[The following information applies to the questions displayed below.] Laser Delivery Services, Inc. (LDS), was incorporated January 1. The following transactions occurred during the year: a. Received $36,000 cash from the company's founders in exchange for common stock. b. Purchased land for $10,500, signing a two-year note (ignore interest). c. Bought two used delivery trucks at the start of the year at a cost of $12,000 each; paid $3,500 cash and signed a note due in three years for $20,500 (ignore interest). d. Paid $1,100 cash to a truck repair shop for a new motor, which increased the cost of one of the trucks. e. Stockholder Jonah Lee paid $250,000 cash for a house for his personal use.
[The following information applies to the questions displayed below.] Laser Delivery Services, Inc. (LDS), was incorporated January 1. The following transactions occurred during the year: a. Received $36,000 cash from the company's founders in exchange for common stock. b. Purchased land for $10,500, signing a two-year note (ignore interest). c. Bought two used delivery trucks at the start of the year at a cost of $12,000 each; paid $3,500 cash and signed a note due in three years for $20,500 (ignore interest). d. Paid $1,100 cash to a truck repair shop for a new motor, which increased the cost of one of the trucks. e. Stockholder Jonah Lee paid $250,000 cash for a house for his personal use.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:due in three years for $20,500 (ignore interest).
d. Paid $1,100 cash to a truck repair shop for a new motor, which increased the cost of one of the trucks.
e. Stockholder Jonah Lee paid $250,000 cash for a house for his personal use.
4. Prepare a classified balance sheet for LDS at December 31. Include Retained Earnings on the balance sheet even though the
account has a zero balance.
LASER DELIVERY SERVICES, INC.
Balance Sheet
$
0
0
$
0
0
![Required information
[The following information applies to the questions displayed below.]
Laser Delivery Services, Inc. (LDS), was incorporated January 1. The following transactions occurred during the year:
a. Received $36,000 cash from the company's founders in exchange for common stock.
b. Purchased land for $10,500, signing a two-year note (ignore interest).
c. Bought two used delivery trucks at the start of the year at a cost of $12,000 each; paid $3,500 cash and signed a note
due in three years for $20,500 (ignore interest).
d. Paid $1,100 cash to a truck repair shop for a new motor, which increased the cost of one of the trucks.
e. Stockholder Jonah Lee paid $250,000 cash for a house for his personal use.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fcbaf02ce-55cc-4378-beec-57b3357d95a9%2Fb6942976-3c92-470d-8563-554bb326c5fd%2Fpc91gva_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Required information
[The following information applies to the questions displayed below.]
Laser Delivery Services, Inc. (LDS), was incorporated January 1. The following transactions occurred during the year:
a. Received $36,000 cash from the company's founders in exchange for common stock.
b. Purchased land for $10,500, signing a two-year note (ignore interest).
c. Bought two used delivery trucks at the start of the year at a cost of $12,000 each; paid $3,500 cash and signed a note
due in three years for $20,500 (ignore interest).
d. Paid $1,100 cash to a truck repair shop for a new motor, which increased the cost of one of the trucks.
e. Stockholder Jonah Lee paid $250,000 cash for a house for his personal use.
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