Trusted by Students Everywhere
Why Choose Us?
0% AI Guarantee

Human-written only.

24/7 Support

Anytime, anywhere.

Plagiarism Free

100% Original.

Expert Tutors

Masters & PhDs.

100% Confidential

Your privacy matters.

On-Time Delivery

Never miss a deadline.

ABC Company is a new company

Accounting Oct 22, 2020

ABC Company is a new company. This is the first month of operations. The following are the transactions for June 2020. a) The owner invested $30,000 in cash and a vehicle that had a fair value of $20,000. The vehicle was originally purchased by the owner for $30,000. b) Completed a $3,000 project for a client who will pay within 30 days. c) Received a partial payment of $1,000 for the work completed in part b. d) Signed a contract to complete work for a client starting next month. e) Paid a $500 deposit for an advertisement to be published next week in the local paper. Required: Drag and drop the correct account name or amount in the journal entries below. Journal Entries Part/Date Account Title and Description PR Debit $ Credit $ a) 30,000 Vehicle Capital b) 3,000 3,000 c) Cash 1,000 AR 1,000 d) e) 500 Cash 500

Expert Solution

Answer-

a) cash account debit $30000

Vehicle account debit $30000

To Capital Account $60000

b) Account receivable a/c debit $3000

To service fees. $3000

c) cash account debit $ 1000

To account receivable $1000

d) No entry (no monetary transaction occured)

e) Prepaid advertising expense a/c debit $500

To cash account $500

Archived Solution
Unlocked Solution

You have full access to this solution. To save a copy with all formatting and attachments, use the button below.

Already a member? Sign In
Important Note: This solution is from our archive and has been purchased by others. Submitting it as-is may trigger plagiarism detection. Use it for reference only.

For ready-to-submit work, please order a fresh solution below.

Or get 100% fresh solution
Get Custom Quote
Secure Payment