Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Transaction Description of transaction 01. June 1: Byte of Accounting, Inc. issued 2,610 shares of its common stock to Jeremy after $24,380 in cash and

Transaction Description of transaction
01. June 1: Byte of Accounting, Inc. issued 2,610 shares of its common stock to Jeremy after $24,380 in cash and computer equipment with a fair market value of $35,650 were received.
02. June 1: Byte of Accounting, Inc. issued 1,959 shares of its common stock after acquiring from Courtney $31,050 in cash, computer equipment with a fair market value of $13,340 and office equipment with a fair value of $667.
03. June 1: Byte of Accounting, Inc. acquired $78,200 in cash from Justin feaster and issued 3,400 shares of its common stock.
04. June 2: A down payment of $33,000 in cash was made on additional computer equipment that was purchased for $165,000. A five-year note was executed by Byte for the balance.
05. June 4: Additional office equipment costing $400 was purchased on credit from Discount Computer Corporation.
06. June 8: Unsatisfactory office equipment costing $80 was returned to Discount Computer for credit to be applied against the outstanding balance owed by Byte.
07. June 10: Byte paid $25,250 on the balance it owed on the June 2 purchase of computer equipment.
08. June 14: A one-year insurance policy covering its computer equipment was purchased by Byte for $5,640 in cash. The effective date of the policy was June 16.
09. June 16: Computer consultation revenue of $7,000 was received.
10. June 16: Byte purchased a building and the land it is on for $149,000, to house its repair facilities and to store computer equipment. The lot on which the building is located is valued at $24,000. The balance of the cost is to be allocated to the building. Byte made a cash down payment of $14,900 and executed a mortgage for the balance. The mortgage is payable in eight equal annual installments beginning July 1.

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

Fundamental Accounting Principles

Authors: Larson Kermit, Tilly Jensen

Volume I, 14th Canadian Edition

71051503, 978-1259066511, 1259066517, 978-0071051507

Students also viewed these Accounting questions

Question

What is the Easterlin Paradox?

Answered: 1 week ago