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Horace Greeley Corporation was organized in 2013 and began operations at the beginning of 2014. The company is involved in design consulting services. the following costs were incurred prior to the start of operations:
Attorneys' fees in connection with the organization of the company: $15000
Purchase of drafting and design equipment: 10000
Cost of meetings of incorporations to discuss organizational activities: 7000
State filing fees to incorporate: 1000
1. Compute the total amount of organization costs incurred by Greeley.
2. Prepare the journal entry to record organizational costs for 2014.
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