1. Prepare general journal entries to record the transactions above for Spade Company by using the following accounts: Cash; Accounts Receivable; Office Supplies; Office Equipment; Accounts Payable; Common Stock; Dividends; Fees Earned; and Rent Expense. 2. Post the above journal entries to T-accounts, which serve as the general ledger for this assignmen

Question Completion:

The transactions of Spade Company appear below. a. Kacy Spade, owner, invested $18,750 cash in the company in exchange for common stock. b. The company purchased office supplies for $544 cash. c. The company purchased $10,369 of office equipment on credit. d. The company received $2,212 cash as fees for services provided to a customer. e. The company paid $10,369 cash to settle the payable for the office equipment purchased in transaction c. f. The company billed a customer $3,975 as fees for services provided. g. The company paid $530 cash for the monthly rent. h. The company collected $1,670 cash as partial payment for the account receivable created in transaction f. i. The company paid $1,000 cash in dividends to the owner (sole shareholder).

Spade Company

General Journal Entries:

a. Debit Cash $18,750

Credit Common stock $18,750

To record cash contributed in exchange of common stock.

b. Debit Office supplies $544

Credit Cash $544

To record the purchase of office supplies.

c. Debit Office Equipment $10,369

Credit Accounts Payable $10,369

To record the purchase of office equipment on account.

d. Debit Cash $2,212

Credit Fees Earned $2,212

To record the receipt of cash for earned fees.

e. Debit Accounts Payable $10,369

Credit Cash $10,369

To record the payment for office equipment.

f. Debit Accounts Receivable $3,975

Credit Fees Earned $3,975

To record the supply of services on account.

g. Debit Rent Expense $530

Credit Cash $530

To record payment for monthly rent.

h. Debit Cash $1,670

Credit Account receivable $1,670

To record the receipt of cash on account.

i. Debit Dividends $1,000

Credit Cash $1,000

To record the payment of cash dividend.

2. T-accounts:

Cash

Account Title           Debit      Credit

Common stock    $18,750

Office supplies                     $544

Fees Earned            2,212

Accounts Payable              10,369

Rent Expense                         530

Account receivable 1,670

Dividends                            1,000

Accounts receivable

Account Title           Debit      Credit

Fees Earned         $3,975

Cash                                       $1,670

Office Supplies

Account Title           Debit      Credit

Cash                       $544

Office Equipment

Account Title           Debit      Credit

Accounts Payable $10,369

Common Stock

Account Title           Debit      Credit

Cash                                      $18,750

Accounts Payable

Account Title           Debit      Credit

Office Equipment                $10,369

Cash                     $10,369

Fees Earned

Account Title               Debit      Credit

Cash                          $2,212

Accounts Receivable 3,975

Rent Expense

Account Title               Debit      Credit

Cash                           $530

Dividends

Account Title               Debit      Credit

Cash                         $1,000

Explanation:

a) Data and Analysis:

a. Cash $18,750 Common stock $18,750

b. Office supplies $544 Cash $544

c. Office Equipment $10,369 Accounts Payable $10,369

d. Cash $2,212 Fees Earned $2,212

e. Accounts Payable $10,369 Cash $10,369

f. Accounts Receivable $3,975 Fees Earned $3,975

g. Rent Expense $530 Cash $530

h. Cash $1,670 Account receivable $1,670

i. Dividends $1,000 Cash $1,000

being born in poverty would limit the people's chances, opportunities and benefits.

this happen because of several things, such as:

- poor people tend to gain less access to good education and nutrition. this mean that their chance to obtain high paying jobs would also be limited.

- poor people tend to socialize with other poor people while the rich tend to socialize with other rich people. this means that simply throguh their social circle, rich people would have more business opportunities compared to the poor people.

- rich people tend to have more capital in their disposal. this would benefit them in business since it is far easier for them to fund their business operation compared to poor people.