During its first month of operation, the Flower Landscaping Corporation, which specializes in residential landscaping, completed the following transactions: March 1 Began business by making a deposit in a company bank account of $72,000, in exchange for 7,200 shares of $10 par value common stock. March 1 Paid the current month's rent, $4,500. March 1 Paid the premium on a one-year insurance policy, $3,300. March 7 Purchased supplies on account from Parkview Company, $900. March 10 Paid employee salaries, $2,200. March 14 Purchased equipment from Hammond Company, $9,000. Paid $1,500 down and the balance was placed on account. Payments will be $375.00 per month for twenty months. The first payment is due 4/1. Note: Use Accounts Payable for the Balance Due. March 15 Received cash for landscaping revenue for the first half of March, $4,896.
March 19 Made payment on account to Parkview Company, $450. March 31 Received cash for landscaping revenue for the last half of March, $5,304. March 31 Declared and paid cash dividend of $1,000. Prepare journal entries to record the March transactions in the General Journal below. General Journal Date Descripti Debit Credit Mar. 1 Cash 72,000 Common Stock 72,000 Mar. 1 Prepaid Insurance 3,300 Cash 3,300 Mar. 1 Rent Expense 4,500 Cash 4,500 Mar.7 Supplies 900 Accounts Payable 900 Mar. 10 Salaries Expense 2,200 Cash 2,200 Mar. 14 Equipment 9,000 Cash 1,500 Accounts Payable 7,500 Mar. 15 Cash 4,896 Landscaping Revenue 4,896 Mar. 19 Accounts Payable 450 Cash 450 Mar. 31 Cash 5,304 Landscaping Revenue 5,304 Mar. 31 Retained Earnings 1,000 Cash 1,000 103,550 103,550 How are the Accumulated Depreciation-Equipment/Depreciation Expense/Supplies/Supplies Expense calculated on the General Ledger?