Accounting Assignment $(100)$

$1.$ Ms$.$ Anna started her business $($Anna Car Repairing Shop$)$ on January $1,2018.$ During the first month of its operations, the business engaged in the following transactions:

Date Transactions

Jan $1$

Jan $2$ Anna invested cash $$100,000$ as initial capital to start the business.

An amount of $$36,000$ was paid as advance rent for three months.

Jan $3$ Paid $$60,000$ cash on the purchase of equipment costing $$80,000.$ The remaining amount was recognized as note payable.

Jan $4$ Purchased office supplies costing $$17,600$ on account.

Jan $13$ Provided services to its customers and received $$28,500$ in cash.

Jan $13$ Paid the accounts payable on the office supplies purchased on January $4.$

Jan $14$ Paid wages to its employees for the month of January, aggregating $$19,100.$

Jan $18$ Provided $$54,100$ worth of services to its customers. They paid $$32,900$ and promised to pay the remaining amount in the next month.

Jan $23$ Received $$15,300$ from customers for the services provided on January $18.$

Jan $25$ Received $$4,000$ as an advance payment from customers.

Jan $26$ Purchased office supplies costing $$5,200$ on account.

Jan $28$ Paid water bill of $$19,000$ for January

Jan $31$ Paid $$5,000$ advertising expense.

Jan $31$ Received electricity bill of $$2,470$ for January.

Jan $31$ Received telephone bill of $$1,494$ for January.

Jan $31$ Miscellaneous expenses paid during the month totaled $$3,470.$

Instructions:

a$)$ Journalize the transactions with explanations $($Ignore the reference numbers$).(16)$

b$)$ Post the transactions in the ledger account. $(16)$

c$)$ Prepare a Trial Balance for Jan $31,2018.(10)$

d$)$ Prepare an Income Statement and a classified Balance for Jan $31,2018$ based on the information available in the trial balance. $(10)$