Michael Gould started a Web consulting firm called Gould Solutions. He began operations and completed seven transactions in April that resulted in the following accounts, which all have normal balances.

Cash

$12,485

Office supplies

560

Prepaid rent

1,500

Office equipment

11,450

Accounts payable

11,450

M. Gould, Capital

10,000

M. Gould,Withdrawals

6,200

Consulting fees earned

16,400

Operating expenses

5,655

Required

1. Prepare a trial balance for this business as of the end of April.

2. Analyze the accounts and their balances and prepare a list that describes each of the seven most likely transactions and their amounts.

3. Prepare a report of cash received and cash paid showing how the seven transactions in part 2 yield the $12,485 ending Cash balance.