Problem 2-7A Preparing and posting journal entries; preparing a trial balance LO3, 4, 5, 6 CHECK FIGURE: 4. Total Dr. = $176,230 Elizabeth Wong has strong problem-solving skills and loves to work with people. After becoming a Certified Human Resources Professional (CHRP) and working for several companies, she opened her own business, HR Solutions. She completed the following transactions during May 2020: May 1 Invested $78,000 in cash and office equipment that had a fair value of $51,000 in the business. 1 Prepaid $15,300 cash for three months' rent for an office. 2 Made credit purchases of office equipment for $25.500 and office supplies for $5,100. 6 9 10 19 Paid $7,800 cash for the annual premium on an insurance policy. 22 25 25 31 31 31 Completed a report on hiring solutions for a client and collected $8.300 cash Completed a $16.300 project implementing a training program for a client, who will pay within 30 days. Paid half of the account payable created on May 2. Received $13,100 as partial payment for the work completed on May 9. Developed a performance review process for another client for $5,580 on credit Paid wages for May totalling $35.500. Withdrew $5.300 cash from the business to take a trip to Paris in June. Purchased $1,750 of additional office supplies on credit Paid $1,430 for the month's utility bill Required 1. Prepare journal entries to record the transactions. Use page 1 for the journal. 2. Set up the following accounts (use the balance column format or T-accounts): Cash ceivable (106): Office Supplies (124); Prepaid Insurance (128); Prepaid Rent (131) We've updated our read aloud feature Give it a try here On a separate piece of paper complete Problem 2-7A on page 136. Using your answer drag the correct answers to the missing numbers in the ledgers below. Accounts Receivable 106 Acct # Date Explanation PR Debit $ Credit $ Balance $ 2020, May 9 G1 16,300 16,300 22 G1 13,100 25 G15,580 Accounts Payable Acct # 201 Date Explanation PR Debit $ Credit $ Balance $ 2020, May 2 G1 30,600 30,600 10 G115,300 31 G1 1,750 3,200 8,780 15,300 17,050 29,400 -3,200 -2,380 45,900 13,550