Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Ming Chen started a business and had the following transactions in June. a. Owner invested $68,000 cash in the company along with $19,000 of equipment
Ming Chen started a business and had the following transactions in June. a. Owner invested $68,000 cash in the company along with $19,000 of equipment in exchange for its common stock. b. The company paid $1,900 cash for rent of office space for the month. c. The company purchased $13,000 of additional equipment on credit (payment due within 30 days). d. The company completed work for a client and immediately collected $2,800 cash. e. The company completed work for a client and sent a bill for $7,800 to be received within 30 days. f. The company purchased additional equipment for $6,600 cash. g. The company paid an assistant $2,000 cash as wages for the month. h. The company collected $6,000 cash as a partial payment for the amount owed by the client in transaction e. i. The company paid $13,000 cash to settle the liability created in transaction c. j. The company paid $1,300 cash in dividends to the owner (sole shareholder). Required: Complete the table using additions and subtractions to show the dollar effects of the transactions on individual items of the accounting equation. (Enter decreases to account balances with a minus sign.)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started