Golden Hurricane Company plans to own and operate a storage rental facility. For the first month of operations, the company has the following transactions.

1.Issue 10,000 shares of common stock in exchange for $45,000 in cash.

2.Purchase land for $27,700. A note payable is signed for the full amount.

3.Purchase storage container equipment for $11,500 cash.

4.Hire three employees for $3,600 per month.

5.Receive cash of $38,000 in rental fees for the current month.

6.Purchase office supplies for $4,500 on account.

7.Pay employees $6,900 for the first month’s salaries.

Required:

1. Record each transaction. Golden Hurricane uses the following accounts: Cash, Supplies, Land, Equipment, Common Stock, Accounts Payable, Notes Payable, Service Revenue, and Salaries Expense.

2. Post each transaction to T-accounts and compute the ending balance of each account. Since this is the first month of operations, all T-accounts have a beginning balance of zero.

3. After calculating the ending balance of each account, prepare a trial balance.