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In proper General Journal format,record the transactions for the month; include descriptions of eachtransaction with your journal entry. Use only the accounts shown inthe chart of accounts.

8/1      YOUfiled a charter with the State of Louisiana to form the YOURAccounting Corporation. The charter authorizes you to issue 5000shares of $2 par common stock. The state charged you a $75 fee tofile the charter. Since your business is not yet approved, you hadto pay this fee using personal funds.

9/1      Youreceived your charter from the State of Louisiana and officiallyopened your business.   Your first order of business wasto become a shareholder of YOUR Accounting Corp. To do this, youpurchased 500 shares of common stock by issuing a check to YOURAccounting Corp for $10,000. You used this money to open a checkingaccount at First Funds Bank.

9/1      Yourented an office for YOUR Accounting Corp. The monthly rent is$500, with the first month’s rent due immediately. You issue check#100 to Office Builders for the first month’s rent.

9/2      Youthen went to the Apple store and purchased a new computer systemfor your business. Your Mac Pro cost $2700 and your new printercost $450. You set up a 30-day account with Apple to make thispurchase.

9/3      Youordered business cards and stationary from Marketing Media onaccount. The order totaled $250 and will be shipped FOBDestination. (Record all purchases of supplies in the Supplies onHand account).

9/4      Youdecided to purchase a new vehicle for your business. Upon visitingPro-Auto, you decide on a new SUV at a cost of $55,000. Thisvehicle will be used 100% for business purposes. You finance thevehicle with Pig E Bank at a rate of 5% for 6 years. Your firstmonthly payment is due on October 4.

             NOTE: You will need to create a loan amortization schedule todetermine the amount of the monthly note and the interest expensefor each month. You can use a website such as www.bankrate.com tocreate the schedule. When recording your journal entries, round allamounts to the nearest dollar.

9/5      Youwent to the KEM Supply to purchase supplies for your business at acost of $600. KEM opened a customer charge account for you. Thepayment terms on your account will be 2/10, net 30. The time periodfor determining the payment amount begins on the purchase date.

9/6      Youpurchased a one-year auto insurance policy from InsureMart for$1200. InsureMart will send you a bill for the policy. YOURAccounting Corporation capitalizes all insurance policies on thedate of purchase and records the necessary expense at year-end asan adjusting entry.

9/10    Your firstclient, Red Fische, came in today needing assistance with filingthe appropriate paperwork to start his new seafood restaurant. Youissued invoice #1 to Red Fische and he paid you an initial $2,000Engagement Fee. Red Fische also agreed to contract with you toprovide accounting services for $2,500 per month.

9/12    You issue check#101 to YOUR Accounting Corp to establish a $500 Petty Cash Fund.You will use this account to make small cash purchases.

9/12    You reimburseyourself for the filing fees associated with forming yourcorporation.

9/14 You paid KEM Supply by issuingcheck #102

9/15    You hire anadministrative assistant, Mandi Handi, she will be paid a monthlysalary of $1500. You have decided that all pay periods will end onthe last day of the month and that checks will be issued on the5^th of each month.

             NOTE: Assume the following rates when preparing the payroll:federal income tax 15%, state income tax 5%, and FICA 7.65%.

             YOUR Accounting Corp. has state and federal unemployment insurancerates of 1% (FUTA) and 2% (SUTA) on the first $7,700 of wages peremployee. The employer FICA rate is 7.65%.

9/16    Marketing Mediadelivered your business cards and stationary. Check #103 was issuedto pay for the supplies.

9/20    You visited anew client, Anita Cooke, to set up a Quickbooks accounting systemfor her new business, Cooking For You. You gave Anita and invoice#2 for the Engagement Fee and she paid you by issuing a check inthe amount of $2,000. Anita also agreed to a monthly fee of $1,500for you to handle her ongoing accounting needs.

9/22    You purchased$50 of fuel for your new SUV from Get ‘n Go. You charged this toyour Get ‘n Go account.

9/30    Mandi sentpro-rated invoices, #3 & #4 , to Red Fische and Cooking For Youfor Monthly Accounting Services. The payment terms are 1/10, net30.

9/30    You accruedinterest on the Pig E. Bank note. Accrue interest based on thenumber of days in the month.

9/30    You computedand accrued the payroll for September.

9/30    You receivedmonthly bills for the following:

                          Max Power Company - $100, terms n/30

                          WaterWorks #1 - $20, terms n/30.

CHART OF ACCOUNTS:

Cash			105
Petty Cash			107
Accounts Receivable			110
Supplies on Hand			130
Prepaid Insurance			140
Computer Equipment			220
AccoumulatedDepreciation - Computer Equipment			221
Cell Phone			230
AccoumulatedDepreciation - Cell Phone			231
Vehicles			240
AccumulatedDepreciation - Vehicles			241
Accounts Payable			310
Customer Deposits (UnearnedRevenue)			320
SUTA Payable			330
FICA Payable			332
FUTA Payable			334
Federal Income TaxPayable			336
State Income Tax Payable			338
Current Maturities ofLong-Term Debt			375
Notes Payable (long-term)			410
Interest Payable			420
Salaries Payable			425
Common Stock ($2 parvalue)			520
Additional Paid-in Capital onCommon Stock			521
Retained Earnings			550
Dividends			560
Engagement Fees			605
Monthly Accounting ServicesRevenue			610
Hourly Accounting ServicesRevenue			620
Tax Services Revenue			612
Sales Discounts			614
Advertising & PromotionExpense			725
Depreciation Expense			727
Rent Expense			730
Insurance Expense			735
Supplies Expense			740
Meals & Entertainment			745
Taxes & Licenses			767
Telephone Expense			770
Utilities Expense			775
Fuel Expense			780
Interest Expense			820
Payroll Tax Expense			825
Salaries Expense			830
Income Summary			900