PROBLEMS: SET C
On April 1, Rene Dampsey established Stargate Travel Agency. The following transac-
tions were completed during the month.
Invested $10,000 cash to start the agency.
Paid $400 cash for April office rent.
Purchased office equipment for $2,500 cash.
Incurred $300 of advertising costs in the
Paid $600 cash for office supplies.
Earned $9,500 for services rendered: $3,000 cash is received from customers, and the balance
of $6,500 is billed to customers on account.
Withdrew $200 cash for personal use.
amount due in transaction (4).
Paid employees’ salaries $2,200.
Received $4,000 in cash from customers who have previously been billed in transaction (6).
Prepare a tabular analysis of the transactions using the following column headings: Cash,
Accounts Receivable, Supplies, Office Equipment, Accounts Payable, and Rene Dampsey,
From an analysis of the column Rene Dampsey, Capital, compute the net income or net loss
Angie Crawford opened a law office,Angie Crawford,Attorney at Law, on July 1, 2010.
On July 31, the balance sheet showed Cash $4,000, Accounts Receivable $1,500, Supplies $500,
Office Equipment $5,000,Accounts Payable $4,200, and Angie Crawford, Capital $6,800. During
August the following transactions occurred.
Collected $1,400 of accounts receivable.