Question

HulleWUIR Question 3 of 6 < > Helen Martin started her own consulting firm, Ivanhoe Consulting, on May 1, 2020. The following transactions occurred during the month of May. May 1 2 3 5 9 12 15 Trixie invested $6,800 cash in the business. Paid $950 for office rent for the month. Purchased $700 of supplies on account. Paid $190 to advertise in the County News. Received $4,000 cash for services performed. Withdrew $1,200 cash for personal use. Performed $5,500 of services on account Paid $2,000 for employee salaries. Made a partial payment of $500 for the supplies purchased on account on May 3. Received a cash payment of $4,000 for services performed on account on May 15. Borrowed $4,700 from the bank on a note payable. Purchased equipment for $4,300 on account. Paid $250 for utilities. 17 20 23 26 29 30 W 26% L O g E 8 Type here to search

Answer 1

1) Cash = Common stock

6800 = 6800

2) Cash = Office rent

-950 =-950

3)Supplies =Accounts payable

700 = 700

4) Cash = Advertising expense

-190 = -190

5)Cash = Service revenue

4000 = 4000

6) Cash =Drawings

-1200 =-1200

7) Accounts receivable = Service revenue

5500 =5500

8) Cash = Employee salaries

-2000 =-2000

9) Cash = Accounts payable

-500 =-500

10) Cash +Accounts receivable = Nil

4000 - 4000 = 0

11) Cash = Note payable

4700 =4700

12) Equipment = Account payable

4300 =4300

13) Cash. = Utilities

-250 = -250