
Problem 2-3B (90 minutes)
Part 1
Nov. 1 Cash............................................................. 101 30,000
Office Equipment ........................................ 163 15,000
Common Stock ................................... 307 45,000
Owner invested cash and equipment for stock.
Accounts Payable ............................... 201 3,100
Purchased equipment and supplies on credit.
8 Cash............................................................. 101 3,400
Services Revenue ............................... 403 3,400
Received cash for services.
Paid balance due on account.
19 Prepaid Insurance ...................................... 128 1,800
Cash ..................................................... 101 1,800
Paid premium for 24 months of insurance.
22 Cash............................................................. 101 5,200
28 Dividends .................................................... 319 5,300
Cash ..................................................... 101 5,300
Paid cash for dividends.
29 Office Supplies ........................................... 124 249
Accounts Payable ............................... 201 249