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.