Lara’s Landscaping Service has the following chart of accounts:

Assets

111 Cash

113 Accounts Receivable

115 Supplies

117 Prepaid Insurance

124 Equipment Liabilities

221 Accounts Payable

Owner’s Equity

311 J. Lara, Capital

312 J. Lara, Drawing

Revenue

411 Landscaping Income

Expenses

511 Salary Expense

512 Rent Expense

513 Gas and Oil Expense

514 Utilities Expense

The following transactions were completed by Lara’s Landscaping Service:

Mar. 1 Lara deposited $ 35,000 in a bank account in the name of the business.

4 Lara invested his personal landscaping equipment, with a fair market value of $ 1,325, in the business.

6 Bought a used trailer on account from Tow Sales, $ 915, Inv. No. 314.

7 Paid the rent for the current month, $ 950, Ck. No. 1000.

9 Bought a used backhoe from Digger’s Equipment, $ 5,300, paying $ 3,000 in cash and placing the balance on account, Inv. 4166, Ck. No. 1001.

Mar. 10 Bought liability insurance for one year, $ 1,800, Ck. No. 1002.

13 Sold landscaping services on account to Fredkey’s, $ 3,895, Inv. No. 100.

14 Bought supplies on account from Office Requip, $ 380, Inv. No. 5172.

15 Sold landscaping services on account to C. Endel, $ 2,832, Inv. No. 101.

17 Received and paid the bill from Commercial Services for gas and oil for the equipment, $ 180, Ck. No. 1003.

19 Sold landscaping services for cash to Riston Company, $ 1,864, Inv. No. 102.

22 Paid on account to Tow Sales, $ 500, Inv. No. 314, Ck. No. 1004.

24 Received on account from Fredkey’s, $ 800, Inv. No. 100.

28 Sold landscaping services on account to Stevens, Inc., $ 1,830, Inv. No. 103.

29 Received and paid the telephone bill, $ 260, Ck. No. 1005.

30 Paid the salary of the employee, $ 1,850, Ck. No. 1006.

31 Lara withdrew cash for his personal use, $ 1,500, Ck. No. 1007.

Required

1. Journalize the transactions in the general journal, beginning on page 1. Write a brief explanation for each entry.

2. Write the name of the owner on the Capital and Drawing accounts.

3. Post the journal entries to the general ledger accounts.

4. Prepare a trial balance dated March 31, 20—.