Create T-charts for each transaction. Then create journal entries for each.

Accounting Cycle Project Transactions (1/31)

• Orca Company pays its supplier for inventory purchased on 1/2/2022 (owed $5,000)
• Orca Company provides services worth $5,000 and is paid in cash
• Orca Company allocates $20,000 for payment to employees for salaries.
• Orca Company purchases a building using a note payable for $480,000 at 5.00% annual interest and Orca Company puts $15,000 down.

Accounting Cycle Project Transactions (2/2)

• Schedules a service to be performed later, but receives the $3,000 for the service now
• Pays the supplier for inventory purchased on 1/9 (owed $5,000)
• Pays the employee salaries allocated on 1/31 for the month of January ($20,000)
• Pays January utilities of $1,750
• Pays rent for February ($500)

Accounting Cycle Project Transactions (2/4)

• Provides services to a customer worth $16,000. The customer pays for half of the service now and the rest is on account
• Purchases liability insurance for its business starting in February at $12,000 for the year. Note all $12,000 is paid immediately
• Purchases $2,000 of supplies, on account. The supplies purchased on 1/1 have all been used.
• Purchases a $30,000 equity stake (investment) in a start-up company
• Orca Company prepares its January adjusting and closing entries (performed together in class on 2/7)

Accounting Cycle Project Transactions (2/7)

• Sells Common Stock for $50,000

• Provides Services to Customers worth $10,000 and is paid in cash

• Purchases new advertisements for $4,400

• Pays for supplies purchased on 2/4

• Provides the services to customers scheduled on 2/2

• A customer approaches Orca Company and requests a service worth $6,000. The customer pays Orca Company $2,000 now and will pay the other $4,000 once the service is provided.