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On April 1, Kay Wright created a new travel agency, Wright Travel. The following transactions occurred during the company's first month. April 2 Wright invested
On April 1, Kay Wright created a new travel agency, Wright Travel. The following transactions occurred during the company's first month. April 2 Wright invested $36,000 cash and computer equipment worth $17,400 in the company. April 3 The company rented furnished office space by paying $2,000 cash for the first month's (April) rent. April 4 The company purchased $1,800 of office supplies for cash. April 10 The company paid $3,240 cash for a 12-month insurance policy. Coverage begins on April 11. April 14 The company paid $2,100 cash for two weeks' salaries earned by employees. April 24 The company collected $12,000 cash for commissions revenue. April 28 The company paid $2,100 cash for two weeks' salaries earned by employees. April 29 The company paid $800 cash for minor repairs to computer equipment. April 30 The company paid $550 cash for this month's telephone bill. April 30 Wright withdrew $2,100 cash from the company for personal use. Information for month-end adjustments follows: a. Prepaid insurance of $180 expired this month. b. At the end of the month, $1,100 of office supplies are still available. c. This month's depreciation on computer equipment is $290. d. Employees earned $840 of unpaid and unrecorded salaries as of month-end. e. The company earned $1,830 of commissions revenue that is not yet recorded at month-end
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