Sales of services, $122,000, of which $36,600 was on credit. collected on accounts receivable, $25,000. issued shares of common stock in exchange for $13,000 in cash. paid salaries, $44,500 (of which $8,500 was for salaries payable). paid miscellaneous expenses, $24,000. purchased equipment for $15,500 in cash. paid $2,950 in cash dividends to shareholders.

Question

Kayleigh Keith

Business

24 December, 17:23

Sales of services, $122,000, of which $36,600 was on credit. collected on accounts receivable, $25,000. issued shares of common stock in exchange for $13,000 in cash. paid salaries, $44,500 (of which $8,500 was for salaries payable). paid miscellaneous expenses, $24,000. purchased equipment for $15,500 in cash. paid $2,950 in cash dividends to shareholders.

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Nikhil Turner · Answer 1

Cash ... $36600

Accounts Receivable ... $85400

To Sales ... $122000

(Being Sales made for cash and credit)

Cash ... DR$25000

To Accounts Receivable ... $25000

(Being Cash Received from accounts Rec)

Cash ... DR $13000

To Shareholders Equity ... $13000

(Being Shares issued for cash)

Salary Payable ... DR $8500

Salary Expense ... DR $36000

To Cash $44500

(Being Salary Paid)

Miscellaneous Exepense ... DR $24000

To Cash ... $24000

(Being Exp Paid)

Equipment ... DR $15500

To Cash ... $15500

(Being Eqp Purchased)

Dividend Payable ... DR $2950

To Cash ... $2950

(Being Dividends Paid)