Answer:
What the question asks is to journalize the transactions.
Explanation:
The owner’s initial investment consists of $37,480 cash and $45,910 in land in exchange for its common stock.
Account Debit Credit
Cash $37,480
Land $45,910
Common Stock $83,390
The company’s $17,350 equipment purchase is paid in cash.
Account Debit Credit
Equipment $17,350
Cash $17,350
The accounts payable balance of $7,970 consists of the $2,720 office supplies purchase and $5,250 in employee salaries yet to be paid.
Account Debit Credit
Office Supplies $2,720
Accounts Payable $2,720
Wages Expense $5,250
Wages Payable $5,250
No cash has been collected on the $13,320 consulting fees earned.
Account Debit Credit
Accrued Revenue $13,320
Fees Revenue $13,320
