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CC2-1 (Algo) Accounting for the Establishment of a Business [LO 2-1, LO 2-2, LO 2-3,...

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Accounting

imageimage CC2-1 (Algo) Accounting for the Establishment of a Business [LO 2-1, LO 2-2, LO 2-3, LO 2-4, LO 2-5] [The following information applies to the questions displayed below.] Nicole has decided that she is going to start her business, Nicole's Getaway Spa (NGS). A lot has to be done when starting a new business. Here are some transactions that have occurred prior to April 30. a. Received $87,000 cash when issuing 8,700 new common shares. b. Purchased land by paying $3,000 cash and signing a note payable for $7,000 due in three years. c. Hired a new aesthetician for a salary of $1,700 a month, starting next month. d. NGS purchased a company car for $25,000 cash (list price of $28,000 ) to assist in running errands for the business. e. Bought and received $1,100 in supplies for the spa on credit. f. Paid $160 of the amount owed in (e). g. Nicole sold 100 of her own personal shares to Raea Gooding for $200. 4. Calculate the current ratio at April 30

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