Question
On April 1,MarySmithestablishedSmith's Travel Agency. The following transactions were completed during the month. 1.Invested $13,000cash to start the agency.2.Paid $500cash for April office rent.3.Purchased equipment
On April 1,MarySmithestablishedSmith's Travel Agency. The following transactions were completed during the month.
1.Invested $13,000cash to start the agency.2.Paid $500cash for April office rent.3.Purchased equipment for $2,000cash.4.Incurred $600of advertising costs in theChicago Tribune,on account.5.Paid $500cash for office supplies.6.Performed services worth $10,000: $2,500cash is received from customers, and the balance of $7,500is billed to customers on account.7.Withdrew $400cash for personal use.8.PaidChicago Tribune$400of the amount due in transaction (4).
9.Paid employees' salaries $2,000.10.Received $4,500in cash from customers who have previously been billed in transaction (6).
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