Katy Williams is the manager of Blue Light Arcade. The company provides entertainment for parties and special events. Prepare journal entries for the following events relating to the year endedDecember 31. If the event is not a transaction, write “no transaction.”a. Blue Light Arcade received $50 cash on account for a birthday party held two months ago.b. Agreed to hire a new employee at a monthly salary of $3,000. The employee starts work nextmonth.c. Paid $2,000 for a table top hockey game purchased last month on account.

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Chapter1: Financial Statements And Business Decisions
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Katy Williams is the manager of Blue Light Arcade. The company provides entertainment for parties and special events. Prepare journal entries for the following events relating to the year ended
December 31. If the event is not a transaction, write “no transaction.”
a. Blue Light Arcade received $50 cash on account for a birthday party held two months ago.
b. Agreed to hire a new employee at a monthly salary of $3,000. The employee starts work next
month.
c. Paid $2,000 for a table top hockey game purchased last month on account.

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