Business Operations:

After an initial review of a new client's operations a proposal is developed by a team to improve the client's operations by the purchase of off the shelf software or more often the modification of off the shelf software.

Significant Accounting Policies:

The business has adopted the following accounting policies:

Fixed assets that cost less than $$500\mathrm{.}00$ are expensed.

The allowance method is used to account for bad debts.

When calculating depreciation, assets purchased during a month are treated as if purchased on the first day of the month.

Transaction

Description of transaction

June $1$: Jason, an investor, made an investment in Byte by purchasing $2,400$ shares of its common stock paying $$67,200\mathrm{.}00$ in cash.

June $1$: Sarah Gartung, an investor, made an investment in Byte by purchasing $2,620$ shares of its $02.$ common stock paying $$30,520\mathrm{.}00$ in cash, and contributing to Byte computer equipment with a fair market value of $$42,840.$

June $1$: Josh, an investor, made an investment in Byte by purchasing $1,934$ shares of its common $03.$ stock paying $$37,800\mathrm{.}00$ in cash, and contributing to Byte computer equipment with a fair market value of $$15,120$ and office equipment with a fair value of $$1,232.$

June $2$: Check # $6001$ for $$31,000$ was issued as a down payment for new computer equipment that cost $$155,000$ on invoice $827364$ from Dell. A five$-$year note was executed by Byte for the balance.

June $4$: Additional office equipment costing $$4,300$ was purchased on credit from Perez's Discount Computer Corporation, invoice number AB$9865.$