A7X Ltd. is a guitar manufacturing, repair, and retail business. A7X Ltd. engaged in the following transactions during November 2020: Nov 5 Issued new shares to the owner for $20,000 cash. Nov 8 Sold two “ZV Custom” guitars in store to a customer on account at a price of $3,000 each. Nov 12 Collected a $50,000 advance payment from a customer for repairs to be completed in December. Nov 15 Purchased a new piece of woodworking equipment for $12,000 by signing a promissory note. Nov 27 Collected $6,000 cash from the customer who bought the guitars on Nov 8. Nov 28 Promised a supplier, Schecter Guitars, that A7X Ltd. would order 50 guitars for $800 each in December.
A7X Ltd. is a guitar manufacturing, repair, and retail business. A7X Ltd. engaged in the following transactions during November 2020:
Nov 5 Issued new shares to the owner for $20,000 cash.
Nov 8 Sold two “ZV Custom” guitars in store to a customer on account at a price of $3,000 each.
Nov 12 Collected a $50,000 advance payment from a customer for repairs to be completed in December.
Nov 15 Purchased a new piece of woodworking equipment for $12,000 by signing a promissory note.
Nov 27 Collected $6,000 cash from the customer who bought the guitars on Nov 8.
Nov 28 Promised a supplier, Schecter Guitars, that A7X Ltd. would order 50 guitars for $800 each in December.
Required:
For each of the above activities, indicate the appropriate
Nov 5:
Nov 8:
Nov 12:
Nov 15:
Nov 27:
Nov 28:
1. Two guiter are sold of 3000 each therefore Total value @= 3000 x2= 6,000.
2. No entry is required for transactions on 28th Nov. 28.
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