Ask Question
30 June, 17:22

the owner's initial investment consists of $37,480 cash and $45,910 in land in exchange for its common stock. The company's $17,350 equipment purchase is paid in cash. The accounts payable balance of $7,970 consists of the $2,720 office supplies purchase and $5,250 in employee salaries yet to be paid. The company's rent, telephone, and miscellaneous expenses are paid in cash. No cash has been collected on the $13,320 consulting fees earned.

+5
Answers (1)
  1. 30 June, 19:50
    0
    What the question asks is to journalize the transactions.

    Explanation:

    The owner's initial investment consists of $37,480 cash and $45,910 in land in exchange for its common stock.

    Account Debit Credit

    Cash $37,480

    Land $45,910

    Common Stock $83,390

    The company's $17,350 equipment purchase is paid in cash.

    Account Debit Credit

    Equipment $17,350

    Cash $17,350

    The accounts payable balance of $7,970 consists of the $2,720 office supplies purchase and $5,250 in employee salaries yet to be paid.

    Account Debit Credit

    Office Supplies $2,720

    Accounts Payable $2,720

    Wages Expense $5,250

    Wages Payable $5,250

    No cash has been collected on the $13,320 consulting fees earned.

    Account Debit Credit

    Accrued Revenue $13,320

    Fees Revenue $13,320
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “the owner's initial investment consists of $37,480 cash and $45,910 in land in exchange for its common stock. The company's $17,350 ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers