Assignment
You are setting up a sports consulting business and you need to journalize the following transactions. Set up the following T accounts (cash, name-equity, office equipment, accounts payable, prepaid rent, wage expense, revenue, accounts receivable, unearned revenue, and advertising expense); then post the journal activity to the T accounts. Strike an ending balance for each T account.
1. 9/1 Deposited $100,000 of your personal funds into the business bank account.
2. 9/3 Purchased $14,000 of office equipment and computers on credit.
3. 9/4 Paid for four months of rent at a facility at $2,000 per month.
4. 9/10 Paid a college intern for help in setting up the business. The student worked 20 hours at $13 per hour.
5. 9/14 Advised a young professional athlete on setting up a retirement plan. The athlete paid you $1,000.
6. 9/15 Paid $4,000 on the bill for the office equipment.
7. 9/19 Advised a sports promoter on potential new business. You did not receive cash but you billed the promoter $2,500.
8. 9/22 A third new client pays you $12,000 as a retainer for future consulting work. You deposit the $12,000.
9. 9/23 The sports promoter pays you $500 on the bill she owes.
10. 9/28 Paid $6,000 for an ad to appear in a regional sports magazine.
You can submit your work in either a word document or excel spreadsheet.