estors opened Company Inc. on May 1, 2020. During the first month of operations, the following transactions occurred May 1 Stockholders invested $50,000 cash in the business and received common stock. May 2 Pre-paid $7,000 in cash for May rent. May 4 $25,000 was borrowed from the bank and signed a note payable. May 8 Office supplies were purchased on account, $7,000. May 8 Paid cash $17,000 for furniture. May 12 Performed a service on account for $9,800. May 15 Paid $5,900 of the account payable from May 4. May 24 Received cash on account, $7,300 (related to transaction from May 12). May 26 Paid the following cash expenses: (1) Promotion, $5500; (2) Utilities, $5600. 1. Prepare the income statement, statement of retained earnings, and balance sheet. 2. Transactions must be posted to T-accounts with ending balances showing and total the amounts. 3. Form the trial balance of SOC, Inc., on May 30, 2022.
estors opened Company Inc. on May 1, 2020. During the first month of operations, the following transactions occurred May 1 Stockholders invested $50,000 cash in the business and received common stock. May 2 Pre-paid $7,000 in cash for May rent. May 4 $25,000 was borrowed from the bank and signed a note payable. May 8 Office supplies were purchased on account, $7,000. May 8 Paid cash $17,000 for furniture. May 12 Performed a service on account for $9,800. May 15 Paid $5,900 of the account payable from May 4. May 24 Received cash on account, $7,300 (related to transaction from May 12). May 26 Paid the following cash expenses: (1) Promotion, $5500; (2) Utilities, $5600. 1. Prepare the income statement, statement of retained earnings, and balance sheet. 2. Transactions must be posted to T-accounts with ending balances showing and total the amounts. 3. Form the trial balance of SOC, Inc., on May 30, 2022.
Century 21 Accounting Multicolumn Journal
11th Edition
ISBN:9781337679503
Author:Gilbertson
Publisher:Gilbertson
Chapter11: Accounting For Transactions Using A General Journal
Section: Chapter Questions
Problem 3AP
Related questions
Question
![Investors opened Stock Office Company (SOC)
Inc. on May 1, 2020. During the first month of
operations, the following transactions occurred:
May 1 Stockholders invested $50,000 cash in
the business and received common stock.
May 2 Pre-paid $7,000 in cash for May rent.
May 4 $25,000 was borrowed from the bank
and signed a note payable.
May 8 Office supplies were purchased on
account, $7,000.
May 8 Paid cash $17,000 for furniture.
May 12 Performed a service on account for
$9,800.
May 15 Paid $5,900 of the account payable
from May 4.
May 24 Received cash on account, $7,300
(related to transaction from May 12).
May 26 Paid the following cash expenses: (1)
Promotion, $5500; (2) Utilities, $5600.
1. Prepare the income statement, statement of
retained earnings, and balance sheet.
2. Transactions must be posted to T-accounts
with ending balances showing and total the
amounts.
3. Form the trial balance of SOC, Inc., on May
30, 2022.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F09308bb6-1136-428b-a51a-16c7742adb9a%2F099db16f-e6c0-4c21-a024-8fec16c6b7d1%2Ft6j4k5a_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Investors opened Stock Office Company (SOC)
Inc. on May 1, 2020. During the first month of
operations, the following transactions occurred:
May 1 Stockholders invested $50,000 cash in
the business and received common stock.
May 2 Pre-paid $7,000 in cash for May rent.
May 4 $25,000 was borrowed from the bank
and signed a note payable.
May 8 Office supplies were purchased on
account, $7,000.
May 8 Paid cash $17,000 for furniture.
May 12 Performed a service on account for
$9,800.
May 15 Paid $5,900 of the account payable
from May 4.
May 24 Received cash on account, $7,300
(related to transaction from May 12).
May 26 Paid the following cash expenses: (1)
Promotion, $5500; (2) Utilities, $5600.
1. Prepare the income statement, statement of
retained earnings, and balance sheet.
2. Transactions must be posted to T-accounts
with ending balances showing and total the
amounts.
3. Form the trial balance of SOC, Inc., on May
30, 2022.
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 4 steps with 5 images
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Recommended textbooks for you
Century 21 Accounting Multicolumn Journal
Accounting
ISBN:
9781337679503
Author:
Gilbertson
Publisher:
Cengage
![Intermediate Accounting: Reporting And Analysis](https://www.bartleby.com/isbn_cover_images/9781337788281/9781337788281_smallCoverImage.jpg)
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
Century 21 Accounting Multicolumn Journal
Accounting
ISBN:
9781337679503
Author:
Gilbertson
Publisher:
Cengage
![Intermediate Accounting: Reporting And Analysis](https://www.bartleby.com/isbn_cover_images/9781337788281/9781337788281_smallCoverImage.jpg)
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning