Mr.X launched a new business called mr.x business services that began operations on Jan. 1,2015. The ff. transactions were completed by the company during the first month, Jan 1 Mr x invested $500,000 in the business for operations.
1 Paid $30,000 cash for rent for the next six months
1 Borrowed $ 175,000 from First National Bank.
1 Paid $6,000 for insurance for the first quarter.
2 Purchased $15,000 worth of equipment from skyline office equipment paying $5,000 cash with the balance being paid for 20 days.
4 Paid $1,500 cash to advertise the grand opening of the business
5 Received $3,500 for services provided to Remington Steele.
6 Mr.X donated $7,500 worth the Computer Equipment to his business.
8 Performed business services for Hush Puffy Co. and received $1,750 in a cash payment.
9 Performed $22, 500 of business services for PDQ Company on credit.
10 Paid $750 in cash to Puffy Cleaning Services for services provided.
11 Received $8,500 from PDQ Company for business services performed on January 9.
12 Purchased $1,300 of Office Equipment and $700 of Office Supplies on credit.
14 Performed $2,500 of business services on credit for Johnson Realty.
15 Earned Employment fees of $1,500 which will be paid by 31 March 2015
20 Paid balance due to Skyline for the equipment purchased on January 2nd.
21 Received $1,250 in cash for services performed for Johnson Realty on June 22.
22 Received computer equipment worth $5,000 for services rendered to Zerox Co.
24 Accrued $750 of Interest Revenue from the bank.
25 Purchased $2,000 of Office Supplies on credit.
30 Paid $250 cash for this month's telephone bill.
30 Paid $750 cash for utilities.
31 Paid $ 5,500 for employees wages for the month.
31 Expensed January's insurance payment.
31 Expensed January's rent out of the prepaid account
Required: Determine the accounts affected by the journal entries above and prepare the journal entries.