Transaction Description of transaction

$01.$ June $1$: Hudson Bloom invested $$112,723\mathrm{.}00$ cash and computer equipment with a fair market value of $$34,960\mathrm{.}00$ in his new business, Byte of Accounting.

$02.$ June $1$: Check # $5000$ was used to purchased computer equipment costing $$10,120\mathrm{.}00$ from zachary luhmann. The invoice number was $20117.$

$03.$ June $1$: Check # $5001$ was used to purchased office equipment costing $$943\mathrm{.}00$ from Office Express. The invoice number was $87417.$

$04.$ June $2$: Check # $5002$ was used to make a down payment of $$34,000\mathrm{.}00$ on additional computer equipment that was purchased from Royce Computers, invoice number $76542.$ The full price of the computer was $$170,000\mathrm{.}00.$ A five$-$year note was executed by Byte for the balance.

$05.$ June $4$: Additional office equipment costing $$300\mathrm{.}00$ was purchased on credit from Discount Computer Corporation. The invoice number was $98432.$

$06.$ June $8$: Unsatisfactory office equipment costing $$60\mathrm{.}00$ from invoice number $98432$ was returned to Discount Computer for credit to be applied against the outstanding balance owed by Byte.

$07.$ June $10$: Check # $5003$ was used to make a $$26,000\mathrm{.}00$ payment reducing the principal owed on the June $2$ purchase of computer equipment from Royce Computers.

$08.$ June $14$: Check # $5004$ was used to purchase a one$-$year insurance policy covering its computer equipment for $$5,136\mathrm{.}00$ from Seth's Insurance. The effective date of the policy was June $16$ and the invoice number was $2387.$

$09.$ June $16$: A check in the amount of $$6,500\mathrm{.}00$ was received for services performed for Pitman Pictures.

$10.$ June $16$: Byte purchased a building and the land it is on for $$143,000\mathrm{.}00$ to house its repair facilities and to store computer equipment. The lot on which the building is located is valued at $$23,000\mathrm{.}00.$ The balance of the cost is to be allocated to the building. Check # $5005$ was used to make the down payment of $$14,300\mathrm{.}00.$ A thirty year mortgage with an inital payement due on August $1$st$,$ was established for the balance.

$11.$ June $17$: Check # $5006$ for $$4,600\mathrm{.}00$ was paid for rent for June and July.

$12.$ June $17$: Received invoice number $26354$ in the amount of $$250\mathrm{.}00$ from the local newspaper for advertising.

$13.$ June $21$: Accounts payable in the amount of $$240\mathrm{.}00$ were paid with Check # $5007.$

$14.$ June $21$: Check # $5008$ was used to purchase a fax machine for the office from Office Machines Express for $$675\mathrm{.}00.$ The invoice number was $975-328.$

$15.$ June $21$: Billed various miscellaneous local customers $$4,900\mathrm{.}00$ for consulting services performed.

$16.$ June $22$: Check # $5009$ was used to pay salaries of $$835\mathrm{.}00$ to equipment operators for the week ending June $18.$ Ignore payroll taxes.

$17.$ June $22$: Received a bill for $$1,165\mathrm{.}00$ from Computer Parts and Repair Co$.$ for repairs to the computer equipment. The invoice number was $43254.$

$18.$ June $22$: Check # $5010$ was used to pay the advertising bill that was received on June $17.$

$19.$ June $23$: Purchased office supplies for $$655\mathrm{.}00$ from Staples on account. The invoice number was $65498.$

$20.$ June $23$: Cash in the amount of $$3,925\mathrm{.}00$ was received on billings.

$21.$ June $28$: Billed $$5,910\mathrm{.}00$ to miscellaneous customers for services performed to June $25.$

$22.$ June $29$: Paid the bill received on June $22,$ from Computer Parts and Repairs Co with Check # $5011.$

$23.$ June $29$: Cash in the amount of $$5,600\mathrm{.}00$ was received for billings.

$24.$ June $29$: Check # $5012$ was used to pay salaries of $$835\mathrm{.}00$ to equipment operators for the week ending June $25.$ Ignore payroll taxes.

$25.$ June $30$: Received a bill for the amount of $$965\mathrm{.}00$ from O & G Oil and Gas Co$.$ The invoice number was $784537.$

$26.$ June $30$: Check # $5013$ was used to pay for airline tickets of $$2,100\mathrm{.}00$ to send the kids to Grandma Ellen for the July $4$th holiday.

Adjusting Entries $-$ Round to two decimal places.

$27.$ The rent payment made on June $17$ was for June and July. Expense the amount associated with one month's rent.

$28.$ A physical inventory showed that only $$270\mathrm{.}00$ worth of office supplies remained on hand as of June $30.$

$29.$ The annual interest rate on the mortgage payable was $8\mathrm{.}00$ percent. Interest expense for one$-$half month should be computed because the building and land were purchased and the liability incurred on June $16.$

$30.$ Record a journal entry to reflect that one half month's insurance has expired.

$31.$ A review of Byte$$s job worksheets show that there are unbilled revenues in the amount of $$5,375\mathrm{.}00$ for the period of June $28-30.$

The fixed assets have estimated useful lives as follows:

Building $-31\mathrm{.}5$ years

Computer Equipment $-5\mathrm{.}0$ years

$32.$ Office Equipment $-7\mathrm{.}0$ years

Use the straight$-$line method of depreciation. Management has decided that assets purchased during a month are treated as if purchased on the first day of the month. The building$$s scrap value is $$500\mathrm{.}00.$ The office equipment has a scrap value of $$350\mathrm{.}00.$Building Blocks of Accounting $..$ A Financial Perspective Chart of Acco