Diana Mark is the president of ServicePro, Inc., a company that provides temporary employees for not-for-profit companies. ServicePro has been operating for five years; its revenues are increasing with each passing year. You have been hired to help Diana in analyzing the following transactions for the first two weeks of April:

a. April 2 Purchased office supplies for $500 on account.

b. April 5 Billed the local United Way office $1,950 for temporary services provided.

c. April 8 Paid $250 for supplies purchased and recorded on account last period.

d. April 8 Placed an advertisement in the local paper for $400 cash; the ad will run in May.

e. April 9 Purchased a new computer for the office costing $2,300 cash.

f. April 10 Paid employee wages of $1,200. Of this amount, $200 had been earned by employees in the prior period and already recorded in the Wages Payable account.

g. April 11 Received $1,000 on account from the local United Way office (from [b] above).

h. April 12 Purchased land as the site of a future office for $10,000. Paid $2,000 down and signed a note payable for the balance.

i. April 13 Received $80,000 cash as additional investment by owner Diana Mark.

j. April 14 Billed Family & Children’s Service $2,000 for services rendered this month.

k. April 15 Received the April telephone bill for $245 to be paid next month.

Required:

For each transaction, prepare a journal entry. If no entry is needed, explain why. Be sure to categorize each account as an asset (A), liability (L), owner’s equity (OE), revenue (R), or expense (E).