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Hart, Attorney at Law, Experienced the following transactions in 2016, the first year of operations.
1. Accepted $36000.00 on April 1, 2016 as a retainer for services to be performed evenly over the next 12 months.2. Performed legal services for cash of $54000.003. Purchased $2800.00 of office supplies on account.4. Paid $2400.00 of the amount due on accounts payable.5. Paid a cash dividend to the stockholders of $5000.006. Paid cash for operating expenses of $31000.00.7. Determined that at the end of the accounting period $200.00 of office supplies remained on hand.8. On December 31, 2016, recognized the revenue that had been earned for services performed on accordance with Transaction 1.
Required:
Show the effects of the events on the financial statements using a horizontal statements model like the following one.
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