Tamarisk, Inc. was started on May 1. A summary of May transactions is presented as follows. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. Stockholders invested $11,000 cash in the business in exchange for common stock. Purchased equipment for $4,000 cash. Paid $400 cash for May office rent. Paid $500 cash for supplies. Incurred $350 of advertising costs in the Beacon News on account. Received $4,200 in cash from customers for repair service. Declared and paid a $1,400 cash dividend. Paid part-time employee salaries $1,000. Paid utility bills $140. Performed repair services worth $880 on account. Collected cash of $130 for services billed in transaction (10).

Tamarisk, Inc. was started on May 1. A summary of May transactions is presented as follows. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. Stockholders invested $11,000 cash in the business in exchange for common stock. Purchased equipment for $4,000 cash. Paid $400 cash for May office rent. Paid $500 cash for supplies. Incurred $350 of advertising costs in the Beacon News on account. Received $4,200 in cash from customers for repair service. Declared and paid a $1,400 cash dividend. Paid part-time employee salaries $1,000. Paid utility bills $140. Performed repair services worth $880 on account. Collected cash of $130 for services billed in transaction (10).

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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