Please prepare journal entries for the following statements. You will also need to prepare the related T-accounts for each journal entry. Then you should prepare the trial balance, the adjusting entries, the financial statements and the closing entries. Additionally, for each account that you use in the journal entries, please indicate which component of the Accounting Equation this account belongs in (if this is unclear, please ask). 9/1/21 – Mary decides to open a new business. She has $20,000 to invest in the company, and she buys all 100 shares of stock. 9/1/21 – Mary borrows $90,000 from Suntrust Bank. This loan will be repaid in 3 years and will charge interest at 4% semi-annually. She will pay $3,600 per year. 9/1/21 – Mary hires an accountant and financial advisor to help manage her business and her money. She will pay her accountant an hourly rate of $90 per hour. 9/1/21 – Mary signs a contract to provide services to a local school district. She will provide services for 12 months and will receives $240,000 of the cash when she signs the contract on 9/1/21. 9/2/21 – Mary decides that she wants to have an office. She buys a small office in a local building. The office costs her $120,000. She pays $40,000 cash and the rest on account to be paid by December 31, 2021. 9/2/21 – Mary buys supplies for $7,500 and equipment for $10,500. She pays for the supplies with account and the equipment with cash. 9/4/21 – Mary hires an assistant and pays her assistant $3,000 per month. She will not pay the assistant his salary until 9/30/21, but pays him a signing bonus today of $3,000. 9/5/21 – Mary has a small fire at her office and unfortunately her supplies are totally burnt and will not usable. They will not provide her with any future benefit. 9/15/21 – Mary performs a consulting job for a client. She completed the assignment and earns $85,000. She received $20,000 in cash and will get the rest in October. 9/16/21 – Mary pays $20,000 of the amount that she owes on the building and she also pays for the supplies that were ruined. 9/30/21 – Mary pays her accountant $4,500 for services performed.

Question

Please prepare journal entries for the following statements. You will also need to prepare the related T-accounts for each journal entry. Then you should prepare the trial balance, the adjusting entries, the financial statements and the closing entries.

Additionally, for each account that you use in the journal entries, please indicate which component of the Accounting Equation this account belongs in (if this is unclear, please ask).

9/1/21 – Mary decides to open a new business. She has $20,000 to invest in the company, and she buys all 100 shares of stock.
9/1/21 – Mary borrows $90,000 from Suntrust Bank. This loan will be repaid in 3 years and will charge interest at 4% semi-annually. She will pay $3,600 per year.
9/1/21 – Mary hires an accountant and financial advisor to help manage her business and her money. She will pay her accountant an hourly rate of $90 per hour.
9/1/21 – Mary signs a contract to provide services to a local school district. She will provide services for 12 months and will receives $240,000 of the cash when she signs the contract on 9/1/21.
9/2/21 – Mary decides that she wants to have an office. She buys a small office in a local building. The office costs her $120,000. She pays $40,000 cash and the rest on account to be paid by December 31, 2021.
9/2/21 – Mary buys supplies for $7,500 and equipment for $10,500. She pays for the supplies with account and the equipment with cash.
9/4/21 – Mary hires an assistant and pays her assistant $3,000 per month. She will not pay the assistant his salary until 9/30/21, but pays him a signing bonus today of $3,000.
9/5/21 – Mary has a small fire at her office and unfortunately her supplies are totally burnt and will not usable. They will not provide her with any future benefit.
9/15/21 – Mary performs a consulting job for a client. She completed the assignment and earns $85,000. She received $20,000 in cash and will get the rest in October.
9/16/21 – Mary pays $20,000 of the amount that she owes on the building and she also pays for the supplies that were ruined.
9/30/21 – Mary pays her accountant $4,500 for services performed.