Answer:
April 5 Prepared building plans for Spangler Construction Company. Sent Spangler an invoice for $13,200 requesting payment within 30 days. (The appropriate revenue account is entitled Drafting Fees Earned.)
Dr Accounts receivable 13,200
Cr Drafting fees earned 13,200
May 17 Declared a cash dividend of $2,400. The dividend will not be paid until June 25.
Dr Retained earnings 2,400
Cr Dividends payable 2,400
*DOES NOT AFFECT INCOME STATEMENT
May 29 Received a $5,400 bill from Bob Needham, CPA, for accounting services performed during May. Payment is due by June 10. (The appropriate expense account is entitled Professional Expenses.)
Dr Professional expenses 5,400
Cr Accounts payable 5,400
June 4 Received full payment from Spangler Construction Company for the invoice sent on April 5.
Dr Cash 13,200
Cr Accounts receivable 13,200
*DOES NOT AFFECT INCOME STATEMENT
June 10 Paid Bob Needham, CPA, for the bill received on May 29.
Dr Accounts payable 5,400
Cr Cash 5,400
*DOES NOT AFFECT INCOME STATEMENT
June 25 Paid the cash dividend declared on May 17.
Dr Dividends payable 2,400
Cr Cash 2,400
*DOES NOT AFFECT INCOME STATEMENT