Denzel Brooks opens a Web consulting business called Venture Consultants and completes the following transactions in March.
March 1
Brooks invested $185,000 cash along with $27,000 in office equipment in exchange for common stock.
2The company prepaid $9,000 cash for six months' rent for an office. (Hint: Debit Prepaid Rent for $9,000.)
3The company made credit purchases of office equipment for $3,300 and office supplies for $1,900. Payment is due within 10 days.
6The company completed services for a client and immediately received $3,000 cash.
9The company completed a $9,200 project for a client, who must pay within 30 days.
12 The company paid $5,200 cash to settle the account payable created on March 3.
19 The company paid $8,000 cash for the premium on a 12-month insurance policy. (Hint: Debit Prepaid Insurance for $8,000.)
22The company received $5,000 cash as partial payment for the work completed on March 9.
25 The company completed work for another client for $4,240 on credit.
29 The company paid $5,700 cash in dividends.
30 The company purchased $1,000 of additional office supplies on credit.
31 The company paid $1,000 cash for this month's utility bill.
1.Prepare general journal entries to record these transactions.
2.Post the journal entries from part 1 to the ledger accounts.
3.Prepare a trial balance as of the end of March.