Required information [The following information applies to the questions displayed below.] Laser Delivery Services, Incorporated (LDS), was incorporated January 1. The following transactions occurred during the year: a. Received $39,000 cash from the company's founders in exchange for common stock. b. Purchased land for $15,000, signing a two-year note (ignore interest). c. Bought two used delivery trucks at the start of the year at a cost of $11,000 each; paid $4,500 cash and signed a note due in three years for $17,500 (ignore interest). d. Paid $2,000 cash to a truck repair shop for a new motor, which increased the cost of one of the trucks. e. Stockholder Jonah Lee paid $340,000 cash for a house for his personal use.
Required information [The following information applies to the questions displayed below.] Laser Delivery Services, Incorporated (LDS), was incorporated January 1. The following transactions occurred during the year: a. Received $39,000 cash from the company's founders in exchange for common stock. b. Purchased land for $15,000, signing a two-year note (ignore interest). c. Bought two used delivery trucks at the start of the year at a cost of $11,000 each; paid $4,500 cash and signed a note due in three years for $17,500 (ignore interest). d. Paid $2,000 cash to a truck repair shop for a new motor, which increased the cost of one of the trucks. e. Stockholder Jonah Lee paid $340,000 cash for a house for his personal use.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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dont uplode image in answer
![Required information
[The following information applies to the questions displayed below.]
Laser Delivery Services, Incorporated (LDS), was incorporated January 1. The following transactions
occurred during the year:
a. Received $39,000 cash from the company's founders in exchange for common stock.
b. Purchased land for $15,000, signing a two-year note (ignore interest).
c. Bought two used delivery trucks at the start of the year at a cost of $11,000 each; paid $4,500 cash
and signed a note due in three years for $17,500 (ignore interest).
d. Paid $2,000 cash to a truck repair shop for a new motor, which increased the cost of one of the trucks.
e. Stockholder Jonah Lee paid $340,000 cash for a house for his personal use.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fd0eb9809-da38-499f-be14-e45bbb5daf87%2Fd09cfddf-08b7-43f7-b438-d5d643d04fe1%2Fx943d3m_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Required information
[The following information applies to the questions displayed below.]
Laser Delivery Services, Incorporated (LDS), was incorporated January 1. The following transactions
occurred during the year:
a. Received $39,000 cash from the company's founders in exchange for common stock.
b. Purchased land for $15,000, signing a two-year note (ignore interest).
c. Bought two used delivery trucks at the start of the year at a cost of $11,000 each; paid $4,500 cash
and signed a note due in three years for $17,500 (ignore interest).
d. Paid $2,000 cash to a truck repair shop for a new motor, which increased the cost of one of the trucks.
e. Stockholder Jonah Lee paid $340,000 cash for a house for his personal use.
Transcribed Image Text:4. Prepare a classified balance sheet for Laser Delivery Services at December 31. Include Retained Earnings on the balance
sheet even though the account has a zero balance.
Current Assets
Cash
Total Current Assets
Equipment
Land
Total Assets
Assets
LASER DELIVERY SERVICES, INCORPORATED
Balance Sheet
At December 31
$
390,000
390,000
15,000
Liabilities
Notes Payable (long-term)
Total Liabilities
Stockholders' Equity
Common Stock
Total Stockholders' Equity
$ 405,000 Total Liabilities and Stockholders' Equity
$
28,500
28,500
376,500
376,500
405,000
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