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Following are transactions for Valdez Services, a company owned by Brina Valdez. a. Brina Valdez invested $20,000 cash in the company b. The company provided
Following are transactions for Valdez Services, a company owned by Brina Valdez. a. Brina Valdez invested $20,000 cash in the company b. The company provided services to a client and immediately received $900 cash. c. The company received $10,000 cash from a client in payment for services to be provided next year. d. The company received $3,500 cash from a client in partial payment of accounts receivable. e. The company borrowed $5,000 cash from the bank by signing a note payable. 1. Prepare general journal entries for the above transactions of Valdez Services. View transaction list Journal entry worksheet Brina Valdez invested $20,000 cash in the company. Note: Enter debits before credits. Transaction General Journal Debit Credit a. Record entry Clear entry View general Journal 2. Listed below are four reasons why a transaction would not yield a revenue. Match each of the reasons to the transaction it properly describes. Transaction Reason This transaction changed the form of an asset from a receivable to cash. Total assets were not increased (revenue was recognized when the services were originally provided). This transaction brought in cash (increased assets), and it also increased a liability by the same amount (represented by the signing of a note to repay the amount). This transaction brought in cash, but this is an owner investment. This transaction brought in cash, but it created a liability to provide services to the client in the next year
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