The Swanlake Tax Services business was established on 1 March of the current year to help clients with their tax planning.

During January, the business entered into the following transactions:

Required:
a Using the following column headings or account titles, prepare a worksheet to record the above transactions: date, cash, prepaid rent, office equipment, office supplies, accounts receivable, GST paid, notes payable, electricity payable, GST collected, PAYG payable, capital, tax service revenue, salary expense, electricity expense, rent expense, depreciation, interest expense, office supplies expense.
b Prepare a trial balance.
c Prepare a classified income statement for the business for March.
d Prepare a balance sheet for the business on 31 March.
e Briefly comment on how well the business did during March.

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Date 2 Mar. 3 4 Transactions Mr Swan set up the business by investing $15 000 in the business's bank account The business paid $6600 (including GST) in advance for one year's rent of office space Office equipment was purchased at a cost of $12100 (including GST). A down payment of $2000 was made, and a loan payable was signed for the balance owed. The note is due in one year 7 Office supplies were purchased for $1870 cash (including GST) 62 16 Fees of $5500 (including GST) were collected from clients for tax services provided during the first half of March 29 A salary of $2300, which included $300 PAYG tax, was paid to the office secretary 30 Mr Swan withdrew $2500 for personal use 31 The March electricity bill of $264 (including GST) was received; it will be paid in early April 31 31 Clients were billed $6600 including GST for tax services performed during the second half of March Swan recorded the following adjustments: a Rent expense for the month b Depreciation of $90 on office equipment c Interest expense of $110 on the loan payable d Office supplies used (the office supplies on hand at the end of the month were $1440).