Martin Johnson opened Seaside Cleaning Service on July 1, 2019. During July, the company completed the following transactions: Owner Martin Johnson invested $39,870 cash and $7,545 of 1 cleaning equipment in the business. Purchased a used truck for $10,500, paying $2,500 cash and the 1 balance on account. 3 Purchased cleaning supplies for $1,794 on account. 5 Paid $1,800 on a one-year insurance policy, effective July 1. 12 Billed customers $4,813 for cleaning services. Received $1,650 from customers for future cleaning 15 services. July Paid $1,200 of amount owed on truck. Paid $698 for employee salaries. Collected $3,632 from customers billed on July 12. Billed customers $6,275 for cleaning services. Paid gasoline for the month on the truck, $297. Owner Martin Johnson withdrew $1,000 for personal use. 18 | 20 21 25 31 31

Martin Johnson opened Seaside Cleaning Service on July 1, 2019. During July, the company completed the following transactions: Owner Martin Johnson invested $39,870 cash and $7,545 of 1 cleaning equipment in the business. Purchased a used truck for $10,500, paying $2,500 cash and the 1 balance on account. 3 Purchased cleaning supplies for $1,794 on account. 5 Paid $1,800 on a one-year insurance policy, effective July 1. 12 Billed customers $4,813 for cleaning services. Received $1,650 from customers for future cleaning 15 services. July Paid $1,200 of amount owed on truck. Paid $698 for employee salaries. Collected $3,632 from customers billed on July 12. Billed customers $6,275 for cleaning services. Paid gasoline for the month on the truck, $297. Owner Martin Johnson withdrew $1,000 for personal use. 18 | 20 21 25 31 31

SWFT Individual Income Taxes

43rd Edition

ISBN:9780357391365

Author:YOUNG

Publisher:YOUNG

Chapter18: Accounting Periods And Methods

Section: Chapter Questions

Problem 46P

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