Michael Scott Consulting Corporation started business operations on July 1, 2019. Michael Scott is the sole owner...

70.2K

Verified Solution

Question

Accounting

Michael Scott Consulting Corporation started businessoperations on July 1, 2019.
Michael Scott is the sole owner of thecorporation.
Part A: Journalize the following transactions forJuly.
DuringJuly, the following transactions were completed by Michael ScottConsulting Corporation.
1-Jul MichaelScott invested $10,000 in exchange for common stock in MichaelScott
ConsultingCorporation.
1-Jul MichaelScott Consulting Corporation received $30,000 - a business loanfrom his nana.
His nanawill charge him 7% APR interest, and the loan will be due in 3years.
The firstpayment will be due on December 31, 2019.
1-Jul Prepaid$9,600 for one year of rent for office space.
1-Jul Hired RyanHoward and Pam Beesly as salespeople. Each will be paid $1,000 permonth.
1-Jul Purchasedtwo office computers (PPE) for a total of $1,100 cash.
5-Jul Bought acopy machine (PPE) for $1,300 cash.
7-Jul Purchasedoffice supplies for $900 on account.
8-Jul Pamprovided consulting services of $2,500 to Dunder-Mifflin on accountdue in 10 days.
10-Jul Paid forutilities with $150 cash.
13-Jul Paid foroffice supplies purchased on account on July 7 in full.
15-Jul Incurred 2weeks of wages for a total of $1,000 to be paid on July 31.
16-Jul Pamprovided consulting services to Jim Halpert of $500, and was paidin cash.
18-Jul Receivedthe payment for services provided on July 8 in full.
22-Jul Ryanprovided consulting services for $1,500 to Dwight Schrute onaccount.
27-Jul Receivedthe payment in full for the services provided on July 22.
31-Jul Paidemployee wages incurred on July 15 in full.
31-Jul Incurredone month of interest on the loan from Michael's nana, $175.

Answer & Explanation Solved by verified expert

4.4 Ratings (678 Votes)

Date General Journal Debit Credit 1Jul Cash 10000 Common stock 10000 To record common stock issued for cash 1Jul Cash 30000 LoanNote payable 30000 To record amount borrowed 1Jul Prepaid rent 9600 Cash 9600 To record payment of prepaid rent 1Jul No See Answer

Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:

Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!

Become a Member

Michael Scott Consulting Corporation started businessoperations on July 1, 2019.
Michael Scott is the sole owner of thecorporation.

Part A: Journalize the following transactions forJuly.
DuringJuly, the following transactions were completed by Michael ScottConsulting Corporation.

1-Jul		MichaelScott invested $10,000 in exchange for common stock in MichaelScott
		ConsultingCorporation.
1-Jul		MichaelScott Consulting Corporation received $30,000 - a business loanfrom his nana.
		His nanawill charge him 7% APR interest, and the loan will be due in 3years.
		The firstpayment will be due on December 31, 2019.
1-Jul		Prepaid$9,600 for one year of rent for office space.
1-Jul		Hired RyanHoward and Pam Beesly as salespeople. Each will be paid $1,000 permonth.
1-Jul		Purchasedtwo office computers (PPE) for a total of $1,100 cash.
5-Jul		Bought acopy machine (PPE) for $1,300 cash.
7-Jul		Purchasedoffice supplies for $900 on account.
8-Jul		Pamprovided consulting services of $2,500 to Dunder-Mifflin on accountdue in 10 days.
10-Jul		Paid forutilities with $150 cash.
13-Jul		Paid foroffice supplies purchased on account on July 7 in full.
15-Jul		Incurred 2weeks of wages for a total of $1,000 to be paid on July 31.
16-Jul		Pamprovided consulting services to Jim Halpert of $500, and was paidin cash.
18-Jul		Receivedthe payment for services provided on July 8 in full.
22-Jul		Ryanprovided consulting services for $1,500 to Dwight Schrute onaccount.
27-Jul		Receivedthe payment in full for the services provided on July 22.
31-Jul		Paidemployee wages incurred on July 15 in full.
31-Jul		Incurredone month of interest on the loan from Michael's nana, $175.