1. Journalize the entries for the statement below. Each statement impacts two accounts. Stat journalizing with the account that will be debited, than the one that will be credited. The journalizing verbiage comes from the statement. E.g. Elon Must Invested $30,000 of land, we will debit lad and credit capital.

Land 30,0000 (land is an asset, it increases with a debit)

Capital 30,000 (capital is equity, it increases with a credit)

Scenario: John Smith invested $50,000 cash for his new tax business. He prepaid rent for the whole year for $12,000 with that money. He purchased supplies in cash for $400. He withdrew $800 form the business account. Someone paid him $2,000 to be their tax preparer for next year. John has an outstanding bill for $280 for the electricity and purchased a new computer on credit for $670.

1. Using the table below, create an: Income Statement, Statement of Owners Equity, and a Balance Sheet.

Cash	$52,100
Accounts Receivable	$8,000
Supplies	$400
Equipment	$12,000
Accounts Payable	$3,000
Owners Investment	$70,000
Owners Withdrawal	$900
Revenue	$6,000
Expenses	$5,600