Question

Exercise 3-14 (Part Level Submission) Selected transactions for Whispering Winds Corp. during its first month in business are presented below. Sept. 1 5 8 14 25 30 Issued common stock in exchange for $20,800 cash received from investors. Purchased equipment for $9,220, paying $3,760 in cash and the balance on account. Performed services on account for $18,000. Paid salaries of $1,200. Paid $3,000 cash on balance owed for equipment. Paid $810 cash dividend.

Answer 1

20800 Sep-01 Cash Common Stock (To record issuance of common stock for cash) 20800 9220 Sep-05 Equipment Cash Accounts payable (To record purchase of equipment) 3760 5460 18000 Sep-08 Accounts Receivable Service Revenue (To record performance of services) 18000 1200 Sep-14 Salaries and Wages expense Cash (To record payment of salaries) 1200 3000 Sep-25 Accounts payable Cash |(To record payment of cash to accounts payable) 3000 810 Sep-30 Dividends Cash (To record payment of dividends) 810