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please format the solution into T-account tables. J. Kamas and G Charrier have been operating a catering business for several years. In March, the partners
please format the solution into T-account tables.
J. Kamas and G Charrier have been operating a catering business for several years. In March, the partners plan to expand by opening a retail sales shop. They have decided to form the business as a corporation called Traveling Gourmet, Incorporated. The following transactions occurred in March: a Received $86,000 cash from each of the two shareholders to form the corporation, in addition to $2,600 in accounts receivable, $6,500 in equipment, a van (equipment) appraised at a fair value of $14.200, and $1,500 in supplies Gave the two owners each 620 shares of common stock with a par value of \$1 per share. b. Purchased a vacant store for sale in a good loction for $420,000, making a $84,000 cash down payment and signing a 10 year mortgage note from a local bank for the rest c. Borrowed $56,000 from the local bank on a 10 percent, one-year note d. Purchased food and paper supplies costing $11,400 in March, paid cash. e. Catered four parties in March for $4,800;$1,720 was billed and the rest was received in cash. f. Sold food at the retail store for $17,200 cash. 9. Used food and paper supplies costing $10.950 h. Recelved a $480 telephone bill for March to be paid in April. i. Paid $423 in gas for the van in March 1. Paid $7.480 in wages to employees who worked in March. k Paid a $360 dividend from the corporation to each owner. 1. Purchased $56,000 of equipment (refrigerated display cases, cabinets, tables, and chairs) and renovated and decorated the new store for $23.000 (added to the cost of the building), paid cash. Required: Required: 2. Record in the T-accounts the effects of each transaction for Traveling Gourmet, Incorporated, in March Step by Step Solution
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