The first seven transactions of Gallagher Advertising, Inc., have been posted to the company’s accounts:

Requirement
1. Prepare the journal entries that served as the sources for the seven transactions. Include an explanation for each entry. Determine the ending balance in each account. As Gallagher moves into the next period, how much cash does the business have? How much does Gallagher owe in total liabilities?

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Supplies Cash Land Equipment 4,000 90 (1) (2) (3) 900 | (5) (4) 8,800 | (4) 8,500 | (6) 90 | (7) (7) 11,000 290 4,000 34,000|| (5) Accounts Payable Note Payable (2) 8,500 23,000 (4) Common Stock Ta) 290 | (3) (6) |(1) 900 8,800