Following are the transactions for ABC Computer Service\'s first month of busine
ID: 2334115 • Letter: F
Question
Following are the transactions for ABC Computer Service's first month of business, September 2018: Sept 1 4 The owner invested $10,000 into the business in exchange for common stock. Purchased equipment for $2,800 in cash. 7 Purchased supplies on credit for $460. Performed programming services, and received payment of $3,300. 15 Received cash for programming services to be performed in October, $1,900. 18 Paid the rent for September, $550 20 Billed a customer for programming services performed, $1,630. 27 Paid employee wages of $3,000. 27 Collected $900 from customer billed on Sept. 20 28 Paid $1,800 for a one -year insurance policy beginning October, 1. 28 Supplies used during the month amounted to $125. 6. Determine total current assets on September 30, 2018: 000 1130 $10,815 $11,715 $ 9,015 $9,915 $13,615 A. B. E.Explanation / Answer
Calculate following :
Account receivable = 1630-900 = 730
Supplies = 460-125 = 335
Prepaid insurance = 1800
Total Current assets = 7950+730+335+1800 = 10815
So answer is a) $10815
Issue common Stock 10000 Equipment purchase -2800 Revenue 3300 Unearned revenue 1900 Rent expense -550 Wages paid -3000 Collection from customer 900 Insurance prepaid -1800 Ending balance of cash 7950