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McCoy Corporation provides plumbing services. Transactions during the first year of operations are provided below. a) Received $11,000 cash and issued common stock to Sharon

  1. McCoy Corporation provides plumbing services. Transactions during the first year of operations are provided below.
  2.  
  3. a) Received $11,000 cash and issued common stock to Sharon McCoy.
  4. b) Paid $2,000 cash for equipment to be used for plumbing repairs.
  5. c) Borrowed $13,000 from a local bank and deposited the money in the checking account.
  6. d) Paid $400 rent for the year.
  7. e) Purchased $400 of office supplies by cash.
  8. f) Completed a plumbing repair project for a local lawyer and received $3,500 cash.
  9.  
  10. Calculate the number of total liabilities at the end of the first year.
  11.  
  12.  A. $11,000
  13.  B. $13,000
  14.  C. $22,000
  15.  D. $3,500

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