During the first month of operations, these events and transactions occurred for Astromech…

 
   

Need your ASSIGNMENT done? Use our paper writing service to score better and meet your deadlines.  

During the first month of operations, these events and transactions occurred for Astromech Accounting Services Inc.: May 1 Common shares were issued for $20,000 cash and a $10,000 note receivable. 1 Paid office rent of $950 for the month. 4 A secretary-receptionist was hired at a salary of $2,000 per month. She started work the same day. 4 Purchased $750 of supplies on account from Read Supply Corp. 11 Completed an income tax assignment and billed client $2,725 for services provided. 12 Received $3,500 in advance on a management consulting engagement. 15 Received $1,350 for services completed for Arnold Corp. 20 Received $1,725 from client for work completed and billed on May 11. 22 Paid one third of balance due to Read Supply Corp. 25 Received a $275 telephone bill for May, to be paid next month. 29 Paid secretary-receptionist $2,000 salary for the month. 29 Paid monthly income tax instalment, $300. 29 Paid $250 dividend. 30 Earned interest revenue on the note received on May 1 of $75 to be received later Instructions (a) Journalize the transactions. (b) Using T accounts, post the May journal entries to the general ledger.