Reference no: EM132628113
Question - Michelle Walker Opened a law office on July 1, 2020. On July 31, the balance sheet showed Cash $5300, Accounts Receivable$2000, Supplies $500, Equipment $6100, Accounts Payable $3500, and Owners Capital$10,400. During August the following transactions occurred.
1. Collected $1700 of account receivable.
2. Paid $2400 cash on accounts payable.
3. Recognized revenue of $7300, of which $2900 is collected in cash and the balance is due in September.
4. Purchased additional equipment for $2100 paying $300 cash and the balance on account.
5. Paid salaries $2300, rent for August $1200, and advertising expenses $450.
6. Withdrew $800 in cash for personal use.
7. Received $1900 from Standard Federal Bank-money borrowed on a note payable.
8. Incurred utility expenses for month on account $230.
Required - Prepare tabular analysis of the August transactions beginning with July 31 balances.