Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The following transactions occurred during August: ( a ) Invested cash in the business, $ 3 0 , 0 0 0 . ( b )

The following transactions occurred during August:
(a) Invested cash in the business, $30,000.
(b) Purchased a used van for cash, $8,000.
(c) Purchased plumbing equipment on account, $4,000.
(d) Recelved cash for services rendered, $3,000.
(e) Paid cash on account owed from transaction (c), $1,000.
(f) Paid rent for the month, $700.
(g) Paid phone bill, $100.
(h) Earned revenue on account, $4,000.
(i) Purchased office supplies for cash, $300.
(0) Paid wages to student, $500.
(k) Purchased a one-year insurance policy, $800.
(l) Received cash from services performed in transaction (h), $3,000.
(m) Paid cash for advertising expense, $2,000.
(n) Purchased additional plumbing equipment for $2,000, paying $500 cash and spreading the remaining payments over the ne
(o) Earned revenue from services for the remainder of the month of $2,800 : $1,100 in cash and $1,700 on account.
(p) Withdrew cash at the end of the month, $3,000.
image text in transcribed

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Essentials Of Federal Taxation 2019

Authors: Brian Spilker, Benjamin Ayers, John Robinson, Edmund Outslay, Ronald Worsham, John Barrick, Connie Weaver

10th Edition

1260189988, 1260189678, 9781260189674, 978-1259917103, 125991710X, 978-1260190045

Students also viewed these Accounting questions

Question

Define success.

Answered: 1 week ago