Reference no: EM133039653

Question - George Littlechild started a new kitchen and bath design business called Littlechild Enterprises. The following activities occurred during its first month of operations, March 2016:

a) Littlechild invested $160,000 cash and office equipment valued at $20,000 in the business.

b) Purchased a small building for $600,000 to be used as an office. Paid $100,000 in cash and signed a note payable promising to pay the balance over several years.

c) Purchased $3,000 of office supplies for cash.

d) Purchased $72,000 of office equipment on credit.

e) George Littlechild made reservations at a hotel hosting a kitchen and bath design conference in August 2014. He will send a $1,000 deposit on July 1, 2016.

f) Completed a project on credit and billed the client $5,200 for the work.

g) Paid cash to a local newspaper $3,500 for an announcement that the office had opened.

h) Completed a project for a client and collected $4,000 cash.

i) Made a $4,000 cash payment on the equipment purchased in (d).

j) Received $2,500 cash from the client described in (f).

k) Paid $7,000 cash for the office secretary's wages.

l) Littlechild withdrew $3,600 cash from the company bank account to pay personal living expenses.

Required -

1. Journalize all transactions in the General Journal.

2. Open and record the transactions in T-accounts.

3. Prepare a Trial Balance report based on provided template.