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Paul Brown opened a business called Brown Engineering and recorded the following transactions in its first month of operations. Jun. 1 Paul Brown, the owner, invested $102,000 cash, office equipment with value of $5,500, and $61,600 of drafting equipment to launch the company in exchange for common stock. Jun. 2 The company purchased land worth $49,500 for an office by paying $7,000 cash and signing a long-term note payable for $42,500 Jun. 2 The company purchased portable building with $54,500 cash and moved it onto the land acquired on June 2. Jun. 2 The company paid $3,300 cash for the premium on 15 month insurance policy. Jun. 7 The company completed and delivered a set of plans for a client and collected $6,600 cash. Jun. 12 The company purchased $20,600 of additional drafting equipment by paying $10,000 cash and signing a long-term note payable for $10,600 Jun. 14 The company completed $14,800 of engineering services for a client. This amount is to be received in 30 days. Jun. 15 The company purchased $1,200 of additional office equipment on credit. Jun. 17 The company completed engineering services for $22,200 on credit Jun 18 The company received a bill for rent of equipment that was used on a recently completed fob. The $1,350 rent cost must be paid within 30 days Jun. 20 The company collected $7,400 cash in partial payment from the client billed on June 14. Sun. 21 The company paid $1,400 cash for wages to drafting assistant Jun. 23 The company paid $1.200 cash to settle the account payable created on June 15 Jun. 24 The company paid $950 cash for minor maintenance of its drafting equipment Jun. 26 The company paid $9,500 cash in dividends. Jun. 28 The company paid $1,400 cash for wages to a drafting assistant Jun 30 The company paid $2,540 cash for advertisements on the web during June Descriptions of items that require adjusting entries on June 30, follow. a) The company has completed, but not yet billed. $6.400 of engineering services for a client b) Straight-line depreciation on the office equipment, assuming a 5 year life and a $3.700 salvage value is $50 per month c) Straight line depreciation on the drafting equipment, assuming a 5 year life and a $9600 salvage value is $1.200 per month d) Straight line depreciation on the building, assuming a 25 year life and a $3.500 salvage value $170 per month e) The balance in prepaid Insurance represents a 15 month policy that went into effect on June 1 1) Accrued interest on the long-term note payable is $80 The drafting assistant is paid $1400 for a day work week 2 days' wages have been incurred but are unpaid as of months end, General Requrement General Trial Balance Income St Retained Journal Impact on Ledger Statement Faringe Balance Sheet Income For transactions a review the unadjusted balance and prepare the adjusting entry necessary to correctly report the revenue earned or the expense incurred. Each adjustment is posted automatically to the general ledger and trial balance as soon as you click "record entry" show less View transaction fist Journal entry worksheet 3 4 Requirement General Journal General Ledger Trial Balance Income Statement St Re Earn The unadjusted or adjusted balances will appear for each account, based on yo Unadjusted BROWN ENGINEERING Statement of Retained Earnings For Month Ended June 30, 2019 Retained earnings, June 1, 2019 Add: Net income Less Dividends Retained earnings, June 30, 2019 0 (9,500) Requirement General Journal General Ledger Trial Balance Income Statement St Re Earn The unadjusted or adjusted balances will appear for each account, based on yo Unadjusted BROWN ENGINEERING Statement of Retained Earnings For Month Ended June 30, 2019 Retained earnings, June 1, 2019 Add: Net income Less Dividends Retained earnings, June 30, 2019 0 (9,500)

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