Reference no: EM132494006

Question 1: Analyze each transaction below and record it in the general journal

October

1 You contribute $18,410 for 100 shares of common stock in the new company.

1 Nassir Patel's contribution to the business is $2,180 due on existing customer receivable accounts, $10,200 of new equipment. He receives 100 shares of common stock for this contribution.

2 Paid $9,900 for next 6 months of rent by issuing Cheque 1008.

2 Purchase supplies for $1,500. Cheque 1009.

7 Provided services for $6,322 in cash and $745 on credit during the first week of October.

9 Purchased a one-year insurance policy for $4,800; issued Cheque 1010 to pay the full amount in advance.

11 Collected a total of $395 on account from credit customer (related to October 7 sales - ignore subsidiary ledger).

12 Issued Cheque 1011 for $431 to pay for advertising on the local radio station during the month.

13 Collected a total of $500 on account from credit customers during the second week of October (ignore subsidiary ledger).

14 Returned some supplies that were damaged for a cash refund of $40.

15 Provided services for $8,500 in cash and $400 on credit during the second week of October.