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For the boxes below they are all in this format for the following topics: Cash, Short-Term Investments, Accounts Receivable, Supplies, Prepaid Expenses, Office Equipment, Accounts
For the boxes below they are all in this format for the following topics: Cash, Short-Term Investments, Accounts Receivable, Supplies, Prepaid Expenses, Office Equipment, Accounts Payable, Unearned Revenue, Salaries Payable, Short-Term Note Payable, Common Stock, Additional Paid-in Capital, Retained Earnings, Consulting Fee Revenue, Interest Revenue, Salaries Expense, and Utilities Expense
At January 1 (beginning of its fiscal year), Freeman, Incorporated, a financial services consulting firm, reported the ollowing account balances (in thousands, except for par and market value per share): a. Received $9,500 cash for consulting services rendered. b. Issued 10 additional shares of common stock at a market price of $120 per share. c. Purchased $640 of office equipment, paying 25 percent in cash and owing the rest on a short-term note. d. Received $890 from clients for consulting services to be performed in the next year. e. Bought $470 of supplies on account. f. Incurred and paid $1,800 in utilities for the current year. g. Consulted for clients in the current year for fees totaling $1,620, due from clients in the next year. h. Received $2,980 from clients paying on their accounts. i. Incurred $6,210 in salaries in the current year, paying $5,300 and owing the rest (to be paid next year). j. Purchased $1,230 in short-term investments and paid $800 for insurance coverage beginning in the next fiscal k. Received $10 in interest revenue earned in the current year on short-term investments. At January 1 (beginning of its fiscal year), Freeman, Incorporated, a financial services consulting firm, reported the ollowing account balances (in thousands, except for par and market value per share): a. Received $9,500 cash for consulting services rendered. b. Issued 10 additional shares of common stock at a market price of $120 per share. c. Purchased $640 of office equipment, paying 25 percent in cash and owing the rest on a short-term note. d. Received $890 from clients for consulting services to be performed in the next year. e. Bought $470 of supplies on account. f. Incurred and paid $1,800 in utilities for the current year. g. Consulted for clients in the current year for fees totaling $1,620, due from clients in the next year. h. Received $2,980 from clients paying on their accounts. i. Incurred $6,210 in salaries in the current year, paying $5,300 and owing the rest (to be paid next year). j. Purchased $1,230 in short-term investments and paid $800 for insurance coverage beginning in the next fiscal k. Received $10 in interest revenue earned in the current year on short-term investmentsStep by Step Solution
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