Question
Santo Birch opens a Web consulting business called Show-Me-the-Money and completes the following transactions in its first month of operations. March 1 Birch invests $125,000
Santo Birch opens a Web consulting business called Show-Me-the-Money and completes the following transactions in its first month of operations. |
March 1 | Birch invests $125,000 cash along with office equipment valued at $30,000 in the company in exchange for common stock. |
2 | The company prepaid $7,200 cash for twelve months' rent for office space. (Hint: Debit Prepaid Rent for $7,200.) |
3 | The company made credit purchases for $15,000 in office equipment and $3,000 in office supplies. Payment is due within 10 days. |
6 | The company completed services for a client and immediately received $2,000 cash. |
9 | The company completed a $10,000 project for a client, who must pay within 30 days. |
13 | The company paid $18,000 cash to settle the account payable created on March 3. |
19 | The company paid $6,000 cash for the premium on a 12-month insurance policy. (Hint: Debit Prepaid Insurance for $6,000.) |
22 | The company received $8,000 cash as partial payment for the work completed on March 9. |
25 | The company completed work for another client for $2,640 on credit. |
29 | The company paid $6,200 cash for dividends. |
30 | The company purchased $1,000 of additional office supplies on credit. |
31 | The company paid $700 cash for this month's utility bill. |
Required: | |
1. | Record these transactions using the following titles: Cash (101); Accounts Receivable (106); Office Supplies (124); Prepaid Insurance (128); Prepaid Rent (131); Office Equipment (163); Accounts Payable (201); Common Stock (307); Dividends (319); Services Revenue (403); and Utilities Expense (690). |
can you help |
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