On June 1 of the current year, Chris Bates established a business to manage rental property. The following transactions were completed during June: Opened a business bank account with a deposit of $27,000 in exchange for common stock. Purchased office supplies on account, S3, 110. Received cash from fees earned for managing rental property, $8,830. Paid rent on office and equipment for the month, $3,810. Paid creditors on account, $1,410. Billed customers for fees earned for managing rental property, $7,060. Paid automobile expenses for month, $850, and miscellaneous expenses, $420. Paid office salaries, $2,680. Determined that the cost of supplies on hand was $1,840; therefore, the cost of supplies used was $1,270. Paid dividends, $2,540. Required: 1. Indicate the effect of each transaction and the balances after each transaction: If an amount box does not require an entry, leave it blank. For those boxes in which you must enter subtractive or negative numbers use a minus sign. (Example: -300)

On June 1 of the current year, Chris Bates established a business to manage rental property. The following transactions were completed during June: Opened a business bank account with a deposit of $27,000 in exchange for common stock. Purchased office supplies on account, S3, 110. Received cash from fees earned for managing rental property, $8,830. Paid rent on office and equipment for the month, $3,810. Paid creditors on account, $1,410. Billed customers for fees earned for managing rental property, $7,060. Paid automobile expenses for month, $850, and miscellaneous expenses, $420. Paid office salaries, $2,680. Determined that the cost of supplies on hand was $1,840; therefore, the cost of supplies used was $1,270. Paid dividends, $2,540. Required: 1. Indicate the effect of each transaction and the balances after each transaction: If an amount box does not require an entry, leave it blank. For those boxes in which you must enter subtractive or negative numbers use a minus sign. (Example: -300)

Name: On June 1 of the current year, Chris Bates established a business to
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Description: On June 1 of the current year, Chris Bates established a business to manage rental property. The following transactions were completed during June: Opened a businessbank account with a deposit of $27,000 in exchange for common stock. Purchased offic

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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