Reference no: EM132560165

Question - Leach Inc. experienced the following events for the first two years of its operations:

2018:

1. Issued $10,000 of common stock for cash.

2. Provided $70,000 of services on account.

3. Provided $31,000 of services and received cash.

4. Collected $39,000 cash from accounts receivable.

5. Paid $12,000 of salaries expense for the year.

6. Adjusted the accounting records to reflect uncollectible accounts expense for the year. Leach estimates that 8 percent of the ending accounts receivable balance will be uncollectible.

2019:

1. Wrote off an uncollectible account for $650.

2. Provided $90,000 of services on account.

3. Provided $25,000 of services and collected cash.

4. Collected $72,000 cash from accounts receivable.

5. Paid $26,000 of salaries expense for the year.

6. Adjusted the accounts to reflect uncollectible accounts expense for the year. Leach estimates that 8 percent of the ending accounts receivable balance will be uncollectible.

Required - Organize the transaction data in accounts under an accounting equation. (Enter any decreases to account balances with a minus sign. If there is no effect on the Accounts Titles for Retained Earnings, leave the cell blank.)