Robert and Chip organized Chipper Corporation on January 1, 2008. Each of these owners invested $100,000 cash and received shares of stock. Below are selected transactions that were completed during January 2008:
(1) Owner's invested $100,000 each to start the business.
(2) Prepaid three (3) months rent for $15,000 ($5,000 each month).
(3) Purchased equipment by signing a $75,000 note payable for $50,000 and paying the remainder in cash.
(4) Purchased two service vehicles for $24,000 each, paid $20,000 cash.
(5) Purchased $1,000 of supplies on account.
(6) Sales revenue on account was $85,000.
(7) Paid expenses of $48,000.
(8) Collected $42,000 from customers on account.
(9) Paid $2,000 on the note payable for the equipment and $1000 for the note payable for the service vehicles.
Record each transaction in journal form and post to the appropriate accounts in the ledger. Prepare a Trial Balance for January 31, 2008.