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Ashley Williams opened Ashleys Maids Cleaning Service on July 1, 2020. During July, the company completed the following transactions: July 1 Invested $14,000 cash in the business. 1 Purchased a used truck for $10,000, paying $3,000 cash and the balance on account. 3 Purchased cleaning supplies for $800 on account. 5 Paid $2,160 on a 1-year insurance policy, effective July 1. 12 Billed customers $3,800 for cleaning services. 18 Paid $1,000 of amount owed on truck, and $400 of amount owed on cleaning supplies. 20 Paid $1,600 for employee salaries. 21 Collected $1,400 from customers billed on July 12. 25 Billed customers $1,900 for cleaning services. 31 Paid gasoline for the month on the truck, $400. 31 Withdrew $700 cash for personal use. Additional Data: (1) Unbilled fees for services performed on July 31 were $1,300. (2) Depreciation on equipment for the month was $200. (3) One-twelfth of the insurance expired. (4) An inventory count shows $100 of cleaning supplies on hand on July 31. (5) Accrued but unpaid employee salaries were $500.

Instructions: a) Journalize and post the July transactions. b) Prepare a trial balance on July 31, 2020. c) Journalize and post the adjusting entries. d) Prepare the income statement and owners equity statement for July, and a classified balance sheet on July 31, 2020.

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