Aracel Engineering completed the following transactions in the month of June. a. J. Aracel, the owner, invested $170,000 cash, office equipment with a value of $7,100, and $74,000 of drafting equipment to launch the company. b. The company purchased land worth $58,000 for an office by paying $9,000 cash and signing a note payable for $49,000. c. The company purchased a portable building with $54,000 cash and moved it onto the land acquired in b d. The company paid $2,700 cash for the premium on an 18-month insurance policy. e. The company provided services to a client and collected $7,200 cash. f. The company purchased $30,000 of additional drafting equipment by paying $10,800 cash and signing a note payable for $19,200. 9. The company completed $14,000 of services for a client. This amount is to be received in 30 days. h. The company purchased $1,850 of additional office equipment on credit. I. The company completed $29,000 of services for a customer on credit. J. The company purchased $1,514 of TV advertising on credit. k. The company collected $6,000 cash in partial payment from the client described in transaction g I. The company paid $1,800 cash for employee wages. m. The company paid $1,850 cash to settle the account payable created in transaction h n. The company paid $1,115 cash for repairs. o. J. Aracel withdrew $9,770 cash from the company for personal use. p. The company paid $1,800 cash for employee wages. q. The company paid $2,700 cash for advertisements on the Web during June.
Aracel Engineering completed the following transactions in the month of June. a. J. Aracel, the owner, invested $170,000 cash, office equipment with a value of $7,100, and $74,000 of drafting equipment to launch the company. b. The company purchased land worth $58,000 for an office by paying $9,000 cash and signing a note payable for $49,000. c. The company purchased a portable building with $54,000 cash and moved it onto the land acquired in b d. The company paid $2,700 cash for the premium on an 18-month insurance policy. e. The company provided services to a client and collected $7,200 cash. f. The company purchased $30,000 of additional drafting equipment by paying $10,800 cash and signing a note payable for $19,200. 9. The company completed $14,000 of services for a client. This amount is to be received in 30 days. h. The company purchased $1,850 of additional office equipment on credit. I. The company completed $29,000 of services for a customer on credit. J. The company purchased $1,514 of TV advertising on credit. k. The company collected $6,000 cash in partial payment from the client described in transaction g I. The company paid $1,800 cash for employee wages. m. The company paid $1,850 cash to settle the account payable created in transaction h n. The company paid $1,115 cash for repairs. o. J. Aracel withdrew $9,770 cash from the company for personal use. p. The company paid $1,800 cash for employee wages. q. The company paid $2,700 cash for advertisements on the Web during June.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Aracel Engineering completed the following transactions in the month of June.
a. J. Aracel, the owner, invested $170,000 cash, office equipment with a value of $7,100, and $74,000 of drafting equipment to
launch the company.
b. The company purchased land worth $58,000 for an office by paying $9,000 cash and signing a note payable for $49,000.
c. The company purchased a portable building with $54,000 cash and moved it onto the land acquired in b
d. The company paid $2,700 cash for the premium on an 18-month insurance policy.
e. The company provided services to a client and collected $7,200 cash.
f. The company purchased $30,000 of additional drafting equipment by paying $10,800 cash and signing a note payable for
$19,200.
g. The company completed $14,000 of services for a client. This amount is to be received in 30 days.
h. The company purchased $1,850 of additional office equipment on credit.
1. The company completed $29,000 of services for a customer on credit.
J. The company purchased $1,514 of TV advertising on credit.
k. The company collected $6,000 cash in partial payment from the client described in transaction g
1. The company paid $1,800 cash for employee wages.
m. The company paid $1,850 cash to settle the account payable created in transaction h.
n. The company paid $1,115 cash for repairs.
o. J. Aracel withdrew $9,770 cash from the company for personal use.
p. The company paid $1,800 cash for employee wages.
q. The company paid $2,700 cash for advertisements on the Web during June.
Transcribed Image Text:Prepare a trial balance as of the end of June.
ARACEL ENGINEERING
Trial Balance
June 30
Cash
Accounts receivable
Prepaid insurance
Office equipment
Drafting equipment
Building
Land
Accounts payable
J. Aracel, Capital
J. Aracel, Withdrawals
Services revenue
Wages expense
Advertising expense
Repairs expense
Notes payable
Totals
$
Debit
7,100
74,000
9,000
58,000
7,200
1,800
49,000
376,100 $
Credit
0
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