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(Transaction Analysis-Service Company) Beverly Crusher is a licensed CPA. During the first month of operations of her business (a sole proprietorship), the following events and transactions occurred.
a) April 2 Invested $32,000 cash and equipment valued at $14,000 in the business.b) 2 Hired a secretary-receptionist at a salary of $290 per week payable monthly.c) 3 Purchased supplies on account $700. (Debit an asset account.)d) 7 Paid office rent of $600 for the month.e) 11 Completed a tax assignment and billed client $1,100 for services rendered. (Use Service Revenue account.)f) 12 Received $3,200 advance on a management consulting engagement.g) 17 Received cash of $2,300 for services completed for Ferengi Co.h) 21 Paid insurance expense $110.i) 30 Paid secretary-receptionist $1,160 for the month.j) 30 A count of supplies indicated that $120 of supplies had been used.k) 30 Purchased a new computer for $6,100 with personal funds. (The computer will be used exclusively for business purposes.)
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