Hook Corp. incurred the following start-up costs, all paid in cash: Legal fees $75,000 Accounting fees 35,000 Promotional fees 15,000 Staff training fees 13,000 Required: Prepare Hook’s journal entry to record the start-up costs, all paid in cash. **Chart of Accounts for Hook Corp.****General Ledger****Assets:**- **111** Cash- **121** Accounts Receivable- **141** Inventory- **152** Prepaid Insurance- **181** Equipment- **189** Accumulated Depreciation**Liabilities:**- **211** Accounts Payable- **231** Salaries Payable- **250** Unearned Revenue- **261** Income Taxes Payable**Equity:**- **311** Common Stock- **331** Retained Earnings**Revenue:**- **411** Sales Revenue**Expenses:**- **500** Cost of Goods Sold- **511** Insurance Expense- **512** Utilities Expense- **521** Salaries Expense- **532** Bad Debt Expense- **535** Start-up Costs- **540** Interest Expense- **541** Depreciation Expense- **559** Miscellaneous Expenses- **910** Income Tax ExpenseThis chart provides a list of accounts used by Hook Corp. in their financial record-keeping. Each account is assigned a unique number for identification. Assets and liabilities represent what the company owns and owes, respectively, while equity, revenue, and expenses show the company's financial position and operations. This chart is critical for organizing the company's financial data systematically.

Journal entries refer to the recording of transactions in an appropriate way. With the help of…

Hook Corp. incurred the following start-up costs, all paid in cash: Legal fees $75,000 Accounting fees 35,000 Promotional fees 15,000 Staff training fees 13,000 Required: Prepare Hook’s journal entry to record the start-up costs, all paid in cash.

Hook Corp. incurred the following start-up costs, all paid in cash: Legal fees $75,000 Accounting fees 35,000 Promotional fees 15,000 Staff training fees 13,000 Required: Prepare Hook’s journal entry to record the start-up costs, all paid in cash.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Please write the solutions in good accounting form. Thanks!
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