Journalize

Byte of Accounting, Inc.

June 1: Byte of Accounting, Inc. acquired $52,800 in cash from Lauryn and issued 2,400 shares of its common stock.

June 1: Byte of Accounting, Inc. issued 2,600 shares of its common stock to Brandon Brannon after $24,640 in cash and computer equipment with a fair market value of $32,560 were received.

June 1: Byte of Accounting, Inc. issued 2,342 shares of its common stock after acquiring from Courtney $38,500 in cash, computer equipment with a fair market value of $12,320 and office equipment with a fair value of $704.

June 2: A down payment of $28,000 in cash was made on additional computer equipment that was purchased for $140,000. A five-year note was executed by Byte for the balance.

June 4: Additional office equipment costing $300 was purchased on credit from Discount Computer Corporation.

June 8: Unsatisfactory office equipment costing $60 was returned to Discount Computer for credit to be applied against the outstanding balance owed by Byte.

June 10: Byte paid $21,500 on the balance it owed on the June 2 purchase of computer equipment.

June 14: A one-year insurance policy covering its computer equipment was purchased by Byte for $6,312 in cash. The effective date of the policy was June 16.

June 16: A check in the amount of $8,000 was received for consulting revenue.

June 16: Byte purchased a building and the land it is on for $107,000, to house its repair facilities and to store computer equipment. The lot on which the building is located is valued at $17,000. The balance of the cost is to be allocated to the building. Byte made a cash down payment of $10,700 and executed a mortgage for the balance. The mortgage is payable in eight equal annual installments beginning July 1.

June 17: Cash of $5,400 was paid for rent for June, July and August. Put the total amount into the Prepaid Rent account.

June 17: Received a bill of $350 from the local newspaper for advertising.

June 21: Accounts payable in the amount of $240 were paid.

June 21: A fax machine for the office was purchased for $850 cash.

June 21: Billed various miscellaneous local customers $4,000 for consulting services performed.

June 22: Paid salaries of $910 to equipment operators for the week ending June 18.

June 22: Received a bill for $1,140 from Computer Parts and Repair Co. for repairs to the computer equipment.

June 22: Paid the advertising bill that was received on June 17.

June 23: Purchased office supplies for $680 on credit. Record the purchase as an increase to the assets.

June 23: Cash in the amount of $3,205 was received on billings.

June 28: Billed $6,120 to miscellaneous customers for services performed to June 25.

June 29: Paid the bill received on June 22, from Computer Parts and Repairs Co.

June 29: Cash in the amount of $5,799 was received for billings.

June 29: Paid salaries of $910 to equipment operators for the week ending June 25.

June 30: Received a bill for the amount of $940 from O & G Oil and Gas Co.

June 30: Paid a cash dividend of $0.23 per share to the three shareholders of Byte. [IMPORTANT NOTE: The number of shares of capital stock outstanding can be determined from the first three transactions.]