Exercise 13-17A (Algo) Recording transactions in the general journal and T-accounts LO 13-1, 13-2

The following events apply to Montgomery Company for Year 1, its first year of operation:

1. Receiyed cash of $40,000 from the issue of common stock.

2. Performed $59,000 of services on account.

3. Incurred $8,700 of other operating expenses on account.

4. Paid $32,000 cash for salaries expense.

5. Collected $40,000 of accounts receivable

6. Paid $4,100 dividend to the stockholders.

7. Performed $10,600 of services for cash.

8. Paid $6,600 of the accounts payable.

Required

a. Record the preceding transactions in general journal form

b. Post the entries to T-accounts and determine the ending balance in each account.

c. & d. Determine the amount of total assets at the end of Year 1, and the amount of net income for Year 1.

Exercise 13-17A (Algo) Recording transactions in the general journal and T-accounts LO 13-1,13-2 The following events apply to Montgomery Company for Year 1 , its first year of operation: 1. Recelyed cash of $40,000 from the issue of common stock. 2. Performed $59.000 of services on account. 3. Incurred $8,700 of other operating expenses on account. 4. Paid $32,000 cash for salaries expense. 5. Collected $40,000 of accounts recelvable. 6 . Paid a $4,100 dividend to the stockholders. 7. Performed $10,600 of services for cash. 8. Paid $6,600 of the accounts payable. Required a. Record the preceding transactions in general journal form. b. Post the entries to T-accounts and determine the ending balance in each account c. \& d. Determine the amount of total assets at the end of Year 1 , and the amount of net income for Yeat 1. Record the preceding transactions in general journal form. (If no entry is required for a transaction/event; select 'No journal entry requirgle in the first account field.) Post the entries to T-accounts and determine the ending balance in each account