1 June 1:  Hudson Bloom invested $138,576.00 cash and computer equipment with a fair market value of $37,440.00 in his new business, Byte of Accounting.

2June 1:Check # 5000 was used to purchased office equipment costing $1,056.00 from Office Express.The invoice number was 87417.

3June 1:Check # 5001 was used to purchased computer equipment costing $13,920.00 from JOHN WILLIS.The invoice number was 20117

.4June 2:Check # 5002 was used to make a down payment of $28,000.00 on additional computer equipment that was purchased from Royce Computers, invoice number 76542.  The full price of the computer was $140,000.00.A five-year note was executed by Byte for the balance.

5June 4:Additional office equipment costing $500.00 was purchased on credit from Discount Computer Corporation.The invoice number was 98432.

6June 8:Unsatisfactory office equipment costing $100.00 from invoice number 98432 was returned to Discount Computer for credit to be applied against the outstanding balance owed by Byte.

7June 10:Check # 5003 was used to make a $21,500.00 payment reducing the prinicpal owed on the June 2 purchase of computer equipment from Royce Computers.

8June 14: Check # 5004 was used to purchase a one-year insurance policy covering its computer equipment for $5,640.00 from Seth's Insurance.The effective date of the policy was June 16 and the invoice number was 2387.9June 16:A check in the amount of$6,250.00 was received for services performed for Pitman Pictures.10June 16:Byte purchased a building and the land it is on for $131,000.00 to house its repair facilities and to store computer equipment.  The lot on which the building is located is valued at $21,000.00.The balance of the cost is to be allocated to the building.Check # 5005 was used to make the down payment of $13,100.00.  A thirty year mortgage with an inital payement due on August 1st, was established for the balance. 11June 17:Check # 5006 for $5,400.00 was paid for rent of the office space for June, July and August.12June 17:Received invoice number 26354 in the amount of $275.00 from the local newspaper for advertising.13June 21: Billed various miscellaneous local customers $4,000.00 for consulting services performed.14June 21:Check # 5008 was used to purchase a fax machine for the office from Office Machines Express for $725.00.The invoice number was 975-328.15June 21:Accounts payable in the amount of $400.00 were paid with Check # 5007.16June 22:Check # 5010 was used to pay the advertising bill that was received on June 17.17June 22:Received a bill for $1,165.00 from Computer Parts and Repair Co. for repairs to the computer equipment.The invoice number was 43254.18June 22:Check # 5009 was used to pay salaries of $935.00 to equipment operators for the week ending June 18.Ignore payroll taxes.19June 23:Cash in the amount of $3,205.00 was received on billings.20June 23:Purchased office supplies for $480.00 from Staples on account.  The invoice number was 65498. 21June 28:Billed $5,910.00 to miscellaneous customers for services performed to June 25.22June 29:Cash in the amount of $5,600.00 was received for billings.23June 29:Paid the bill received on June 22, from Computer Parts and Repairs Co with Check # 5011.24June 29:Check # 5012 was used to pay salaries of $935.00 to equipment operators for the week ending June 25.Ignore payroll taxes.25June 30:Received a bill for the amount of $790.00 from O & G Oil and Gas Co.  The invoice number was 784537. 26June 30:Check # 5013 was used to pay for airline tickets of$2,100.00to send the kids to Grandma Ellen for the July 4th holiday.Adjusting Entries - Round to two decimal places. 27The rent payment made on June 17 was for June, July and August.Expense the amount associated with one month's rent.28A physical inventory showed that only $191.00 worth of office supplies remained on hand as of June 30.29The annualinterest rate on the mortgage payable was 7.50 percent.  Interest expense for one-half month should be computed because the building and land were purchased and the liability incurred on June 16. 30Record a journal entry to reflect that one half month's insurance has expired.31Areview of Byte’s job worksheets show that there are unbilled revenues in the amount of $5,250 for the period of June 28-30.The fixed assets have estimated useful lives as follows:Building - 31.5 yearsComputer Equipment - 5.0 years32Office Equipment - 7.0 yearsUse the straight-line method of depreciation.  Management has decided that assets purchased during a month are treated as if purchased on the first day of the month.The building’s scrap value is $8,000. The office equipment has a scrap value of $500.  The computer equipment has no scrap value.Calculate the depreciation for one month. 33A review of the payroll records show that unpaid salaries in the amount of $561.00 are owed byByte for three days, June 28 - 30.Ignore payroll taxes.34The note payable to Royce Computers (transactions 04 and 07) is a five-year note, with interest at the rate of 12 percent annually.Interest expense should be computed based on a 360 day year.Closing Entries35Close the revenue accounts.36Close the expense accounts.37Close the income summary account.38Close the withdrawals account. //bank

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