paid $400 to suppliers for accounts payable due.
10.		Received $3,000 from customers in payment of accounts receivable.
11.		Received utility bills in the amount of $380, to be paid next month.
12.		Paid the monthly salaries of the two employees, totaling $6,100.

Prepare journal entries to record each of the events listed. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select \"No Entry\" for the account titles and enter 0 for the amounts.) No. Account Titles Debit Credit 1. Cash 40000 Owner\'s Capital 40000 2. No Entry No Entry 3. Prepaid Rent 24000 Cash 24000 4. Equipment 30000 Cash 10000 Accounts Payable 20000 5. Prepaid Insurance 1800 Cash 1800 6. Supplies 420 cash 420 7. Supplies 1500 Accounts Payable 1500

Solution

1. Journal entries:

Cash :

Maquoketa Services

Trial Balance

May 31, 2017

	Account Titles	Debit	Credit
		$	$
8.	Cash	8,000
	Accounts Receivable	12,000
	Service Revenue		20,000
9.	Accounts Payable	400
	Cash		400
10.	Cash	3,000
	Accounts Receivable		3,000
11.	Utilities Expense	380
	Accounts Payable		380
12.	Salaries and Wages Expense	6,100
	Cash		6,100