Question

The following transactions occurred for Lawrence Engineering Jul.2 Received $14,000 contribution from Brett Lawrence in exchange for common stock. 4 Paid utilities expense of $370. 5 Purchased equipment on account, $1,600. 10 Performed services for a client on account, $2,900. 12 Borrowed $7,100 cash, signing a notes payable. 19 Cash dividends of $200 were paid to stockholders. 21 Purchased office supplies for $840 and paid cash. 27 Paid the liability from July 5.

Answer 1

Solution:

Cash
Jul. 2	$        14,000	Jul. 4	$           370
Jul. 12	$          7,100	Jul. 19	$           200
		Jul. 21	$           840
		Jul. 27	$        1,600
End Balance	$        18,090
Common Stock
		Jul. 2	$     14,000
		End Balance	$     14,000
Service Revenue
		Jul. 10	$        2,900
		End Balance	$        2,900
Equipment
Jul. 5	$          1,600
End Balance	$          1,600
Accounts Payable
Jul. 27	$          1,600	Jul. 5	$        1,600
		End Balance	$               -
Dividends
Jul. 19	$              200
End Balance	$              200
Notes Payable
		Jul. 12	$        7,100
		End Balance	$        7,100
Office Supplies
Jul. 21	$              840
End Balance	$              840
Accounts Receivable
Jul. 10	$          2,900
End Balance	$          2,900
Utilities Expense
Jul. 4	$              370
End Balance	$              370