Problem 2-3A

Santa Ana Services was formed on May 1, 2014. The following transactions took place during the first month.

Transactions on May 1:

1.	Don Humes invested $40,400 cash in the company, as its sole owner.
2.	Hired two employees to work in the warehouse. They will each be paid a salary of $2,540 per month.
3.	Signed a 2-year rental agreement on a warehouse; paid $25,900 cash in advance for the first year.
4.	Purchased furniture and equipment costing $28,850. A cash payment of $10,200 was made immediately; the remainder will be paid in 6 months.
5.	Paid $1,910 cash for a one-year insurance policy on the furniture and equipment.
6.	Purchased basic office supplies for $440 cash.
7.	Purchased more office supplies for $1,590 on account.
8.	Total revenues earned were $18,650?$7,050 cash and $11,600 on account.
9.	Paid $380 to suppliers for accounts payable due.
10.	Received $3,090 from customers in payment of accounts receivable.
11.	Received utility bills in the amount of $390, to be paid next month.
12.	Paid the monthly salaries of the two employees, totalling $5,080.

Santa Ana Services was formed on May 1, 2014. The following transactions took place during the first month. Transactions on May 1: 1. Don Humes invested $40,400 cash in the company, as its sole owner. Hired two employees to work in the warehouse. They will each be paid a salary of $2,540 per 2. month. Signed a 2-year rental agreement on a warehouse; paid $25,900 cash in advance for the first 3. year. Purchased furniture and equipment costing $28,850. A cash payment of $10,200 was made 4. immediately; the remainder will be paid in 6 months. 5. Paid $1,910 cash for a one-year insurance policy on the furniture and equipment. 6. Purchased basic office supplies for $440 cash. 7. Purchased more office supplies for $1,590 on account. 8. Total revenues earned were $18,650$7,050 cash and $11,600 on account. 9. Paid $380 to suppliers for accounts payable due. 10. Received $3,090 from customers in payment of accounts receivable. 11. Received utility bills in the amount of $390, to be paid next month. 12. Paid the monthly salaries of the two employees, totalling $5,080. Don't show me this message again for the assignment Your answer is incorrect. Try again. Prepare journal entries to record each of the events listed. (Record entries in the order displayed in the problem statement. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.) No Account Titles and . Explanation 1. 2. 3. 4. Debit Credit 5. 6. 7. 8. 9. 10. 11. 12