Question

1 Received Dec. Received $26,000 cash from Christian in exchange for commorn 2 5 9 stock. Received $3,200 cash from customers for services performed. Paid $450 cash for office supplies. Performed services for a customer and billed the customer for services rendered, $2,400. 10 Received $500 invoice for utilities due in two weeks. 15 Paid for advertising in the local paper, $275. 20 Paid utility invoice received on December 10 25 Collected cash in full from customer billed on December 9. 28 Paid rent for the month, $1,400 28 Paid $1,250 to assistant for wages. 30 Received $1,600 cash from customers for services performed. 31 Cash dividends of $5,500 were paid to stockholders.

Answer 1

ASSETS							Liability	+	Equity
									Contributed Capital	+	Retained eArning
	Cash	+	A/R	+	Office Supplies	=	A/P	+	Common Stock	-	Dividend	+	Service Revenue	-	Rent Expenses	-	Utility Expenses	-	Salaries Expenses	-	Advert. Expenses
Balance		+		+		=		+		-		+		-		-		-		-
12/1	$        26,000	+		+		=		+	26000	-		+		-		-		-		-
12/2	$          3,200	+		+		=		+		-		+	3200	-		-		-		-
12/5	$            -450	+		+	450	=		+		-		+		-		-		-		-
12/9		+	$   2,400	+		=		+		-		+	$         2,400	-		-		-		-
12/10		+		+		=	$       500	+		-		+		-		-	500	-		-
12/15	$            -275	+		+		=		+		-		+		-		-		-		-	275
12/20	$            -500	+		+		=	$      -500	+		-		+		-		-		-		-
12/25	$          2,400	+	$ -2,400	+		=		+		-		+		-		-		-		-
12/28	$        -1,250			+		=		+		-		+		-		-		-	1250	-
12/30	$          1,600			+		=		+		-		+	1600	-		-		-		-
12/31	$        -5,500			+		=		+		-	5500	+		-		-		-		-
Closing Balance	$        25,225	+	$          -	+	$         450	=	$           -	+	$                 26,000	-	$        5,500	+	$         7,200	-	$           -	-	$        500	-	$    1,250	-	$        275