Question

Sophie Vaillancourt started an investment management business, Vaillancourt Management, on June 1, 2017. During the first month of operations, the business completed the following selected transactions: a. Sophie began the business with an investment of $20,000 cash, land valued at $60,000, and a building valued at $120,000. The business gave Sophie owner's equity in the busi- ness for the value of the cash, land, and building. b. Purchased office supplies on account, $2,600.

Answer 1

1)
Date	Account Titles & Explanation	Debit	Credit
a)	Cash	$    20,000.00
	Building	$ 1,20,000.00
	Land	$    60,000.00
	Sophie Owners' Equiity		$ 2,00,000.00
b)	Office Supplies	$      2,600.00
	Accounts Payable		$      2,600.00
c)	Office Furniture	$    15,000.00
	Cash		$    15,000.00
d)	Salaries Expenses	$      2,200.00
	Cash		$      2,200.00
e)	Account Receivables	$    12,100.00
	Service Revenue		$    12,100.00
f)	Accounts Payable	$         800.00
	Cash		$         800.00
g)	Cash	$      2,000.00
	Prepaid Advertisement		$      2,000.00
h)	Cash	$      5,600.00
	Service Revenue		$      5,600.00
i)	Cash	$      2,400.00
	Account Receivables		$      2,400.00
j	Rent Expense	$      1,700.00
	Utilities Expense	$         400.00
	Cash		$      2,100.00
k)	Drawings , Sophie	$      6,500.00
	Cash		$      6,500.00