Worthy started a haircutting business called Expressions. The following events occurred during nonth of business. 1 Worthy invested $3,000 cash and $15,000 of equipment in Expressions. 2 Expressions paid $600 cash for furniture for the shop. 3 Expressions paid $500 cash to rent space in a strip mall for December. 4 Purchased $1,200 of equipment on credit (recorded as accounts payable). 15 Expressions opened for business on December 5. Cash received from haircutting services in the first week and a half of business (ended December 15) was $825.
Worthy started a haircutting business called Expressions. The following events occurred during nonth of business. 1 Worthy invested $3,000 cash and $15,000 of equipment in Expressions. 2 Expressions paid $600 cash for furniture for the shop. 3 Expressions paid $500 cash to rent space in a strip mall for December. 4 Purchased $1,200 of equipment on credit (recorded as accounts payable). 15 Expressions opened for business on December 5. Cash received from haircutting services in the first week and a half of business (ended December 15) was $825.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Worthy started a haircutting business called Expressions. The following events occurred during
month of business.
1 Worthy invested $3,000 cash and $15,000 of equipment in Expressions.
2 Expressions paid $600 cash for furniture for the shop.
3 Expressions paid $500 cash to rent space in a strip mall for December.
4 Purchased $1,200 of equipment on credit (recorded as accounts payable).
15 Expressions opened for business on December 5. Cash received from haircutting services in
the first week and a half of business (ended December 15) was $825.
16 Expressions provided $100 of haircutting services on credit.
17 Expressions received a $100 check for services previously rendered on credit.
18 Expressions paid $125 cash to an assistant for hours worked for the grand opening.
31 Cash received from services provided during the second half of December was $930.
31 Expressions paid $400 cash toward the accounts payable from December 4.
31 Worthy made a $900 cash withdrawal from Expressions for personal use.
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