Latinovich Legal Services had the following transactions during its first month of operations: May 1 Latinovich...
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Latinovich Legal Services had the following transactions during its first month of operations: May 1 Latinovich Legal Services received £20,000 cash and issued common stock to the stockholders. May 1 Paid the May rent, £5,000. May 3 Purchased equipment on account for £3,000. May 5 Purchased supplies for £2,000 on account. May 8 Performed services for a client and received cash of £11,800. May 12 Performed services for a client and billed the client £12,200. The client promised to pay within 10 days. May 15 Paid for the equipment purchased May 3 on account. May 22 Received payment from a client on account, £12,200. May 28 Borrowed £10,000, by signing a promissory note, from First National Bank for use in the business. May 31 Employees were paid £3,000 for working during the current month. May 31 Received and paid the utility bill of £1,800. Required: Record the transactions of the business in a journal. Include an explanation for each entry.e Latinovich Legal Services had the following transactions during its first month of operations: May 1 Latinovich Legal Services received £20,000 cash and issued common stock to the stockholders. May 1 Paid the May rent, £5,000. May 3 Purchased equipment on account for £3,000. May 5 Purchased supplies for £2,000 on account. May 8 Performed services for a client and received cash of £11,800. May 12 Performed services for a client and billed the client £12,200. The client promised to pay within 10 days. May 15 Paid for the equipment purchased May 3 on account. May 22 Received payment from a client on account, £12,200. May 28 Borrowed £10,000, by signing a promissory note, from First National Bank for use in the business. May 31 Employees were paid £3,000 for working during the current month. May 31 Received and paid the utility bill of £1,800. Required: Record the transactions of the business in a journal. Include an explanation for each entry.e
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Solution Date Account Titles and Explanation Debit Credit May 1 Cash 20000 C... View the full answer
Related Book For
Financial Accounting
ISBN: 978-0078025556
8th edition
Authors: Robert Libby, Patricia Libby, Daniel Short
Posted Date:
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