Reference no: EM131312012

Learning Objectives : Analyze the impact of business transactions on accounts;

record (journalize and post) transactions in the books;

construct and use a trial balance.

During the first month of operations, Arguetta Brickworks, Inc., completed the following transactions:

Learning Objectives : Analyze the impact of business transactions on accounts; construct and use a trial balance.

During the first month of operations (September 2014), Holt Music Services Corporation completed the following selected transactions:

a. The business received cash of $50,000 and a building with a fair value of $107,000. The corporation issued common stock to the stockholders.

b. Borrowed $60,000 from the bank; signed a note payable.

c. Paid $47,000 for music equipment.

d. Purchased supplies on account, $450.

e. Paid employees' salaries, $6,100.

f. Received $3,790 for music services performed for customers.

g. Performed services for customers on account, $12,800.

h. Paid $100 of the account payable created in transaction d.

i. Received a $700 bill for utility expense that will be paid in the near future.

j. Received cash on account, $1,600.

k. Paid the following cash expenses: (1) rent, $1,400; (2) advertising, $400.