Barone’s Repair Shop was started on May 1 by Nancy Barone. A summary of May
transactions is presented below.
1.
Invested $10,000 cash to start the repair shop.
2.
Purchased equipment for $5,000 cash.
3.
Paid $400 cash for May office rent.
4.
Paid $500 cash for supplies.
5.
Incurred $250 of advertising costs in the Beacon News on account.
6.
Received $5,100 in cash from customers for repair service.
7.
Withdrew $1,000 cash for personal use.
8.
Paid part-time employee salaries $2,000.
9.
Paid utility bills $140.
10.
Provided repair service on account to customers $750.
11. Collected cash of $120 for services billed in transaction (10).