On October 1, 2011, Santana Rey launched a computer services company, Business Solutions, that is organized as a corporation and provides consulting services, computer system installations, and custom program development. Rey adopts the calendar year for reporting purposes and expects to prepare the company’s first set of financial statements on December 31, 2011.
Oct. 1 S. Rey invested $50,000 cash, a $23,000 computer system, and $8,500 of office equipment in the company in exchange for common stock.
3 The company purchased $1,420 of computer supplies on credit from Harris Office Products.
6 The company billed Easy Leasing $5,500 for services performed in installing a new Web server.
The company paid $1,420 cash for the computer supplies purchased from Harris Office
Products on October 3.
10 The company hired Lyn Addie as a part-time assistant for $145 per day, as needed (paid weekly).
12 The company billed Easy Leasing another $1,400 for services performed.
15 The company received $5,500 cash from Easy Leasing as partial payment toward its account.
17 The company paid $710 cash to repair computer equipment damaged when moving it.
20 The company paid $1,683 cash for advertisements published in the local newspaper.
22 The company received $1,400 cash from Easy Leasing toward its account.
28 The company billed IFM Company $5,228 for services performed.
31 The company paid $1,015 cash for Lyn Addie’s wages for seven days of work this month.
31 The company paid $2,900 cash for dividends.
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