In: Accounting
GL0402- Based on Problem 4-1A LO C3, P2, P3
On April 1, 2017, Robert King created a new travel agency, King Travel. The following transactions occurred during the company’s first month.
Apr. | 1 | King invested $44,000 cash and computer equipment worth $22,200 in the company. | ||
Apr. | 2 | The company rented furnished office space by paying $2,000 cash for the first month’s (April) rent. | ||
Apr. | 3 | The company purchased $2,000 of office supplies for cash. | ||
Apr. | 10 | The company paid $1,800 cash for the premium on a 12-month insurance policy. Coverage begins on April 11. | ||
Apr. | 14 | The company paid $1,540 cash for two weeks’ salaries earned by employees. | ||
Apr. | 24 | The company collected $12,000 cash on commissions from airlines on tickets obtained for customers. | ||
Apr. | 28 | The company paid $1,540 cash for two weeks’ salaries earned by employees. | ||
Apr. | 29 | The company paid $650 cash for minor repairs to the company’s computer. | ||
Apr. | 30 | The company paid $600 cash for this month’s telephone bill. | ||
Apr. | 30 | King withdrew $1,700 cash from the company for personal use. |
Information for month-end adjustments follows:
Income Statements, Balance Sheet