ESSAY. Write your answer in the space provided or on a separate sheet of paper. 1) Journalize the following transactions for Redmond Storage, post the entries to the General Ledger (t-accounts) and prepare a trial balance dated June 30, 2014. a) Owner, Roger Redmond invested $10,000 cash into the business b) Rented an office at the beginning of the month and paid one month's rent, $1,100 c) Purchased $450 of supplies on account d) Purchased one year of Insurance in the amount of $1,200 at the beginning of the month e) Performed a service on account, $1,550 f) Paid $2,500 cash for office furniture g) Owner, Roger Redmond withdrew $1,700 cash for personal use. h) Collected $1,200 on account. 1) Record the adjusting entry for insurance and rent expense at the end of the month 2) Based on the following adjusted trial balance, prepare an income statement and statement of Owner's Equity for Summers Company for the year ended December 31, 2013 Summers Company Adjusted Trial Balance December 31, 2013 Credit Debit $10,500 20,000 2,700 10,000 Cash Accounts receivable Supplies Office furniture Accum. amort-office furniture Salary payable Unearned service revenue Jody Summers. Capital Jody Summers, Withdrawals Service revenue Salary expense $4,350 760 1.140 12.550 2.800 10.060 S 360 2) Based on the following adjusted trial balance, prepare an income statement and statement of Owner's Equity for Summers Company for the year ended December 31, 2013 Summers Company Adjusted Trial Balance December 31, 2013 Credit Debit $10,500 20,000 2,700 10,000 Cash Accounts receivable Supplies Office furniture Accum, amort-office furniture Salary payable Unearned service revenue Jody Summers, Capital Jody Summers, Withdrawals Service revenue Salary expense Rent expense Amort, expense-office furn Supplies expense Total $4,350 760 1.140 12,550 2,800 40,060 8,360 2,850 350 1.300 $55,560 $55.860