Elected transactions For Protheroe Corporation during its First month in business
Are presented below.
Sept. 1 Issued common stock in exchange For $20,000 cash received from investors.
5 Purchased equipment for $9,000, paying $3,000 in cash and the balance On account.
8 Performed services on account for $18,000.
14 Paid salaries of $1,200.
25 Paid $4,000 cash on balance owed For equipment.
30 Paid $500 cash dividend.
Protheroe chart of accounts shows Cash, Accounts Receivable, Equipment, Accounts Payable, Common Stock, Dividends, Service Revenue, and Salaries and Wages Expense.
(a) Prepare a tabular analysis of the September transactions. The column headings should be Cash 1 Accounts Receivable 1 Equipment 5 Accounts Payable 1 Stock holders’ Equity. For transactions affecting stockholders’ equity, provide explanations
In the right margin, as shown on page 110.
(b) Journalize the transactions. Do not provide explanations.
(c) Post the transactions to T-accounts.

  • CreatedApril 07, 2014
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